2008 Excellence in Lending Winners

In 2000, the Excellence in Lending Award was created through a joint effort between CUNA Mutual Group and the CUNA Lending Council to recognize credit unions that create exceptional lending results through stable, sustainable operations.  The Credit Union Excellence in Lending Award provides an opportunity for credit unions to share best practices and ideas, build networks, and recognize and celebrate lending excellence.

Excellence in Lending Award winners were announced at the 2008 CUNA Lending Council's annual conference. Front row, left to right: Julio Rios, UW Credit Union, Madison, WI; Penny Pratt, SAFE FCU, Sumter, SC; Pam Evans, First Alliance CU, Rochester, MN; Carmen Ramirez, ASI FCU, Harahan, LA; Cindy Babin, US Community CU, Nashville, TN; back row: Lloyd Gill, Lending Council chair; Andy Napoli, SVP, CUNA Mutual Group.

2008 Credit Union Excellence in Lending
Consumer Lending Winner
Less than $250 million in assets

US Community CU ($113.4 million in assets; 20,000+ members) Their credo is “making lives better by providing unlimited opportunity.” US Community has grown its consumer loan portfolio through a series of strategic decisions aimed at delivering better opportunities to members. Though indirect lending isn't offered, the credit union instead has developed relationships with used car, motorcycle and recreational vehicle dealerships for referrals in the Nashville area and makes decisions on these loans within an hour of receiving the applications. US Community also founded a mortgage department and offers credit cards and lines of credit to the underserved. Perhaps the biggest impetus for loan growth is its person-to-person marketing or cross selling. As a result of its many initiatives, loan growth in the last 21 months increased $12.7 million.

2008 Credit Union Excellence in Lending
Consumer Lending Winner
More than $250 million in assets

SAFE Federal Credit Union ($512 million in assets; 99,000 members) set out in 2007 to find ways to make credit more accessible to more members in the Sumter, S.C. area, so it focused on profitable credit card and personal loans. SAFE 's strategy focused on people, products and positioning. Front line and back office staff received training in order to instill a sales culture. Next, products were positioned for more member appeal. SAFE pre-approved credit cards and/or personal loans with its successful auto loan promotions and provided a low fixed rate (6.5 percent) on credit card transfers. The results were amazing – its revamped indirect lending portfolio led to a 294 percent increase; the direct lending portfolio increased 5 percent and signature loans and credit card business went up 19 percent.

2008 Credit Union Excellence in Lending
Mortgage Lending Winner
Less than $250 million in assets

First Alliance Credit Union ($85 million in assets; 10,000+ members) is committed to adapting its mortgage lending strategy to address the mortgage crisis. The Rochester, MN credit union became a more flexible mortgage lender by offering members more choices. For instance, an additional mortgage servicer was added, which allowed the credit union to compare rates and offer members more options when financing or refinancing their homes. First Alliance became “the credit union” of choice for community members applying for manufactured home loans. And, First Alliance took care of its own through an employee mortgage program aimed at enhancing recruitment and building retention. As a result, a number of employees have become first-time buyers through this program. All of these strategies have led to good performance – low delinquency rates and a positive change-off experience.

2008 Credit Union Excellence in Lending
Mortgage Lending Winner
More than $250 million in assets

UW Credit Union ($1.01 billion in assets; 118,000 members) sized up its competition in the Madison, WI mortgage market, then developed strategies to grow its business. Their approach has produced significant results, including employee engagement, higher service levels, production volume and market-share growth. The rollout of creative products, including No Down Payment/No PMI, Medical Residency and Home Attainable products also helped grow the loan portfolio. UW minimizes risk by applying manual underwriting to loans that do not meet agency or secondary market conduit guidelines. Through June of 2008, the credit union had a .25 percent delinquency rate on first mortgages. The credit union also created a mortgage call center to improve service levels. It allows members to apply for loans in person, on the Web or via telephone.

2008 Credit Union Excellence in Lending
Low to Modest Means Lending Winner  

ASI Federal Credit Union ($285 million in assets; 75,000 members) of Harahan, LA is dedicated to serving the working poor, based on the premise that access to affordable credit is the single most important factor in creating economic opportunity and building wealth for low-income families. Toward that end, ASI works tirelessly to serve the underserved as 60 percent of its members fall below the federal poverty level. The credit union offers alternatives to payday lending and works closely with members wanting to break the cycle of debt through its Payday Lender ReBuilder Loan, which includes financial management classes. In return, ASI pays off outstanding payday lending debts and rolls the balance into a low-APR consolidation loan. In addition to traditional financial services, ASI further addresses the needs of its low-income members by offering alternatives to predatory payday lending, including the Stretch Plan, Credit Enhancement Plan and Asset Builder Loan.