NCUA Approved Credit Union Consolidations Declined in 2023

The NCUA approved 38 mergers during the fourth quarter of 2023, bringing the total number of consolidations to 145 last year, down from 181 approved consolidations in 2022.

Twenty-five consolidations were approved for expanded services, five for poor financial performance, three for inability to obtain officials, two for lack of growth, one for loss/declining field of membership, one for poor management, and one for lack of sponsor support, according to the federal agency’s Q4 Merger Activity and Insurance Report released last month.

The largest credit union mergers approved in the fourth quarter of 2023 fell under the expanded services category. Those credit unions were:

• The $725 million 121 Financial Credit Union in Jacksonville, Fla., with the $13.3 billion VyStar Credit Union, also based in Jacksonville.
• The $274 million Aventa Credit Union in Colorado Springs, Colo., into the $1.8 billion Blue Credit Union in Cheyenne, Wyo.
• The $173 million Bellco Federal Credit Union in Wyomissing, Pa., into the $1.1 billion First Commonwealth Federal Credit Union in Allentown, Pa.
• The $155 million Pasadena Service Federal Credit Union in Pasadena, Calif., with the $270 Pasadena Federal Credit Union.

Credit unions approved for consolidation because of poor financial condition were:

• The $173 million Central Coast Federal Credit Union in Seaside, Calif., with the $5.8 billion Wescom Central Credit Union in Pasadena, Calif.
• The $128 million Cooperative Center Federal Credit Union in Martinez, Calif., into the $3.3 billion NuVision Credit Union in Huntington Beach, Calif.
• The $27.1 million Gabriels Community Credit Union in Lansing, Mich., into the $7.6 billion Michigan State University Federal Credit Union in East Lansing, Mich.
• The $1.1 million New Pilgrim Federal Credit Union in Birmingham, Ala., with the $579 million Hope Federal Credit Union in Jackson, Miss.

The $1.3 million Enterprise Credit Union in Enterprise, Kan., into the $120 million Kansas State University Federal Credit Union in Manhattan, Kan.

Credit unions that received the green light to merge because of their inability to obtain officials were:

• The $989,528 Washington Typographic Federal Credit Union in Washington, D.C. with the $54.1 million AFL-CIO Employee Federal Credit Union, also in Washington, D.C.
• The $824,440 Springdale P.P.G. Federal Credit Union in Springdale, Pa., with the $21.3 million PPG & Associates Federal Credit Union in Creighton, Pa.
• The $14 million Bergen Division Federal Credit Union in Toms River, N.J., into the $19.3 million NJT Employees Federal Credit Union in Waldwick, N.J.

Credit unions that got the OK to consolidate because of lack of growth were:

• The $5.9 million Hampton VA Federal Credit Union in Hampton, Va., with the $129 million Healthcare Systems Federal Credit Union in Falls Church, Va.
• The $88.5 million Star Choice Credit Union in Bloomington, Minn., into the $298 million Sharepoint Credit Union also in Bloomington.

Because of the lack of sponsor support, the $1.1 million G.P.M Federal Credit Union in San Antonio was approved to merge with the $33.5 million Texas Association of Professionals Federal Credit Union, also based in San Antonio, while the loss/declining field of membership for the $2.9 million Waconized Federal Credit Union in Waco, Texas got the OK to consolidate into the $19.5 million 1st University Credit Union, also based in Waco.

Finally, because of poor management, the $1.8 million Avoyelles Parish School Board Employees Federal Credit Union in Marksville, La., was approved for consolidation with the $132 million Heart of Louisiana Federal Credit Union in Pineville, La., according to the NCUA’s Merger Activity and Insurance Report.

READ MORE: The full Q4 Mergers Activity and Insurance Report.

Editor’s Note: The NCUA’s merger approval does not necessarily indicate whether members of the merging credit union approved the consolidation or whether it was called off by management.