BAKERSFIELD, Calif.—The steady migration of federally-chartered CUs to a state charter continues. The latest to make the move is the $1.7-billion Kern Schools FCU, which has applied to convert to a state charter, according to a posting on the California Department of Business Oversight website.
As CUToday.info has reported, NCUA’s latest field of membership rules were in part designed to keep the federal charter competitive with state rules on growth and expansion. However, a number of analysts have told CUToday.info they expect the trend to continue as most state charters remain more attractive for growth-minded CUs.