Heritage Federal Credit Union Announces Expansion into Henderson and Posey Counties
Heritage Federal Credit Union (HFCU), a $488 million Federally Chartered Community Credit Union with 158 full- and part-time employees, has announced plans to expand its service area to include Henderson County, Kentucky and Posey County, Indiana.
“We received approval from the National Credit Union Association, or NCUA, in early March 2015 approving an expansion of Heritage Federal Credit Union into Posey and Henderson counties,” said Ruth Jenkins, HFCU President and CEO. “And, as required by the NCUA, our Board of Directors approved an amendment to our credit union charter approving the expansion.”
At present, HFCU serves more than 47,000 members in Vanderburgh and Warrick County communities at seven full-service branch locations.
“HFCU worked with a consultant to develop a comprehensive strategy, which included a detailed analysis of both counties provided by a third-party source,” said Jenkins. “Multiple executives were involved in building the business case, justification and completing the application for the NCUA. In late 2014, the Credit Union submitted a Business Plan as supporting documentation to our formal petition to the NCUA to allow the Credit Union to add both Henderson and Posey Counties to our Community Field of Membership.”
Heritage Federal is embracing this expansion to better serve the needs of its members and prospective members. HFCU serves a combined 2,526 households in Henderson and Posey counties, and over the last several years many HFCU members have told credit union staff that they would like to see Heritage Federal expand into these two counties. “We received the same responses in surveys that we conduct monthly and annually in conjunction with third party providers,” Jenkins noted. “We’ve also heard from potential members that they would like to conduct their business with Heritage Federal Credit Union, but can’t since they don’t meet the criteria for membership.”
HFCU already has retail distribution in Henderson and Posey counties, which includes auto dealers and retail partners, to serve its members from Vanderburgh and Warrick counties. The credit union is also authorized to offer mortgages in Henderson and Posey counties to members. In addition, HFCU has cash-dispensing ATMs located at retail locations in both counties.
HFCU members will appreciate the low and /or reduced fees from Heritage Federal Credit Union along with very competitive loan rates and terms; for instance, the NCUA reported that five-year loans for new cars at banks have an average interest rate of 5.1%, compared with 3.73% for Credit Unions nationally. Members will also enjoy extremely competitive deposit rates, and local servicing for loans including the Credit Union’s Visa Credit Cards and mortgage loans.
Credit Unions are good for members and good for the states in which they operate. In the State of Kentucky, Credit Union member benefits arising from lower interest rates on loan products totaled $12,193,448 in 2014, putting those funds back into the economy in the Great State of Kentucky. In the State of Indiana, Credit Union member benefits arising from lower interest rates on loan products total $65,546,131 for 2014, resulting in the same benefits for the Great State of Indiana.
In addition, total Credit Union member benefits arising from fewer and/or lower fees in Kentucky were $9,200,743; in Indiana it was $17,860,639 in 2014.
Total Credit Union member benefits arising from higher interest rates on savings products in Kentucky in 2014 were $10,341,403 and in Indiana it was $28,048,657 increasing member’s wealth.
HFCU plans to establish brick-and-mortar branch locations in both counties. As retail locations are opened, skilled local trades employed by Unions will be working on the credit union’s facilities. Additional hiring in Posey and Henderson counties will provide an additional economic boost; as well, many local non-profits will now be able to seek out support of their organizations from Heritage Federal.
“A considerable financial investment will be made in supporting these two new counties,” said Jenkins, “not only in terms of funds for marketing but for community support as well as infrastructure improvements.”
Heritage Federal Credit Union is well managed and enjoys a high level of financial stability. Over the years, the credit union has built a unique, trust-based relationship with the people and communities within Vanderburgh and Warrick counties by providing necessary and high quality services at attractive prices to individuals and families. Heritage Federal Credit Union continues to be recognized for superior personal service as measured by some of the highest member loyalty scores in the nation as reported by a national research firm.
“For these reasons, we believe HFCU is uniquely positioned to provide services to the individuals in the two new counties to the West and South of Evansville,” said Jenkins, “We’re excited to embark on the next stage of Heritage Federal Credit Union’s 50-year success story, and we look forward to providing the same high-quality financial products and services to our members in Henderson and Posey counties that we provide to members in Warrick and Vanderburgh counties.”