MARLBOROUGH, Mass./SAN JOSE, Calif.—Large credit union mergers continue, this time with $12-billion Digital Federal Credit Union, based in Marlborough, Mass., combining with $17-billion First Tech FCU, based in San Jose, Calif.
Following completion of the merger, which is subject to approvals from NCUA and First Tech's membership, the new entity will serve nearly two million members with more than 50 branches in eight states.
The proposed combination, which is expected to be completed in 2025, has the unanimous approval of both the DCU and the First Tech boards of directors, the CUs stated.
“Members will experience no immediate changes as the two organizations will operate independently as DCU and First Tech until systems and processes are integrated and operational,” the CUs stated. “Upon completion of the integration, the combined organization will operate under DCU's charter and the First Tech Federal Credit Union name. In recognition of the strong and proud histories of both DCU and First Tech, employees and members of both organizations will work together to develop a brand experience that honors both entities' roots with a future-forward vision. First Tech President and CEO Greg Mitchell will remain with First Tech through the integration. DCU President and CEO Shruti Miyashiro will become President and CEO of the newly combined credit union.”
"Our credit unions have a shared origin—each created to serve the financial needs of technology employees, their families and digitally savvy members across the country," said Shruti Miyashiro, president and CEO of Digital Federal Credit Union. "The transformative power of this merger of equals will unlock enormous potential to deliver value and opportunity for the people who matter most—our members, our employees and the communities we serve."
"Uniting the capabilities of the nation's two leading technology-forward credit unions will allow us to innovate and push the boundaries to deliver more elevated experiences by making material investments in products and services to meet the needs of our growing membership," said Greg Mitchell, president and CEO of First Tech Federal Credit Union. "With shared principles of people helping people, the new organization will also become the single-largest national philanthropic leader in the industry, donating more than $4 million annually to positively impact our local communities."