Members of Allegany, N.Y.-based Enchanted Mountains Federal Credit Union have voted in favor of a proposal to merge into Olean Area Federal Credit Union.
OAFCU has more than $269 million in assets and serves 17,800 members with two branch locations in Olean, N.Y. Enchanted Mountains FCU has assets of just $12 million and about 1,000 members.
The National Credit Union Administration approved the merger on Dec. 28, 2017. Both parties have slated June 11 as the closing date.
“We are extremely excited about the merger and feel there are advantages to members of both organizations,” said Stephen Foster, Olean Area FCU president and CEO.
Sheila Rees, president & CEO of Enchanted Mountains FCU, stated: “Increased costs of technology prohibit a smaller institution such as ours from the ability to offer services such as mobile deposit and ATMs.”
Foster told Credit Union Journal by email that Rees will be retiring and the employees of Enchanted Mountains FCU will join Olean Area FCU.
Olean Area FCU posted net income of about $2.7 million in each of the past two calendar years. 2017. Meanwhile, Enchanted Mountains FCU posted a net loss of about $22,000 in 2017, after recording net income of about $26,500 in the prior year.