During the past 12 months, Premier Community Credit Union has experienced a severe decrease in loan funding due to the CoVid epidemic, which has negatively affected our operations and Net Income. While our Net-Worth of 7.54% continues to be strong, and defined as “Well Capitalized” by our Credit Union Regulators, we believe the CoVid pandemic will be with us for at least another year and continue to disrupt our normal operational activities. The Board of Directors has looked at options available to best deal with the pandemic, and has sought to make the choice that was best for our members and the staff. This notification is to announce that the Board has voted to seek a merger with Self-Help Federal Credit Union, which is headquartered in Durham, North Carolina, and has 19 branches in California, including Riverbank, Modesto, and Sacramento.
Self-Help Credit Union is a $2 Billion dollar Credit Union that has one of the highest Net-Worth and ROA’s ratios in the United States. Their success is achieved by helping the underserved areas in their communities with services that include more options in the mortgage and commercial loan categories. We will continue to service all our current members and residents of San Joaquin County, and our branches will remain open to continue to serve Lodi, Manteca and Stockton communities. We are aware that the pandemic has caused financial institutions to increase the use of remote services, which is too costly for us to implement because of our smaller size. We believe that we can be successful using Self-Help’s infrastructure, business models and strategies that will provide us with more tools and expertise by joining a larger reputable credit union that also has a mission, culture and core values similar to ours.
Self-Help has deep commitments to its employees, and offers more opportunities for promotion thru their excellent training programs. Our goal is to retain all our staff and continue to provide excellent service to our members. The merger package includes a generous offer of a 36-month job guarantee for the entire staff, and an increased minimum starting wage of $18.00 per hour.
Members will be receiving a ballot package in the mail post-marked February 7, 2022 to solicit their vote. The ballot will include a paid addressed envelope for mailing, or the members may return the ballot when they visit the Main Branch at (3255 W. Benjamin Holt Drive, Stockton, Ca. 95219). The voting deadline is March 24, 2022 at 6:00 pm when a special meeting will be held to count the votes to affirm the merger.
We invite any questions regarding the merger, which can best be handled by sending them to info@premierccu.com. We want to thank all our loyal members for supporting their credit union these past 90 years, and we look forward to this new opportunity to expand our financial services to our communities that we will continue to serve.
Sincerely
The Board of Directors of Premier Community Credit Union and
Russel Hagen, CEO-Premier Community Credit Union
Frequently asked Questions:
Why is the merger between Premier Community Credit Union and Self Help Federal Credit Union taking place?
During the past 12 months, Premier Community Credit Union has experienced a noticeable decrease in loan funding due to the CoVid epidemic, which has negatively affected our operations and Net Income. The Board of Directors has looked at options available to best deal with the pandemic, and has sought to make the choice that was best for our members and the staff. Self Help Federal Credit Union is a $2 Billion dollar Federally Chartered Credit Union that has one of the highest Net-Worth and ROA’s ratios in the United States.
What is the next step in the Merger process?
We mailed to our members on February 7, 2022, a written notification and ballot to vote on the proposed merger. There will be a special meeting held on March 24, 2022 at 6:00 pm at the Stockton Branch to count and certify the vote. The address is:
3255 W. Benjamin Holt Drive
Stockton, CA. 95219
How will this impact member services?
The merger agreement will retain all our staff and continue to provide excellent service to our members and all of our branches will remain open.
Will my accounts continue to be Federally Insured?
Yes, Self Help Federal Credit Union is also a Federally Insured Credit Union by the National Credit Union Administration same as Premier Community Credit Union.
Will anybody be able to join the newly merged credit union?
Our field of membership will continue to serve all our community members in San Joaquin County along with our original Educational Employee Seg-Groups.
Will the ATM/Debit Card networks change?
We will continue using the same CO-OP ATM network as before.
What will be the Interest Rates offered on the Credit Card Program after the merger.
The Card program will be very similar to the program offered by Premier with card rates starting at 9.75% to 12.25% depending on Credit Score. However, with the Federal Reserve indicating that rates will rise this year, we expect that Credit Card rates will increase in 2022.
What would happen if the merger is not approved?
Management would need to study as to why the membership would not be in favor of the merger, and then take the findings and pursue another merger attempt as we find ourselves in a business climate that is not favorable for a credit union our size to remain independent. By merging with Self-Help Federal Credit Union, we will be more stable and able to offer more services and update our technology to keep up with a rapidly changing financial environment.
What is the best way to post another question?
We invite any additional questions to be sent to us at Info@premierccu.com
