A grand opening for a new branch of Niagara County’s cornerstone Regional Federal Credit Union was held Wednesday.
President and CEO since 2000 Ann Brittin said the new branch definitely represents an expansion for the bank, which is chartered in Niagara County and has three other branches distributed throughout Lockport and Middleport.
The branch, now located on Main Street in North Tonawanda, was opened Sept. 29 in response to research the company did that found a strong customer base in the area as well as a need to serve this part of Niagara County. That’s not surprising since the bank, once known as Unit #1 Credit Union, was started in 1955 for workers at General Motors.
It is the first branch ever to be opened here.
Nowadays, Brittin pointed out that for a $5 “share price” members join the communal banking system. Living, working, studying, volunteering or worshipping in Niagara County is all that’s required to become a member. Gone are the days of exclusive trade-specific clientele.
Shareholders vote every three years for members of the nine-member board of directors.
“We have almost 45,000 members now,” she said of the bank, which handles about $238, 900,000 in assets.
“The basis of the credit union is our members are our owners,” she said.
Initially designed around trade unions for membership, some but not all of the local institutions these days are open to the community at large.
In 2003, the bank was granted a community charter for Niagara County.
All major types of personal and mortgage lending, saving and checking services are available to members, as are business accounts.
The scope of business has also tended to expend, partly through programs offering shared services with other credit unions around the country and access to a network of thousands of surcharge-free ATM machines nationwide.
They are insured similarly to national banks with an FDIC-like insurance offered by the National Credit Union Administration in Washington, offering the National Credit Union Share Insurance Fund.
Even as national banks reel following the sub-prime lending crisis, credit unions remain somewhat isolated from the turmoil because of restrictions on certain risky investments on Wall-Street.
“We haven’t changed the lending process. We haven’t had to,” Brittin, an NCCC grad said. “We’re restricted in what we can invest in, so basically we aren’t as loose as some of the financial institutions that were doing the sub-primes.”
A clown and barbecue were on hand for the “soft opening” and ribbon cutting ceremony Wednesday.
Today, Niagara Regional Federal Credit Union, which already has a branch in the city, will host a ribbon cutting and open house from 3 to 7 p.m. at 1285 Erie Ave. That bank’s membership model is specific to employers and the branch is simply moving from its old property on Zimmerman Street.
Showcased in the open house will be the new 24-hour ATM, “more secure” night drop off and drive through services. Members of the board of directors will be present to answer questions. A remote broadcast by Jack-FM will include chances for members to win prizes including cash.
Donna Wick, the credit union’s CEO, said they were originally chartered in 1939 as the North Tonawanda Teachers’ Federal Credit Union. They now offer membership through about 14 companies offering it.
Members don’t get shared services across the country but are able to use thousands of non-regional ATM machines.
The bank has a program run through the IRS, in which students at North Tonawanda High School’s Academy of Finance prepares tax returns for anyone making under $40,000 per year free of charge, under the supervision of a certified public accountant.
“We started it last year. We plan on starting in January this year and going right through the tax season,” Wick said. “Our goal is to do 100 (returns) this year.”
That program helps kids interested in finance hone their skills and is open to anyone who qualifies based on income.
Contact reporter Neale Gulley at 693-1000, ext. 114.
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