NCUA Conserves 1st Choice CU of Atlanta
The minority depository institution showed a loss in the first quarter.
The NCUA on Friday conserved a small Atlanta credit union that showed a loss in the first quarter.
A news release from the NCUA late Friday said it conserved 1st Choice Credit Union ($38.6 million in assets, 6,709 members as of March 31) in consultation with the Georgia Department of Banking and Finance. The news release did not explain why the action was taken.
Call Reports showed 1st Choice’s first-quarter losses widened from $32,816, or a -0.33% return on average assets in 2023 to $149,436 (-1.52% ROA) in 2024’s first quarter. For the full year of 2023 it earned $108,878 (0.28% ROA), down from $616,805 (1.65% ROA) in 2022.
Its net worth ratio stood at 8.50% on March 31, within the NCUA’s range for a “well capitalized” credit union. The ratio had fallen from 8.65% on Dec. 31 and 9.04% at the end of 2022.
The news release said 1st Choice serves employees of Grady Hospital, Morehouse School of Medicine faculty, Emory University School of Medicine faculty, Southside Healthcare, Atlanta Life Insurance Company and South Fulton Community Development Corporation.
Dina Hairston was president/CEO from November 2023 until March 2024, when she was replaced by Sheilah Montgomery, who was formerly president/CEO of Florida A&M University Federal Credit Union and is the co-founder of the African-American Credit Union Coalition.
Hairston signed a “Note from CEO” that was still on its website Friday afternoon.
“ We are a minority depository Institution that prides itself on being a community-focused organization,” she wrote. “Our Vision is to become, within five years, the preferred financial institution for our members and deliver a diversified and member-centric product offering through modern, digitally enabled channels while retaining our socioeconomic and co-operative orientation.”