Firefighter Credit Union Newsroom

October 28, 2022 by Ashley Stopinski , SWBC CUInsight In their Q2 report, Historically Low Delinquency Rates Coming to an End , economists at the Federal Reserve Bank of New York made the following observations about the economy that point to delinquency storm clouds brewing for many credit unions and their members: Total household debt increased by $312 billion during Q2 2022. Consumer debt balances are now more than $2 trillion higher than they were in 2019. All debt types saw sizable increases, with the exception of student loans. Mortgage balances have climbed $207 billion since Q1 2022. Credit card balances saw a $46 billion increase since Q1. Auto loan balances rose by $33 billion in Q2. In recent months, borrowing has increased significantly across the board due to inflationary pressure on just about e...

 SAN FRANCISCO–Noting that one of the biggest obstacles to switching financial institutions is the “overwhelming hassle” of moving accounts, SF Fire Credit Union is encouraging Bay Area residents to open up their financial relationships by exploring a credit union membership in addition to their main bank. It said the effort is aimed at “giving a nudge to those who are credit union curious, but hesitant to join.”  “We want this unexpected campaign to make people laugh, but also think seriously about the benefits of a credit union,” said SF Fire CEO Kathy Duvall. “We know that one in-three people are not familiar with Credit Unions, and only one in five know who SF Fire is. This campaign encourages Bay Area residents to get to know SF Fire and consider us for a better, more personalized banking experience we're sure they'll love."  Officially launching on Nov. 1, SF Fire said its “playful campaign” dubs the term “Side Bank...

The economy grew from spring to summer, but CUNA and others warn of what's ahead. By Jim DuPlessis | October 27, 2022 CUTimes Source: AdobeStock. The U.S. economy rebounded in the third quarter after two quarters of small declines, but the happy music might be ending soon. The U.S. Bureau of Economic Analysis on Thursday reported that real gross domestic product (GDP) increased at a seasonally adjusted annual rate of 2.6% from the second quarter to the third quarter. The gain reflected improvements in exports, consumer spending, nonresidential fixed investment and government spending. Reducing GDP were decreases in residential fixed investment and private inventory investment. CUNA Chief Economist Mike Schenk said the rebound was solid, but “widely expected.” CUNA’s baseline economic forecast called for the economy to grow by 2.5% in the third quarter and the consensus estimate among economists was 2.3%. “Healthy economic growth will not last,” Schenk said. “The Federal Rese...

Agency highlights surprise overdraft and surprise depositor fees OCT 26, 2022 Washington, D.C. – Today, the Consumer Financial Protection Bureau (CFPB) issued guidance about two junk fee practices that are likely unfair and unlawful under existing law. The first, surprise overdraft fees, include overdraft fees charged when consumers had enough money in their account to cover a debit charge at the time the bank authorizes it. The second is the practice of indiscriminately charging depositor fees to every person who deposits a check that bounces. The penalty is an unexpected shock to depositors who thought they were increasing their funds. “Americans are willing to pay for legitimate services at a competitive price, but are frustrated when they are hit with junk fees for unexpected or unwanted services that have no value to them,” said CFPB Director Rohit Chopra. “We are providing guidance on existing law that will help law-abiding businesses seeking to fairly compete and the families ...

Fall is upon us and we’re heading into planning season. There is a lot to consider this year. It  seems like there’s more uncertainty for the near-term future than there normally is. We’re in a  qualified recession (although we’re not stating it  officially), we have mid-term elections coming in November, inflation is above 8% with little signs  of a reprieve and although we’ve been adding jobs at a considerable pace, wait times and member  service still seems to be feeling the effects of the pandemic shutdown and subsequent “Great  Resign”. This weakening of service & response is affecting every industry. Every one of my business trips  has been met with longer lines, closed-early signs, or an interaction with someone completely  overworked and exhausted from pulling the weight of two or more employees that have gone missing in  action. As we head into budget and planning season, we need to take the issue of weak service & staffing...

Is your credit union ready to quickly and conveniently offer the lending product more borrowers need today? By Scott Meier | October 26, 2022 CYTimes HELOC use is shifting. (Source: Shutterstock) Mortgage refinancing had quite a moment the last two years. Borrowers rushed to take advantage of the historically low interest rates, resulting in $5.5 trillion in mortgage lending in 2020 and 2021, according to Black Knight’s January 2022 Mortgage Monitor. Enter 2022 … and the winds have completely changed. As the Federal Reserve rapidly adjusts interest rates upward, the housing market reacted with a sharp and abrupt drop in mortgage refinances. Weekly mortgage applications are down 83% compared to one year ago, according to the Mortgage Bankers Association. Homeowners have record levels of home equity and still have financial needs. Where a cash-out refinance might have made sense last year, interest rates likely make a home equity loan a better financial ...

