MARLBOROUGH, Mass. and SAN JOSE, Calif.—NCUA has approved the merger between Digital Federal Credit Union and First Tech FCU, paving the way for the creation of a $28-billion institution that reaches across the country.
The next step is approval by First Tech members as the combined credit union will adopt DFCU's charter, the two CUs stated in a joint release.
The vote will take place from October to December. First Tech will also hold a special membership meeting to disclose the results.
The merger is expected to be completed January 1.
"Uniting the nation's two leading technology-focused credit unions will create a forward-looking, member obsessed, digitally powered financial institution in the United States – a credit union that sets the standard for differentiated value," said Shruti Miyashiro, president and CEO of $12.7-billion Digital FCU, based in Marlborough, Mass. "The newly combined credit union will accelerate our shared commitment to deliver the very best financial experience designed and delivered by the most talented employees in the industry."
"We're thrilled to surpass this history-making milestone and continue our journey of becoming one. This approval from the NCUA is a transformative moment, not just for First Tech and DCU, but for the entire credit union community," said Greg Mitchell, president and CEO of the $17.1-billion First Tech, based in San Jose, Calif. "Together, we're uniting two strong technology-focused institutions to shape the future of financial services to better serve our members, employees and communities for generations to come."
Following the completion of the merger, the new entity will serve nearly two-million members with more than 50 branches across eight states. The combined organization will operate as First Tech Federal Credit Union. DFCU’s Miyashiro will become president and CEO of the newly combined credit union. First Tech’s will remain with First Tech through his planned retirement, around December 2025, the CUs stated.