Pennsylvania Credit Union Plans to Merge With Michigan Credit Union

The $146 million GOLD Credit Union in Allentown, Pa., said it plans to merge by the spring of next year with the $3.8 billion United Federal Credit Union in St. Joseph, Mich.

Plans call for GOLD’s two branches to remain open and the credit union’s 35 employees will be offered positions with United FCU, according to a Nov. 7 prepared statement.

“Across dozens of communities from Michigan to Nevada and North Carolina to Arkansas, United Federal Credit Union has a proven track record of putting power in the hands of strong, local leadership,” United FCU President/CEO Terry O’Rourke said in a statement. “The Lehigh Valley is among the fastest growing regions in Pennsylvania, built on hardworking values and primed to be a destination community for years to come. We want GOLD members to know that they can expect to maintain the same local relationships they have with the team they have come to value and trust.”

GOLD CU President/CEO Cheryl Bartholomew will have a leadership and decision-making role as community president within United if the consolidation is approved by GOLD members and the NCUA. As of Nov. 20, the NCUA has not listed GOLD CU’s proposed merger documents.

“As a small credit union, GOLD is limited in our ability to fulfill all our members’ needs to achieve financial independence,” Bartholomew said. “The relationship with United will present our members with the financial benefits we have been missing and enable us to fulfill that need. Our shared values, resources, talent, and community spirit will be the solid foundation with which we head into the future as that unflinching ally and advocate for our members.”

GOLD serves more than 9,300 members.

Like some small credit unions, GOLD has been struggling financially over the last five years and into 2023, according to its NCUA financial performance reports.

At the end of 2022, the credit union recorded a loss of $1,185,614 and a loss of $1,076,831 in 2021 and a loss of $1,244,487 in 2020. In 2019, the credit union showed a loss of $964,873 and a loss of $485,743 in 2018, according to NCUA financial performance reports.

In addition, GOLD’s net worth has fallen from 13.49% in 2018 to 8.52% in 2022. Throughout 2023, its net worth has remained steady at more than 8%.

At the end of this year’s first quarter, GOLD showed a loss of $525,518, and losses of $85,805 in the second quarter and $404,614 in the third quarter, NCUA financial performance reports showed.