Connexus Follows Other Credit Unions Over the $5 Billion Asset Mark

One of the contributors to fast asset growth has been mergers.

One example is Connexus Credit Union based in Wausau, Wis. — smack dab in the middle of the state.

Connexus had $4.9 billion in assets and 435,243 members as of its June 30, 2022 NCUA Call Report. In the first quarter, it completed its acquisition of Heritage Credit Union of DeForest, Wis., which reported $461.3 million in assets and 29,080 members on its final NCUA Call Report as of Dec. 31, 2021. The Heritage branches converted to the Connexus brand in August.

On Tuesday, Connexus announced it surpassed $5 billion in assets.

Connexus grew from $10 million in assets in 1975 to $3 billion in 2020. Part of its growth has been fueled by its Heritage acquisition and eight other mergers since its founding in 1935 as Employers’ Mutual Credit Union. Its assets grew 65% over the past two years, compared with 23% for all credit unions.

In addition to its mergers, a Connexus news release attributed its growth to “its commitment to low fees, competitive rates and community giveback, all of which attract new members.” It said it had cut fees 86% last November and as of Tuesday was offering yields over 24 times the national average for checking and 700% more than the national average for money market accounts.

“It’s both rewarding and exciting to witness Connexus’ strategic growth over the years, and the $5 billion asset achievement is something we don’t take for granted,” President/CEO Boyd Gustke said. “It’s important to remember that we wouldn’t have gotten to this point without the trust of our member-owners — and for that, we are incredibly grateful.”

Connexus said passing the $5 billion threshold was “a significant milestone in the organization’s 87-year history.” Likewise, passing thresholds are important to other credit unions, several of which were poised to surpass the $5 billion threshold by Friday, and two that surpassed that mark during the second quarter:

• State Employees Credit Union of Maryland based in Linthicum, Md., just south of Baltimore, had $5.1 billion in assets and 246,438 members as of June 30. Its assets grew 22% over the past two years.
• Citadel Federal Credit Union, Exton, Pa. ($5.1 billion, 246360 members). Its assets grew 19% over the past two years.

Those surpassing $10 billion in the second quarter were:

• Digital Federal Credit Union, Marlborough, Mass. ($10.7 billion, 1 million members). Its assets grew 3% over the past two years, having dipped below $10 billion from March 2021 to March 2022.
• Greenstate Credit Union, North Liberty, Iowa ($10.7 billion, 385,624 members). Its assets grew 60% over the past two years.

Those surpassing $7 billion in the past year were:

• Eastman Credit Union, Kingsport, Tenn. ($7.6 billion, 294,880 members). Its assets grew 34% over the past two years.
• Space Coast Credit Union, Melbourne, Fla. ($7.3 billion, 548,212 members). Its assets grew 31% over the past two years.
• Wright-Patt Credit Union, Dayton, Ohio ($7.2 billion, 462,981 members). Its assets grew 26% over the past two years.

Those surpassing $2 billion in the second quarter were:

• Arkansas Federal Credit Union, Little Rock, Ark. ($2 billion, 138,417 members). Its assets grew 35% over the past two years.
• I.H. Mississippi Valley Credit Union, Moline, Ill. ($2 billion, 141,795 members). Its assets grew 22% over the past two years.

Those surpassing $1 billion in the second quarter were:

• Sunmark Credit Union, Latham, N.Y. ($1 billion, 86,352 members). Its assets grew 27% over the past two years.
• Del Norte Credit Union, Los Alamos, N.M. ($1 billion, 60,982 members). Its assets grew 28% over the past two years.