MONTPELIER, VT; WILLISTON, VT—The proposed merger of Vermont State Employees Credit Union (VSECU) and New England Federal Credit Union (NEFCU) was approved by VSECU members who voted during a period that began on September 20 and concluded November 8 at a VSECU Special Meeting held at the Barre Opera House.
The VSECU membership vote was the culmination of a months-long process that began in February 2022, when both credit unions’ Boards of Directors unanimously supported the agreement to merge. The merger application was submitted for approval by the National Credit Union Administration (NCUA), which authorized the member vote to move forward on August 15, 2022.
Although the merged credit union is effective January 1, 2023, uniting the two credit unions will be a gradual process over several months and a new name will be created and announced later in 2023 for the merged credit union.
“Our membership is highly engaged in the democratic process as member-owners evidenced by the highest credit union voter turnout ever in our history,” noted Miller. “As we look toward the future, we are excited about the opportunity this partnership promises and ready to take VSECU into our united future for all of our members.”
Dwyer emphasized that the new merged credit union would remain a local cooperative banking option and will be better positioned to serve all members throughout Vermont in today’s competitive and rapidly evolving marketplace. “Our ability to bring two, like-minded, Vermont credit unions together will create tremendous opportunities, not only for our members, but employees and communities we serve.”
The two credit unions will continue to operate separately as VSECU and NEFCU until January 1, 2023. On that date, VSECU will become a division of New England Federal Credit Union. No changes will occur for members of either credit union while integration of systems, services, and products occurs. While there is no firm deadline for the conclusion of the integration, it is expected that the combined credit union will operate as one entity later in 2023.
At the same time, a re-branding process will be conducted to create a name and brand identity for the new, merged credit union. Dwyer stated that “The new entity is truly greater than the sum of its parts, calling for a dynamic name and brand that are relevant, descriptive, and evocative.”
John Dwyer will lead the new organization as CEO and Rob Miller as President and COO. The merged entity will be Vermont’s largest credit union with 165,000 members, 460 employees, 17 local branches, and $3 billion in assets.
About VSECU – Vermont State Employees Credit Union was founded in 1947, originally serving Vermont State employees. Today it is a $1.1B financial cooperative serving over 70,000 member-owners. VSECU is the second largest credit union in Vermont and is a leader in sustainable and renewable energy lending in Vermont and New England. https://www.vsecu.com/
About NEFCU – New England Federal Credit Union was founded in 1961, originally serving IBM and UVM Medical Center employees. Today it is a $1.9B financial cooperative serving 95,000 member-owners. NEFCU is the largest credit union and residential mortgage lender in Vermont, with innovative programs and community housing partnerships and programs developed to make homeownership goals more achievable. https://www.nefcu.com/