NCUA Approves 46 Mergers During the Second Quarter

The NCUA approved 46 mergers during the second quarter of 2024, up from the 26 consolidations that received the green light to consolidate during the first quarter and 36 approved mergers during last year’s second quarter.

Four credit unions received the green light to merge because of poor financial performance, four for “inability to obtain officials,” two for poor management, two for lack of growth and two for lack of sponsor, according to the federal agency’s Q2 Merger Activity and Insurance Report released Monday. Thirty-two credit unions got the OK to consolidate for expanded services.

The second quarter’s largest mergers for expanded services were:

• The $1.6 billion Member One Federal Credit Union in Roanoke, Va., with the $5.2 billion Virginia Federal Credit Union in North Chesterfield, Va.
• The $282 million Anoka Hennepin Credit Union in Coons Rapids, Minn., into the $824 million Topline Financial Credit Union in Maple Grove, Minn.
• The $120 million Shipbuilders Credit Union in Manitowoc, Wis., with the $613 million Kohler Credit Union in Sheboygan, Wis.

Credit union mergers approved because of their poor financial condition:

• The $26.3 million Cambridge Teachers Federal Credit Union in Cambridge, Mass., with the $1.4 billion Webster First Federal Credit Union in Worcester, Mass. CTFCU posted a $1,694,660 loss in 2023 and a $352,665 loss in this year’s first quarter, according to NCUA financial performance reports.
• The $77.3 million Live Life Federal Credit Union in Fraser, Mich., with the $1.6 billion Credit Union 1 in Lombard, Ill. LLFCU recorded a loss of $828,744 in the second quarter of this year and a $213,384 loss in the first quarter, NCUA financial performance reports showed.
• The $19 million Lexington Avenue Federal Credit Union in Rochester, N.Y., into the $168 million Alternatives Federal Credit Union in Ithaca, N.Y. According to NCUA financial performance reports, LAFCU posted a loss of $345,009 at the end of last year and a $102,393 loss at the end of the first quarter.
• The $45.9 million 1st Valley Credit Union in San Bernardino, Calif., with the $20.7 billion America First Federal Credit Union in Riverdale, Utah. In 2023, 1st Valley recorded a loss of $1,368,139 at the end of last year and a $2,203,575 loss at the end of 2024’s first quarter, according to NCUA financial performance reports.

Credit unions that received the nod to consolidate because of their inability to find a new CEO:

• The $45.2 million Ukrainian Self Reliance New England Federal Credit Union in Wethersfield, Conn., into the $1 billion Selfreliance Federal Credit Union in Chicago.
• The $1.2 million M M Employees Federal Credit Union in Missoula, Mont., with the $27.7 million Montana Educators’ Credit Union also based in Missoula.
• The $1.2 million Christ the King Parish Federal Credit Union in Kansas City, Kan., into the $73.1 million Midwest Regional Credit Union also based in Kansas City.
• The $27.7 million Nekoosa Credit Union in Nekoosa, Wis., with the $245 million Valley Communities Credit Union in Mosinee, Wis.

Because of poor management, the NCUA approved two credit unions to merge:

• The $184 million Multipli Credit Union in Springfield, Mo., with the $522 million River Region Community Federal Credit Union in Jefferson City, Mo. At the end of the second quarter, Multipli recorded a loss of $5,033,524, according to NCUA financial performance reports.
• The $36.3 million Town and Country Credit Union in Harlan, Iowa into the $981 million Community 1st Credit Union in Ottumwa, Iowa. NCUA financial performance reports showed TCCU posted losses of $287,800 and $655,958, in the first and second quarter, respectively, and a $575,785 loss in 2023.

Credit unions that received the green light to consolidate because of lack of growth:

• The $2 million Neosho School Employees Credit Union in Neosho, Mo., and the $1.8 million Southwest Counties School Employees Credit Union also based in Neosho with the $20.8 million Legacy Credit Union in Joplin, Mo.

Two credit unions that received the OK to merge because of the lack of sponsor support:

• The $30.9 million Edison Credit Union in Kansas City, Mo., into the $5.3 billion CommunityAmerica Credit Union in Lenexa, Kan.
• The $2 million Albion School Employees Federal Credit Union in Albion, N.Y., with the $19.5 million Cobblestone Country Federal Credit Union also based in Albion.

READ MORE: The full Q2 2024 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.