SPOKANE, Wash.–At least two credit unions here have either ended or suspended their participation in shared branches.
Numerica Credit Union has sent a notice to members that it is terminating its participation in CO-OP Shared Branch effective Oct. 30, according to the Spokesman-Review. The credit union has 13 branches in eastern Washington and western Idaho.
Mark Fox, a senior vice president for Numerica, told the publication the credit union understands the decision might cause his company to lose members, which is why it has sent early notices announcing the change.
“Our goal is to communicate to as many members as possible,” Fox told the Spokesman-Review. “This is not something we are trying to keep secret.”
Fox told the publication that over the past year the cost to Numerica for CO-OP Shared Branch has nearly doubled.
“It wasn’t just that it was a cost savings. It was a cost relative to the benefits that our members were getting. The transaction volumes have been on a steady downward trend,” Fox was quoted as saying.
The Spokesman-Review noted in 2015 Numerica CU also changed its shared branching options when it stopped allowing members from other credit unions from using its locations, saying it was serving more non-members than members.
STCU Suspends Participation
The Spokesman-Review reported Spokane Teachers Credit Union has also suspended its participation in shared branching, but for different reasons, according to spokesperson Dan Hansen, who said the suspension is due to the coronavirus pandemic.
“As the signs explain, this is due to COVID-19 and our efforts to provide space for social distancing,” Hansen told the publication.
STCU has approximately 25 physical locations in the Spokane area, North Idaho and the Tri-Cities.
“Our current contract with CO-OP runs through March,” Hansen told the Spokesman-Review. “We constantly evaluate the effectiveness of everything we do to serve members and the community.”
CO-OP Shared Branch offers access to branches 1,852 credit unions nationally, according to the company.
Numerica noted that increasingly members are turning to digital access channels, such as mobile banking, as the coronavirus pandemic has continued.