How to overcome a challenging Catch-22?
It’s the most vexing Catch-22 of all for smaller credit unions: they will grow when they have more time and resources available, and they will have more time and resources after they grow. So, how to overcome that huge issue?
Tom Sakash, small credit union advisor with CUNA, believes the answer lies in more collaboration, even though the leaders of many small CUs also lack the time and energy to seek out collaborative arrangements with other smaller CUs to improve scale and operating efficiency and grow.
As CUToday.info has reported, the trend line has been consistent and long running, with the latest NCUA data again showing credit unions with assets of at least $1 billion claim the strongest growth in loans, membership and net worth, while CUs with less than $50 million in assets continue to show declines in loans, membership and net worth.
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