MEMBERS Development Company starts new year with new owner credit unions
COLUMBUS, OH (February 20, 2018) — MEMBERS Development Company’s owners say collaborating on research and development not only offers the benefit of combined expertise and fresh ideas, but it also makes big-ticket initiatives affordable.
MDC Chief Executive Officer Jeff Kline says that’s why the CUSO has seen significant growth.
“Financing R&D activities is highly expensive on your own, even for large institutions,” Kline said. “It’s also time-consuming. With 50-plus owners and MDC facilitating the process, credit unions are able to focus on running their businesses while we stay alert to what’s on the horizon.”
In January, the following credit unions joined the R&D CUSO’s roster of forward-looking owners: ABNB Federal Credit Union in Chesapeake, Va. ($557 million); American Eagle Federal Credit Union in Hartford, Conn. ($1.6 billion); First Florida Credit Union in Jacksonville, Fla. ($857 million) and Stanford Federal Credit Union in Palo Alto, Calif. ($2.3 billion). In the past 12 months, MDC has added 14 new owners.
Sarah Lietz, MDC’s Vice President of Owner Engagement, says issues facing the financial industry today, such as digital transformation and quickly changing technology, highlight the need for combining resources to stay relevant.
“To some people, change is a scary concept they would rather not address,” Lietz said. “But a wait-and-see policy can spell big trouble in our industry, given the intense competition and consumers’ heightened expectations. We’re excited to see our network of innovative credit unions embrace change, and face it with curiosity, optimism and energy.”
Yet, Kline says growing MDC’s ownership base isn’t the Company’s goal; rather, it’s about having the right owners. “Our strength comes from the rich experiences, deep insights, and positive energy of like-minded credit unions and partners that share MDC’s vision of working together, pooling resources and making a difference for everyday members,” he said.
Charlie Mallon, President/CEO of ABNBFCU, who previously served on MDC’s Board while CEO of another credit union, agrees.
“ABNB is focused on improving our members’ lives,” Mallon said. “By working with MDC, we can expand our capacity to do research on ways to improve the member experience and anticipate what future solutions will be needed.”
Another new owner, Stanford FCU has a history of providing innovative ways to meet members’ needs, as attested by being the first U.S. financial institution to offer online banking.
“We are committed to making banking more convenient for all our members,” said Trisha Lee, VP of ITT Operations at Stanford FCU. “We are intrigued by MDC’s forward-thinking approach and by the way they are looking 10 years into the future. Our association with MDC will help us prepare for future challenges so that we can maintain our high level of service to members.”
About MEMBERS Development Company
MEMBERS Development Company is an interactive network of industry leaders serving as a catalyst for success in the credit union industry by identifying and connecting disruptors in financial services. MDC’s owners pool resources to enable relevant research, develop innovative products and services, create valuable vendor relationships, share knowledge, provide economies of scale and keep a consistent focus on the horizon. Combined,
our owners serve 16 million members, hold nearly $226 billion in assets, maintain over 1,900 branch locations across the nation and employ more than 40,000 employees. More information is available at www.membersdevelopment.com.