Oakland County Credit Union and Vibe Credit Union, two Michigan-based CUs, on Wednesday jointly announced their intent to merge to create an institution with $880 million in assets – making it the 13th largest credit union in the state.
Vibe CU, headquartered in Novi, Mich., has $528 million in assets and serves 32,374 members, according to its information page on the National Credit Union Administration website. Vibe CU has 10 branches. Oakland County CU, Waterford, Mich., has $351 million in assets and serves 31,564 members via six branches.
Oakland County Credit Union was chartered in 1953. Vibe Credit Union was founded in 1936 by employees of the downtown Detroit office of Michigan Bell Telephone. In March 2013, the institution known at that time as Telcom Credit Union changed its name to Vibe Credit Union to reflect its previous switch to a community charter.
The combined credit union will operate under the Vibe Credit Union name, the two CUs said. Tom Reagan, currently president and CEO of Vibe CU, would be the CEO, while Allan McMorris, president and CEO of Oakland County CU, would serve as president.
“This exciting new partnership will provide the very best in financial services to the combined membership, employees and local communities,” the two CUs said in a joint statement. “Each credit union wanted to find a partner that shared a dedication and loyalty to its membership, was similar in employee culture and was financially strong. Vibe and OCCU found they were united in their dedication to their members, employees and community, as well as, share a common vision for the future of the combined credit union.”
The combined credit union would employ more than 250 employees and serve more than 64,000 members, they said.
“As we prepare to meet the long-term needs of our members in the future, we believe combining forces will allow us to better provide for our members and employees,” said Vibe CU’s Reagan. “We are extremely proud of everything we have accomplished, and are even more passionate about the new opportunities this partnership will provide for our existing and new members.”
Oakland County CU’s McMorris said he is “excited” about the partnership.
“OCCU’s recent growth through the Best Source and My Postal mergers has demonstrated the value of strong strategic partnerships,” McMorris said. “Currently, more than 30 percent of our members live outside Oakland County, and are seeking an expanded branch network. The combined resources from this partnership will create the second largest number of credit union branches in Oakland County, and a total of 16 branches across Southeast Michigan.”
Oakland County Executive L. Brooks Patterson expressed his support for the proposed merger, stating, “Since 1953, Oakland County Credit Union has supported county workers and their families. I fully endorse this new partnership with Vibe Credit Union that will expand their branch locations to better serve more people and businesses in more communities.”
In 2017, Vibe Credit Union had $2,010,385 in net income, according to its NCUA call report. Its net worth ratio as of Dec. 31, 2017 was 13.42 percent (“well capitalized”).
In 2017 Oakland County Credit Union reported $2,269,768 in net income. Its net worth ratio as of Dec. 31, 2017 was 10.81 percent (“well capitalized”).