The Pulse (05-28-14)
May 28, 2014 ● Volume 03, Issue 21
The Pulse Archive
Credit Union News
Last day to comment on NCUA’s Risk-Based Capital proposal
Thank you to all of our credit unions who have filed or plan to file comment letters on NCUA’s proposed risk-based capital rule. Today is the deadline for filing comment letters with NCUA.
The Minnesota Credit Union Network has many concerns with the proposed rule, including the proposed risk-weights, especially in certain areas including member business loans, mortgage loans, and investments in CUSOs; the lack of consideration of mitigating factors and of credit unions’ existing capital buffers, and NCUA’s ability to subjectively impose additional capital requirements on a case-by-case basis. In addition, the Network is concerned with the inadequate implementation period, which under the proposal is only 18 months.
More information, including instructions on filing comment letters and the Network’s comment letter, which can be used as a template, may be found on the Network’s NCUA Risk-Based Capital Proposed Rule webpage.
Statistics are in on the Why I Love My Credit Union social media day
Last week, the Network asked credit union members and employees to join a social media day focused on sharing Why I Love My Credit Union stories. Credit union advocates used Twitter and Facebook throughout the day to share their love of credit unions by tweeting with the hashtag, #whyilovemycu and connecting to the Network Twitter handle, @mncreditunions.
"We want to thank all of the credit union members and employees who showed their love during the Why I Love My Credit Union social media day," said MnCUN Vice President - Governmental Affairs Mara Humphrey. "Because of their support we were able to reach tens of thousands of people with personal stories of the credit union difference."
The statistics below are for the hashtag #whyilovemycu during the Tuesday, May 20, social media day:
- Reach: 30,779 people. Reach is the number of unique individuals who received timeline deliveries of hashtagged messages.
- Timeline Deliveries: 95,968. Timeline Deliveries represent the total possible number of times someone could have viewed a particular message. Timeline deliveries provide idea about how broadly the message has been circulated.
Credit unions throughout Minnesota are gathering stories from their employees and members about what it is they love about their member-owned, not-for-profit financial cooperative. These stories are being shared with legislators, the media and other opinion leaders to reinforce that credit unions are unique and should be celebrated and supported by all Minnesotans.
If you haven’t already, please visit the campaign website. You’ll see stories and videos from other advocates about why they love their credit union. Then click on the “Share Why I Love my Credit Union” button on the right to communicate your own.
With questions, to order postcards, or to set up a time to record video, contact MnCUN Director of Advocacy, Ryan Smith.
Resources available to promote Financial Literacy 5K
The Minnesota Credit Union Foundation has resources available to assist credit unions in promoting the inaugural Financial Literacy 5K. Set for Saturday, July 12, at Lake Normandale in Bloomington, this event is a walk/run and kids run.
The Financial Literacy 5K is open to credit union staff, volunteers, members, and supporters – along with educators, non-profits, agencies, and financial literacy enthusiasts. Any credit unions, school or organization that registers five or more Financial Literacy 5K participants will automatically be “in the running” for the team award. Participants’ times will be aggregated and averaged to determine the best team time. Teams of five or more will be registered to win an award. “Minnesota credit unions excel at providing financial education to their members and their communities, but the need for additional awareness and education extends so much farther beyond just this audience,” said Minnesota Credit Union Foundation Executive Director Kristina M. Wright. “We encourage credit unions to spread the word about this event to their staff, volunteers and membership.”
Resources are available at the bottom of the Financial Literacy 5K page on the Foundation website, and include:
- downloadable logos
- sample newsletter article / web text
- 5K poster
- lobby flyers
If you have any questions or are looking for additional tools to promote the Financial Literacy 5K, please contact Kristina Wright.
Make the smarter choice – promote your CU online
In 2013, nearly 300,000 visits nationwide were made to aSmarterChoice.org and nearly 250,000 searches for credit unions were conducted on this site. Consumers are looking for financial institutions that they can trust, and aSmarterChoice.org provides consumers the tools they need to find a credit union in their area that they can join.
However, this tool cannot be effectively used and promoted without credit unions' help.
The aSmarterChoice.org website uses news stories and member testimonials to educate consumers about credit unions. The national credit union locator on the site enables users to quickly and successfully find a credit union in their area. In addition, this website offers marketing materials that credit unions can use to promote this valuable tool. The free marketing resources available to credit unions include:
- Credit Union Difference Banner: Through a rotating banner, you can educate members and potential members about the difference between credit unions and banks. Each image of the banner completes the sentence "credit unions are better than banks because…” and shares powerful facts about how credit unions stack up against banks.
- Credit Union Locator Tool: Post this tool on your website as a way to help members to share the credit union difference with those they know. Encourage members to share this locator with their friends and family.
To access these powerful marketing tools, visit aSmarterChoice.org. In addition, credit unions should review their membership information posted on the website. To edit your credit union's profile, visit a SmarterChoice.org's update your records page.
CU investment option supports financial literacy, professional development through the Foundation
Did you know? Credit unions can support professional development and local financial literacy efforts through the Community Investment Fund (CIF). For the past 15 years, the CIF investment option has been available through the Minnesota Credit Union Foundation (MnCUF) and the National Credit Union Foundation (NCUF). Through this program, investing credit unions receive 50 percent of the return, and the remaining 50 percent is split evenly between the MnCUF and the NCUF.
For more information on how the CIF works, please visit the MnCUF website or watch the 4-minute video.
