Most credit union mergers promise transformation. Few deliver it.
OnPath Credit Union (OnPath) in southeast Louisiana is working to prove it can be one of the exceptions.
Following its 2024 merger with Louisiana Federal Credit Union (Louisiana Federal), the now $1.2 billion institution has used consolidation not as an endpoint, but as a catalyst to reimagine its operating model, digital experience, and community impact, all while doubling down on a mission to serve low- and moderate-income households.
“We never viewed the goal as getting bigger,” said Jared Freeman, president and CEO of OnPath Credit Union. “The goal is to be better. And by being better, you become bigger as a byproduct.”
A “New OnPath” by design
Rather than absorb Louisiana Federal into an existing structure, Freeman and his leadership team set out to build what he calls a “new OnPath.”
“We didn’t keep the OnPath logo. We didn’t keep the Louisiana Federal logo. We made a new one,” he said. “We really wanted to create a new organization.”
The merger combined complementary strengths. Louisiana Federal brought strong branch-based retail relationships and consumer lending capabilities. OnPath contributed deep commercial and mortgage lending expertise, a long history as a Community Development Financial Institution (CDFI), and low-income designated credit union.
Seventy-four percent of OnPath’s members are low- to moderate-income. The institution tracks that share monthly and sets explicit goals around it. When a large commercial loan opportunity emerged, Freeman’s first question wasn’t about yield—it was about mission drift.
“This looked like a great loan, but I asked, ‘Is this going to skew us from who we are?’” he recalled. “We want to be in this low-income to moderate-income group because that’s who we are and who we’ve always been.”
That commitment shaped every integration decision: which products to keep, how to align policies, and how to configure systems to better support members who often face structural financial barriers.
During a merger, how can a financial institution convert complexity into momentum?
Many mergers stall innovation as teams focus on core and digital conversions, back-office cleanup and data mapping. OnPath tried to flip that script, agreeing to not operate duplicate systems when the new OnPath was launched to members. The best technology or system, brought to the table by either Louisiana Federal or OnPath, would become the only system to move forward.
OnPath had already been planning a core conversion and new digital banking platform before the merger. Louisiana Federal arrived with both pieces in place.
“It was really a perfect marriage,” Freeman said. “We wanted to take strengths and weaknesses, combine them together to be strengths.”
Still, the execution was anything but easy. Legal day one and full system conversion were separated by roughly a year, forcing staff to run “two separate organizations on two separate systems”—a strain Freeman says he would compress next time.
When the combined credit union finally flipped the switch in June 2025, core conversion and digital banking conversion went live the same day.
How to turn a core and digital banking conversion into a member reengagement opportunity
For OnPath Credit Union, members who struggled to connect with the new digital services came with an upside: Many previously inactive members re-engaged digitally.
“Unintended consequence actually was we saw digital engagement go up because of the change,” Freeman said. “People said, ‘I haven’t logged into online banking in a while. Let me get registered. Let me engage with the credit union more digitally.’ We’ve seen an uptick in mobile adoption and app usage since.”
The broader integration program was equally intense. Teams went “line by line” through systems, processes, policies, and products, making changes in months that might otherwise have stretched into a five- or ten-year roadmap.
“What we pulled off in a year unfortunately takes most credit unions five and ten years to do,” Freeman said. “...there were a lot of days where I was a cheerleader just trying to pump the staff up to continue on.”
Can technology help reach underserved members in a high-risk market?
Regional and community financial institutions are already great at knowing what their communities need, and have made differences in the lives of their account holders by knowing them personally and engaging with them humanly. As technology becomes more ingrained in the lives of those they serve, institutions can use tools such as data insights, automation, and predictive artificial intelligence to scale the onboarding, engagement, and growth they already do so well. These same tools and insights can be used to proactively identify the needs of individuals and business accounts, empowering front line teams to do more for those in need of additional support.
OnPath’s market—southeast Louisiana—presents unusual challenges that can make traditional homeownership and day-to-day financial stability difficult.
Roughly 80% of homes in the region require flood insurance. Homeowners insurance premiums have also climbed to some of the highest levels in the country, with only a handful of carriers writing policies in recent years.
For a member, that can mean thousands of dollars a year in additional costs layered onto their mortgage.
OnPath’s response is a mix of specialized product design and hands-on advocacy:
- Flexible mortgage products geared toward first-time buyers and lower-wealth households, often held in portfolios to allow more nuanced underwriting and terms.
- A focus on creating generational wealth, with staff intentionally targeting families who have never had access to homeownership.
- Proactive work by mortgage loan officers, who maintain lists of local insurance agents and carriers and help members continuously shop flood and homeowners insurance, not just at origination, but before escrow analyses trigger costly surprises.
“We’re not waiting until they can’t afford it or can’t pay it,” Freeman said. “We’re trying to be proactive.”
The merger has given OnPath additional scale and capabilities to sustain that work. To further deepen its affordable housing impact, OnPath has acquired a local community bank for its strength in residential mortgage lending, including affordable mortgage programs and in-house loan servicing.
“The reason we bought the bank is really the one thing they’re really good at is residential mortgage,” Freeman said. “They have all these government and bond programs that help with affordability, and they have the staff and systems to service those loans really well.”
The goal is to keep servicing close to home.
“Nobody understands southeast Louisiana like we do,” he said.
Why culture is a strategic asset
Freeman is quick to emphasize that none of the transformations are “about technology alone.”
Culture is a strategic asset that ensures all employees are aligned on what matters most and what actions they must take to live those values when working together or with account holders. Tenants of culture also bring clarity in times of change and actionability to coaching, performance reviews, and goal setting. Furthermore, cultural rituals can serve as a foundation for honoring the organization's roots and identity, while reinforcing its mission to serve.
OnPath invests heavily in cultural rituals and communication to keep 250 employees aligned through constant change:
- Quarterly in-person staff meetings for all employees, used to revisit purpose, review performance, and reset near-term and long-term goals.
- Transparent discussion of where the credit union has fallen short and how it will course-correct.
- Regular celebration of wins, fitting for a New Orleans-area organization that, as Freeman puts it, “doesn’t need much of a reason to throw a party.”
Those gatherings aren’t optional line items to him. New employees end their first day in the CEO’s office for a champagne toast in front of a painting of the World War II-era boat tied to the credit union’s original select employee group. The ritual serves as both a history lesson and a reminder.
“We don’t stay there because we’re moving forward, but that is our roots and that’s our foundation and we honor that,” Freeman said.
What is next for OnPath Credit Union?
With the merger largely behind it and a bank acquisition on the horizon, OnPath is not slowing its pace. The institution continues to refine digital journeys, deepen its use of data, and expand opportunities for members who might otherwise be left behind.
Throughout, Freeman keeps coming back to one theme: relevance—for himself, his organization and the people the institution serves.
OnPath’s bet is that by holding that line—better before bigger—a merger can become more than a balance-sheet play. It can become the engine for a new kind of growth: one that scales modern digital capabilities while preserving the heart of community finance.
Advice for credit unions considering a merger or acquisition
For other credit unions considering M&A or wrestling with their own digital roadmaps, Freeman’s advice centers less on deal structure and more on clarity of purpose.
“You have to be hyper-focused on why you exist and who you’re here for,” he said. “If the merger or the technology doesn’t help you be better for those members, then don’t do it.”
Based on an interview conducted by Jim Marous for the FIsionaries™ Podcast. To hear the full conversation with Jared Freeman and explore OnPath’s strategy in more depth, watch the full FIsionaries™ episode.