  MBA cuts its forecasts for originations sharply through 2024. By Jim DuPlessis | October 24, 2022 CUTimes Source: AdobeStock. The Mortgage Bankers Association expects a recession early next year that will take a bigger bite out of origination volumes than it expected a month ago and lead to more layoffs by lenders. MBA cut its forecast by 15% for the fourth quarter and by about 8% over the next two years from its Sept. 19 forecast . Its forecast, released Sunday at the opening of its annual meeting in Nashville, showed total volume will fall 49% to $2.26 trillion for this year, and fall a further 9% to $2.05 trillion next year before starting to recover in 2024 and 2025. MBA Chief Economist Mike Fratantoni said MBA is forecasting a recession in the first half of next year “driven by tighter financial conditions, reduced business investment, and slower global growth.” Mike Fratantoni “Next year will be particularly challenging for th...

Don't think of the new Apple Savings account as a standalone competitive banking product. Analysts say it's one more brick for building a 'walled garden' of financial and other services for iPhone users that will drive the growth of Apple Pay, Apple Card, and more of the big tech's offerings. By Steve Cocheo , Executive Editor at The Financial Brand Many in banking may view the news of Apple’s latest consumer financial product — a high-yield savings account — as unlikely to be a game-changer. High-yield digital savings offers abound and tend to come out of the woodwork in rising-rate environments. Yet Apple being Apple, things are never that simple, or obvious. The Financial Brand dug behind the headlines to tease out key aspects of the rollout. Taken together, they present a compelling case that once again, Big Tech is taking incremental steps to dominate what it views as a financial ecosystem. The latest case in point is Apple’s October 2022 announcement that it ...

A disaster/emergency occurs somewhere in the world almost daily, but these events vary considerably in scope, size, and context. How quickly your company can get back to business after a tornado, a fire or flood or a terrorist attack often depends on  emergency planning done today . While these incidents have led to an increase in general emergency/disaster awareness, the relative infrequency of major catastrophes affecting defined populations leads to a certain degree of complacency and underestimation of the impact of such an event. A key way to cope with an emergency/disaster or active shooter is to  have a plan . Know how to react before, during, and after an emergency/disaster. Know the threats that could affect where you live, work, and go to school. To refresh your business emergency/continuity plan. Take a minute and watch the Active Shooter Video and download FEMA’s    “Every Business Should Have a Plan”    It is never too early to plan and re-plan...

Economists attribute the decline to high prices and interest rates rising to their highest mark in 20 years. By Jim DuPlessis | October 20, 2022 CU Times Mortgage applications fell for the fourth week in a row as existing home sales continued sliding and interest rates reached new records. The National Association of Realtors (NAR) reported Thursday that existing homes sold at a seasonally adjusted annual rate of 4.71 million in September, down 24% from a year earlier and down 1.5% from August. It marked the eighth month in a row of declines. NAR Chief Economist Lawrence Yun said the housing sector continues to undergo an adjustment due to the continuous rise in interest rates, which surpassed 6% for 30-year fixed mortgages in September and are now approaching 7%. “Expensive regions of the country are especially feeling the pinch and seeing larger declines in sales,” Yun said. Lawrence Yun Applications for mortgages in the week ending Oct....

          Service Credit Union Outsources 90 ATMs with Dolphin Debit     Based in Portsmouth, New Hampshire, Service Credit Union has ATMs in ...

 METAIRIE, La.– New Orleans Firemen’s FCU said it will be deploying $7 million into its communities after receiving the funds from the Treasury Department’s Emergency Capital Investment Program. The $259.6-million NOFFCU noted the investments are designed to support the efforts of community financial institutions to, among other things, provide loans, grants, and forbearance for small and minority-owned businesses and consumers, especially in low-income and financially underserved communities that struggled the most during the COVID-19 crisis. The investments made by Treasury are expected to be used for a range of purposes, said NOFFCU, which did not indicate how it specifically plans to deploy the funds. The credit union is a CDFI. At the...