Investment options and features are described below.
National Cooperative Bank (NCB)
NCB is the bank to the cooperative community. NCB has a variety of products and terms which are fully insured up to $250,000, including CDs with terms of six-months, 12-months, 18-months, two years, three years, and a liquid money market deposit account -- all at competitive rates of interest. A minimum investment of $10,000 is required for this CIF option. more information
Alloya Corporate Federal Credit Union
Capitalized members of Alloya Corporate can utilize this channel to invest in the CIF. Alloya investments earn market rates, and options include term certificates or 90-day notice accounts. Additionally, Alloya offers a low minimum investment amount at $1,000. more information
MEMBERS Trust Company
NCUF and MEMBERS Trust Company offers two options for large investments, including the NCUF Charitable Investment Trust (recommended minimum deposit is $500,000) and NCUF Federally Insured Account (recommended minimum deposit is $250,000). more information
Corporate One Federal Credit Union
CIF investments through Corporate One are open to all credit unions (no membership requirements). Investment options include federally insured CDs or government-issued securities and can range from $50,000 to $10 million. more information
Catalyst Corporate Credit Union
Two options are available when investing in the CIF through Catalyst Corporate. Capitalized members of Catalyst can invest in six ,12, and 18 month CIF share certificates and 90 day notice accounts. All credit unions can open brokerage and safekeeping accounts with Catalyst (no membership requirements). more information
Volunteer Corporate Credit Union (VolCorp)
Credit unions interested in investing in the CIF through VolCorp must own Perpetual Contributed Capital. The minimum investment amount is $1,000, and credit unions can chose either 50 percent or 100 percent of interest to donate to the CIF. Investment options include six, 12 and 18 month CIF share certificates and Notice 90 accounts. more information
With questions about the Community Investment Fund, please contact MnCUF Executive Director Kristina Wright or NCUF Deputy Executive Director Tom Candell at or (800) 356-9655 ext. 4398.
MnCU4Kids to hold 19th annual Golf Tournament
On Wednesday, June 11, the Minnesota Credit Unions for Kids Committee (MnCU4Kids) will hold its annual Credit Unions for Kids golf tournament. Credit union staff and guests are invited to participate through individual or corporate sponsorship, and as golfers. All donations to MnCU4Kids will be used to support Gillette Children's Specialty Healthcare, helping kids with disabilities and chronic conditions.
Registration deadline is Monday, June 2.
A printable sponsorship and registration information is available on the MnCU4Kids website. If you would like to pay with a credit card please register here. Once registered online, please fill out the attached event flyer and make a note that you paid online.
With questions, please contact MnCU4Kids committee co-chair Dave Engler by email or call (651) 325-4144.
Are you a Credit Union Rock Star—or do you know someone who is?
Credit Union Magazine is looking for Credit Union Rock Stars who demonstrate outstanding innovation and creativity in their chosen fields.Selected individuals are those who have made the credit union movement a better, more interesting place.
The deadline for nominations is July 7.
Nominate a rock star today!
Credit Unions in the News
Follow the links on the stories below to read more about the outstanding programs, new initiatives and well-deserved recognition received by your peers recently. Got news of your own? Send stories, pitches, press releases and published articles to MnCUN Director of Communications Connie Kuhn.
US Federal CU Shred Event has big impact on community and environment
TopLine FCU helps support local youth with bike donations
Lake State CU wins business development award
SharePoint CU names new board member
Froemming joins Mid-Minnesota FCU board
Credit Union House releases 2013 Annual Report
MnCUN celebrates credit unions for achieving Fair Share Fundraising goals
Changes to Minnesota Law – Women’s Economic Security Act
NCUA holds May Board Meeting
NCUA announces late filing information from first quarter Call Reports
NCUA Releases May 2014 NCUA Report, addresses risk-based capital
CFPB meetings now open to the public
Out for Comment
HUD/FHA Propose ARM notice rule change to align with CFPB’s mortgage servicing rule
NCUA proposes review of outdated, unnecessary, or burdensome regulations
MemberCONNECT Program Hosts "Changing Lanes: The New Paths to Car Buying," on June 3
CUNA Mutual Group’s MemberCONNECT Program is hosting a timely webinar for credit unions that will explore how consumers are searching, browsing and paying for vehicles in ways unimagined years ago. “Changing Lanes: The New Paths to Car Buying” will be held at 1 p.m. and 3 p.m., on Tuesday, June 3. The webinar is open to all credit unions at no cost.
“Knowing and understanding new consumer buying trends will help better position credit unions in the auto-buying process over the long term,” said Stephen Arnold, vice president of the TruStage Auto and Home Insurance program.
Three years ago, families were exposed to an average of 329 different digital ads on a typical 90-day car-shopping excursion, according to Cobalt’s June 2011 study, “A Guide to the Modern Car-Shopper Journey.” Since then, with smartphones seeing a rapid increase in popularity, that number only continues to rise. What does that mean for credit unions?
The hour-long webinar will take a generational view of car buyers, what influences them, and explore then-and-now journeys of three personas, including the first-car buyer, the family vehicle buyer and the luxury/fun vehicle buyer. The webinar will also cover technology and the empowerment it provides in the buying process, triggers for different decision points and the importance of leveraging convenience.
“Understanding consumer trends and the motivations behind choices your members make during their car-shopping journey will help derive clues to increase auto lending and market related services,” Arnold said.
Credit unions can now register online for this free webinar.