Pub. 9 2019-2020 Issue 4

2 O V E R A C E N T U R Y : B U I L D I N G B E T T E R B A N K S — H E L P I N G C O L O R A D A N S R E A L I Z E D R E A M S www.coloradobankers.org BY DON CHILDEARS, PRESIDENT AND CEO, COLORADO BANKERS ASSOCIATION Cache-ing in? Credit Union Seeking to Cash in on Bank Purchase in Colorado A WORD FROM CBA B ankers and regulators were blindsided in September when a northern Colorado newspaper reported that Cache Bank & Trust, with branches in Fort Collins, Greeley and Denver, had agreed to sell its assets to Elevations Credit Union, a $2 billion credit union based out of Boulder (formerly the University of Colorado CU). Cache agreed to sell its more than $121.7 million in assets to Elevations Credit Union. The combined organization would boast approximately $2.2 billion in assets and about 141,700 members. A side question is what is the common bond between Elevations and customers of Cache. The acquisition was announced to be completed in the first quarter of next year, pending regulatory approval. Full integration of the institutions was announced to be in the third quarter. Credit union officials say the move is part of Elevations’ “long-term vision of serving Northern Colorado,” and it is excited to further expand its banking and lending capabilities. Cache Bank & Trust chairman and CEO Byron Bateman commented on the proposal by saying, “Credit unions are in a stronger position to serve the community banking world.” We couldn’t disagree more. Not only does this move fly in the face of credit unions’ mission of serving low- to moderate- income individuals and families and groups sharing a common bond, but hard numbers show that banks are besting credit unions at serving their communities. Recent HMDA data shows that 92% of all credit unions in Colorado made not a single mortgage loan to low-income families. And, according to themost recent American Customer Satisfaction Index survey, customer satisfaction with banks