OLDS, Alberta–The likes of Amazon and Google are driving two large credit unions here to consider a merger.
Mountain View Credit Union and Connect First Credit Union said they are mulling a combination that would create a CU with approximately $6.7-billion in assets and more than 120,000 members.
“Part of our challenge, being a credit union of our size, is competitors,” Tracy Kelly, vice president of marketing with Mountain View Credit Union, told Rocky View Weekly. “It’s not just traditional banks anymore – now, we’re looking at competing with Amazon or Apple or Google.”
Kelly told the publication those companies are entering the world of financial services to create new technologies, products and services – but for smaller operations such Mountain View, the investments required to take advantage of those new services can be prohibitive.
“How can we encourage more members to join our credit union if we’re not able to keep up with those emerging trends?” Kelly was quoted as saying. “An amalgamation could allow us to access those kinds of resources, which makes it easier for our employees and, ultimately, better for our members.”
If approved, the credit union would be the seventh-largest in Canada. It would operate under the legal name of Connect First Credit Union Ltd., the member-facing brands would remain the same. Shared back-office services will allow for more efficient operations, Kelly told Rocky View Weekly.
A June membership vote is also planned.