Tuesday, May 2, 2023

SECU And Carolinas' Credit Union League - Sliver Open Membership Into H. 410 - Without Telling The State Legislature Or Other Credit Unions - Designed To Deceive #6


KEEP ASKING YOURSELF:❓What is so important in H. 410 that the Carolinas' Credit Union League (CCUL) and SECU are willing to sacrifice anything and anybody to get it passed?

👍 Want to see how Dan Schline and SECU are trying to slip one pass the N.C. Senate, other credit unions, the banks, and most importantly the people of North Carolina. Listen closely for that hiss-s-s-s-s-s-ing sound, and watch out for "or"......

1) Here is the current credit union law:

§ 54-109.26.  "Membership" defined.

(a)  The membership of a credit union shall be limited to and consist of the subscribers to the articles of incorporation and such other persons within the common bond set forth in the bylaws as have been duly admitted members, have paid any required entrance fee or membership fee, or both, have subscribed for one or more shares, and have paid the initial installment thereon, and have complied with such other requirements as the articles of incorporation or bylaws specify.

(b)   Credit union membership may include groups having a common bond of similar occupation, association or interest, or groups who reside within an identifiable neighborhood, community, or rural district, or employees of a common employer, and members of the immediate family of such persons. (1915, c. 115, s. 6; C.S., s. 5230; 1925, c. 73, s. 3; 1935, c. 87; 1965, c. 956, s. 18; 1975, c. 538, s. 1.)

 2) Here is the proposed rewrite under H. 410:

"§ 54-109.26. "Membership" defined.

(a)The membership of a credit union shall be limited to and consist of the subscribers to the articles of incorporation and other persons within the common bonds set forth in the bylaws that have been admitted members and have complied with other requirements specified by the articles of incorporation or bylaws.

(b) Credit union membership may include the following: 

(1) Groups having a common bond of similar occupation, association, or interest. [blank, no "or")

(2) Persons who reside within an identifiable neighborhood, community, or rural district. [blank, no "or"]

(3) Employees of a common employer.

(4) Members of the immediate family of persons described in subdivisions (1) through (3) of this subsection.

The addition of that "s" and the removal of the "or" do three things:

1) Those minor "Updates" overrule the N.C. Supreme Court ruling in 1981 that stated clearly that North Carolina credit unions were not permitted to have open membership. There were "limits"! (See 4/30 blog post "Designed to Deceive" #4)

2) The proposed changes in H. 410  (that "s" and "or") would permit any number of separate "groups" to join a credit union.

3) If you haven't checked your dictionary lately, the defintion of group is "two or more people." So, under the proposed H. 410 minor "Updates"...you and a  couple of friends can declare yourself a "group" ("we like to go fishing together" or "our book club") and qualify for membership in a credit union...

..... especially if that credit union has overweening ambitions and egocentric "it's-not-about-the-members, it's about me" leadership.

That sound like any credit union or (League) you've been reading about...

https://cdn.ymaws.com/www.carolinasleague.org/resource/resmgr/images_news5/030321_GAC_FinWellBeing-sess.PNG .... s-s-s-s-s- "OR" s-s-s-s-s-s-?

...S(n)akes alive!!! s-s-s-s-s-...


  1. Supreme Court said you can't mix and match groups. This bill says anything goes?

  2. Nice to have the curtain pulled back on what was billed as "a few credit union updates" when in fact it's a total re-write of the law. Shame on Schline and SECU!

    Once people (members, employees and legislators) lose trust in you, you have nothing left.

    Please leave.

    1. Re 10:29 reply. That goes for Board too!

  3. so all that stuff about federal poverty level and all the maps are REALLY unnecessary. It is like Representative Howard said. you don't have to prove your below poverty level to join, you can just walk in and say you'd like to join! Anyone from anywhere can do that. Don't have to live in the state-- no limitation on just NC.

    1. On the house floor Rep Howard said that the person would need to provide a W2 or Tax Returns. Nowhere in the bill does it state that lol.

    2. Yes, Rep Howard said clear as day in the committee meeting that the person just had to say they were below the poverty level. Clearly she does not understand the bill or its ramifications. They are making stuff up as they go along.

    3. Rep Howard failed in not allowing the opposing side to speak more than a minute.

  4. If only a small % of members will be utilizing commercial accounts, then WHY do it?! Isn’t that the EXACT reason they took away Tax Preperation? No sense

    1. So the Board uses one reason one time and then its opposite the next. Deceit.

    2. Simple. Because business accounts bring $$$$$$$. SECU’s mission is not about serving people, providing relevant products to members and their financial well-being anymore….. regardless to what they want to say, that’s the simple truth.

    3. Somehow there is money in it for the Board, upper admin and friends. Doesn't make any sense otherwise

  5. Take a good look at the Eleven on the SECU Board of Directors - they have successfully torn SECU apart all over the state. Now they are supporting this bill which will tear up every small credit union in the state, just what is Ayers and group up to? If you can't take care of your own members, don't come after ours.