The SECU Board believes that SECU doesn't
serve "A" paper borrowers.
Why? Because they haven't been told the whole truth.
According to the SECU CEO and SECU Loan Administration muck-mucks, the Credit Union had to implement race-based lending (RBL), because the rates charged by SECU over the years to "A-tier" borrowers have not been competitive.
✅ That is simply not true.
Here is the breakdown of actual SECU borrowers before RBL by credit tier. The data is from SECU Loan Administration!
✔ Charts Showing The Number of Actual SECU Borrowers By Credit Tier:
Doesn't that look like a fairly well-distributed portfolio of member loans?
✅ 247,000 "A-paper" SECU members chose to borrow at non-competitive rates from SECU? Do you believe that? Why does the SECU Board believe it?
✔ Please also note the total balances owed by each "Tier" group:
1) "A"- paper: Total outstanding loan balances - $8.9 Billion
2) "B"- paper: Total outstanding loan balances - $6.6 Billion
3) "C"- paper: Total outstanding loan balances - $5.7 Billion
4) "D"- paper: Total outstanding loan balances - $2.1 Billion
5) "E"- paper: Total outstanding loan balances - $0.3 Billion✅ SECU "A- paper" member-borrowers owe the most at $8.9 billion and owe more than all the "C, D, E" folks combined!
✅ What was the SECU Board told?
For all SECU members, RBL has been a painful, costly decision - 3-tiers doesn't make that mistake better!
When you look at RBL more closely, it never seems to "add up"!?
