TRUMBULL, Conn.–Two small credit unions here are involved in a unique merger in that it uses a “network” model that is based on CUs running the same core system.
The CUs will also retain their individual branding after the merger.
The merging CUs include the $10.5-million East Hartford FCU and the $20.4-million America’s First Network Credit Union in Trumbull, Conn. EHFCU has one branch that will retain its brand under the America’s First Network CU umbrella, according to a statement from the CUs’ core processor, FLEX, in Sandy, Utah.
“America’s First Network Credit Union is just that, a network credit union,” the organization said in a statement. “This ensures the board of directors and credit union members remain with a familiar brand, while gaining additional services, products and more accessible locations. The FLEX system empowers both credit unions through branch accounting, customizable forms and using separate logos while maintaining the America’s First Network branding.”
East Hartford FCU converted to FLEX in 1997 and America’s First Network CU converted in 2003.
According to Flex, this is the second pair of credit unions running its core system to merge. In May of 2017, Perry Point FCU merged into Central Credit Union of Maryland.
“We understand how difficult it is for small credit unions to survive in an overly competitive industry,” said FLEX COO Sean Holcomb in a statement. “Which is why we are pleased that a few of our clients have found a way to align interests and benefit from the fact that neither credit union will have to learn a new core processing platform upon merging.”