Though the problem has yet to surface on a serious level in Maine as it has on the West Coast, Florida and other hotspots with huge foreclosure rates, Reed said CUs with mortgage operations have been working on various vehicles for immediate implementation in light of the subprime crisis.

Still, the president/CEO of ACUMA, Robert Dorsa, lamented, "procrastination is way too prevalent in our business, waiting for some one else to act." Because of membership impediments, CUs, he said, are unable "to assist all Americans but somehow if we can get most of the 50 mortgage CUSOs to work together in a carefully planned manner, we could conceivably" make things happen.

Dorsa said the trade group stands ready to aid its members on such programs as a National Call Center to field leads or to coordinate the hiring of skilled "loan originators" ready to speak daily with consumers in 12-14 hour cycles to help in rewriting mortgages or finding lenders.

"We may even be able to help find parties who can negotiate with secondary market investors willing to purchase the securities loan pools," said Dorsa. "Whatever we do, we can really take great pride in using the credit union

movement for what it was intended to be used for in the first place: helping

our members."

The call to action, Dorsa said, has to go way beyond ACUMA, whose members originate more that 70% of all mortgage loans written by CUs, to the CU

community at large since many members may be in dire financial straits now or will be soon.

One ACUMA member, the $803 million Royal CU of Eau Claire, Wis., is taking immediate steps. It said it plans to roll out a local consumer hotline next month "to help us at least determine what the situation is with our members."

Mark Willer, chief operating officer of Royal and an ACUMA director, said complete details have yet to be worked out on staffing and operation, but the hotline would help narrow "where the problems are so we can develop an educational program to help not all subprime borrowers but those who may have got over their head chasing rate and now may also face those huge prepayment penalties."

The vice chairman of ACUMA, David Doss, the president/CEO of the $1.1 billion Arizona State CU in Glendale, Ariz., said perhaps mortgage vendors including CUNA Mutual might be solicited for help in addition to a hotline and a funding platform.

"My thinking is also that if we could come together as an industry perhaps with leagues and our strategic partners we might pony up from our portfolios a portion we can set aside to help those members that are good credit risks but got sucked into subprime."

He said the portfolio portion could be used to help members conform to a more acceptable rate they can handle.

"We know we can't help those in securitization," said Doss but this "is an issue that fits our industry very well and I would like to see us moving together."

Reed of Maine Savings said the subprime crisis indeed gives CUs an ideal opportunity "to demonstrate how we protect and educate consumers" though there are many "that we can't help."

On a more immediate level, Dorsa said CUs can start now by targeting U.S. homeowners "who need help with rising interest rates, lower home values, or extenuating circumstances, such as loss of income or other unexpected expenses."

There are a wide variety of competitive loan programs available complete with reasonable underwriting guidelines and fees but CUs need to publicize them in print and on TV, he said.

The industry's role in the mortgage crisis will obviously occupy a key portion of the programming Sept. 19-21 at ACUMA's annual conference at Caesar's Palace in Las Vegas.

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