FSCC CUs Approve Shared Branching Merger with CO-OP Financial Services (Misc News: December 12, 2011)
A merger that will create a single shared-branch network serving credit unions across the country is one step closer to being finalized.
Financial Service Centers Co-Operative will officially merge its network with CO-OP Financial Services in 2012, now that the move has been approved by shareholding credit unions of FSCC.
According to the firms, that combined network will involve 1,700 credit unions with more than 4,300 branch locations and 2,200 kiosks located in 7-Eleven stores. Executives from both companies say the move will result in efficiencies in terms of branding, technology and administrative costs that will benefit all shared branching participants.
Sarah Canepa Bang, president/CEO of FSCC told CU Times, “We are very happy our shareholders so clearly see the benefits of combining with CO-OP Financial Services, which not only advances shareholder value but the vision of FSCC to have every branch of every credit union an outlet.”
Under the terms of the agreement, Bang will continue at CO-OP as chief operating officer and chief strategy officer.
CO-OP President/CEO Stan Hollen also praised the merger, calling it a “milestone day” for both companies.
Both executives say that given the more than 19,000 credit union branches nationwide, the concept of shared branching is still in its infancy. Canepa Bang has previously said there will likely be a nationwide advertising campaign in the future touting shared branching as a credit union difference.