Credit unions to merge

The proposed merger will see the new Credit Union with assets in excess of $500 million with 23,000 members and a network of seventeen branches across Australian capital cities and regional communities.

The chairmen of the two credit unions, MMPCU’s John Coombs and GCCU’s Marc Worner said they are confident that the proposed merger will receive the support of members to the substantial benefits that will flow from combining the two organisations.

Under the agreed terms of the merger the Gosford office will remain and the “Gosford City Credit Union” name and existing employees will be retained. There is also a commitment to provide a greater level of community support through the establishment of a “Community Support Fund”.

Commenting on the move, Mr Worner said, “The Board was committed to joining forces with a credit union that had a vision and plan to look after the interests of our members and staff and the communities that Gosford has served over the past forty-five years.
In the MMPCU we have found that partner and the merger will provide members with additional products, greater branch access and extremely competitive pricing.”

At the same time Mr Coombs said, “Following our recent merger with Power Credit Union we have been expanding our services into the Central Coast which is a region where many of our existing members reside. Our operations in Budgewoi and surrounding communities have confirmed the tremendous opportunities that exist in the Central Coast and we are extremely confident that this merger will provide significant benefits for the region”.

While both Credit Unions are in a strong financial position, the Boards of each are mindful of the importance of planning for the future to ensure the organisation’s longevity and successful delivery of member needs is sustained for many generations to come.

According to a 2008 APRA report there were a total of 129 credit unions in Australia with total assets of $43.7 billion.

Of these 71 were classified as large with $41.7 billion in assets and 42 were classified as medium size with $1.9 billion in total assets.

Small credit unions, of which there were sixteen, including Gosford City Credit Union, which has operated as a community credit union for a number of years, held $20 million in assets.

Wyong Council Credit Union which had $32.5 million in assets, as at December 2009 and is not a community credit union, continues to operate for the benefit of Wyong Council staff and their families.

Back Send us your comments