Folks are starting to "nose-tice"!
✅ The credit union movement may no longer be a "movement" as one commenter recently noted; adding: " The term movement is a problem in and of itself. It shouldn’t be used anymore - it discredits an industry already fighting for relevancy."[AnonymousJuly 29, 2025 at 9:43 AM]
Whether you agree with that statement or not, the rapidly advancing trends of commercialization and consolidation within the credit union movement are a fact. And, these processes of commercialization and consolidation do discredit the traditional practitioners within the credit union movement.
The future relevancy of traditional credit unions is indeed in danger. Credit unions are no longer the non-profit, member-owned, democratically-controlled, locally-focused cooperatives they once claimed to be.
The hypocrisy is self-evident in mega-bank purchases, growth for growth's sake, the pursuit of market share, and the board/CEO emphasis on "me" rather than "member".
"One is known by the company you keep"; and, competitors, politicians, and members are awakening to "the new industry". The taint of distrust of "the brand" will eventually become universal.
😎 Do we now live in an era of fake news and phony credit unions?!?
"Well, we're not in Kansas anymore, Toto" ... that's for sure!
The entire industry is struggling to be relevant under the tradition model. Two banks, Chase and BAC, combined are 3x the size of our entire industry. And, 82% of the nation's credit unions have 500 million or less in assets. Most or all will be gone in the long run.
ReplyDeleteThe smart ones are merging, expanding business lines and seeking new ways to be relevant. Agree that goes against the traditional practice of the "movement" That's the whole point! What movement? CU strategies are heterogenous, and this blog is proof positive that the industry is not aligned around with a unified mission or strategy - something that is characteristic of a "movement". Disagree it's hypocritical. The progressive and growth-oriented CU's don't hype traditional movement BS, they're trying to run from it, like they should.
Time to sunset the term, it's embarrassing and like I said, it discredits the industry and all of us in it. In decades of CU service, have never heard a member use even use the term movement, let alone articulating that being part of a movement was why they joined. A movement's whole intent is to advocate for reform and a whole new way thinking and doing something - for all. The CU "movement" has never advocated for banks to become credit unions. We just throw the term around in a desperate and pathetic attempt to hold onto what we have (e.g. tax status).
The more we cling to that term and what it represents in traditional CU thinking, the quicker we see the demise of our whole industry. Only the largest and strongest will survive.
It saddens me to hear this kind of talk. I really wish that only the ones that take care of their members would be the ones to survive. I understand why it's important to expand business and seek new ways to be relevant. SECU did that for decades, and they did a phenomenal job of taking care of me and my family.
DeleteI have enough experience in both the credit union world and the banking world to know that chasing profit and taking care of the members are two very different concepts. They will never be the same and they won't lead to the same outcome. I see this clearly every single day, regardless of how much people try to convince me otherwise...
7:02, who is chasing profit?
Delete2:31pm - Striving for fairness will always be a movement. Fairness will never become irrelevant unless everyone lets it. I didn't join SECU because of technology.
DeleteFairness isn’t a movement. It’s a value, like Do The Right Thing.
Delete11:47am - Think Civil Rights, BLM, Women's Rights, Marriage Equality, Disability Rights, Labor Movements, Human Rights, to name a few.
Delete7:02pm...this saddens me, too. And I say, be relevant to the members you serve and stop trying to compete with the for-profit financial institutions. And 8:00pm, agree, I consider the cu cooperative to be a humanitarian effort resisting corporate greed. -c
DeleteThe Red Cross is humanitarian. We are that kind of a non-profit. In fact we are not-for-profit. And, we compete with banks, like it or not. Being a humanitarian movement is what CU’s have or ever should be about, We don’t pay fed taxes in exchange for asset, FOM, debt and investment restrictions, relative to banks. That’s it.
Delete2:32pm How did credit unions become irrelevant?
ReplyDeleteThe industry became irrelevant by reducing from 23,000 to ~4,500 credit unions, lagging technology investment, limited products and services, and the abundance of small, low growth CU's with excess capital that couldn't be invested efficiently for member benefit. The latter is still a big issue, especially with smaller credit unions. And, in terms of the "movement", not sure there ever was philosophical alignment among CU's, but left decades ago.
DeleteThe good news is that while the industry as a whole is irrelevant, and the movement is at best on life support, there are many individual credit unions who are very relevant to the members. Which is the goal. Board should put the interest of their membership above all, including other CU's members who part of this silly notion we call a movement.
SECU was not irrelevant or "behind the times" when the board brought in Jim Hayes. It was a very valuable member focused financial institution creating wealth in and for North Carolina--the individual members and the state. Now? SECU has to be just like every other financial institution. Soon no distinguishing features. First to go was excellent member services. That is a real playing field leveler!
ReplyDeleteAgree, and in fact SECU is a good example. Bucket the trend and worried about their own members, not someone else's. Never heard much talk at SECU about being a movement member. That's the point. SECU still is, or can be again, a great cooperative.
DeleteCowards run this organization
ReplyDeleteWould love to hear a more detailed explanation behind this
DeleteIt takes courage to be different in an industry that is moving away from the cooperative model to being a bank. More money for the ELT and Board in a bank structure, less for the member. Less for the ELT and Board in a cooperative structure, more for the member. Maybe it's not courage. Maybe it is less greed, more integrity needed.
DeleteWhy are credit unions irrelevant, because they don’t conform to the latest ideological mandates... Is that why all the control, censorship, and the silencing of dissent?
ReplyDeleteThis is not just market power; it’s a stranglehold on the financials of everyday people. It’s ideological domination masquerading as business as usual.
You've become just like the goons of Wall Street ... only worse because we knew who they were ...
ideological domination and a stranglehold on the financials of everyday people...? Wow. is that what you think SECU is all about? Pretty negative view, if so.
Delete