Personal Data Accidentally
Leaked At Bethpage FCU
BETHPAGE, N. Y.-Bethpage FCU last week said personal information from 86,000 of its members' VISA debit card accounts had been accidentally exposed on the Internet by an employee. BFCU said on May 3 an employee posted data on a file transfer protocol site that the employee believed to be secure. But Bethpage later found the data could be accessed through search engines and it removed the data on June 3 - one month later - once it became aware of the breach. It sent out e-mails on Monday informing members who were affected and notified NCUA. Credit union officials said there has been no fraud detected on the cards yet.
The credit union found out about the breach about a week ago when a member contacted it, saying the data came up during a Google search.
Corporate Merger Continues
Despite Capital Shortfall
COLUMBUS, Ohio-Corporate One FCU announced last week that Southeast Corporate FCU fell a little short of its goal to raise $75 million in perpetual contributed capital but the combination of the two corporates will go through anyway with Southeast's $68 million of PCC.
The merger will create one of the nation's four largest surviving corporates, with almost $5 billion in assets and more than 1,100 CUs nationally. The other three are Catalyst Corporate FCU of Texas, Alloya Corporate FCU of Illinois and Mid-Atlantic Corporate FCU in Pennsylvania.
Southeast's new capital will give the combined entity a total of $213 million of PCC, allowing the newly formed corporate to attain NCUA's category of "well capitalized" under the new corporate rules.
In Settlement CU To Upgrade ATMs
PITTSBURGH-Century Heritage FCU, one of 19 local institutions sued by a legally blind consumer over the ATM provisions of the Americans with Disabilities Act, has agreed to upgrade its ATMs over the next three months to provide adequate access to the blind in exchange for dismissal of a class action suit. Under the terms of the June 6 deal, the $130-million credit union has agreed to perform the necessary work to upgrade its ATMs within 90 days. It will have a representative of the plaintiff in the suit, Robert Jahoda, certify the machines are in compliance. CHFCU is one of 19 credit unions and banks, including USX FCU, that were sued by Jahoda, who is legally blind, in the weeks since the March 15 final implementation deadline.
NCUA Bans 3 From CU Industry
ALEXANDRIA, Va.-NCUA has banned Anna Salazar, a former employee at Alamo FCU, for embezzling more than $725,000 from the San Antonio CU. Salazar was convicted of embezzlement in 2009 and sentenced to 41 months in prison and is to pay $725,047 in restitution in the scheme, through which she and her husband used the funds for their own use.
NCUA also banned Marsha Richard, a former employee at Atlantic Regional FCU, for stealing $520,000 from the Brunswick, Maine, CU. Richard is serving a 33-month prison sentence.
Pet Refreshment Booth Sponsored
GREENWOOD VILLAGE, Colo.-Bellco CU has signed a two-year sponsorship deal with Cherry Creek Fresh Market. The $2-billion BCU will sponsor the Pet Refreshment Booth inside the store, providing shoppers who bring pets a place to get water and treats. IBellco will also sponsor the Bellco Bike Corral at the store's entrance.
Achieva Sells HQ For $2.8M
CLEARWATER, Fla.-Achieva CU, which is preparing to move to nearby Dunedin, has sold its headquarters for $2.8 million.
* An article in the June 11th issue incorrectly stated Steven Brookner's title. Mr. Brookner is president of NCB, FSB, the National Cooperative Bank's federally chartered savings bank.
COSTA MESA, Calif. - Credit bureau Experian has introduced a new credit score designed to assess the creditworthiness of consumers who have little or no traditional credit history - typically referred to as underbanked or underserved consumers. The company's Extended View includes three unique data sources: Experian's credit data, rental information and public record data.
MONETT, Mo. - Jack Henry & Associates is launching a commercial banking app for Apple's iPad. The company said its new iBizManager allows users to manage their accounts through fund transfers, bill payments and alerts, as well as other features.
"The business of banking has evolved from brick and mortar, to the Internet, and now to smart phones and tablets," said Pete Hopkins, Jack Henry's general manager of Internet solutions. "Banks need a progressive mobile strategy for their retail and business customers, and they need secure technology to drive that strategy."
NEWARK, Del. - Student loan giant Sallie Mae said its Upromise unit has introduced a rewards MasterCard through Barclay's. The rewards cards offers 5% cash back for college on eligible online purchases at hundreds of major online retailers through Upromise.com; 4% cash back at thousands of Upromise Dining restaurants; up to 3% cash back on eligible gas purchases at Exxon or Mobil locations; 2% cash back at eligible movie theaters and 1% on everything else. There is no annual fee for the card, no cap on earnings and no minimum spending requirements.