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U.S. Community Credit Union nearly triples field of membership

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The National Credit Union Administration has approved an application to nearly triple the field of membership for Nashville-based U.S. Community Credit Union.

The expansion will allow $215 million-asset U.S. Community to jump from a five-county field of membership to 14, granting the credit union the ability to serve all “persons who live, work, worship, or attend school in and business and other legal entities located in Davidson, Rutherford, Wilson, Sumner, Williamson, Cannon, Cheatham, Dickson, Hickman, Macon, Maury, Robertson, Smith or Trousdale Counties,” the credit union said in a press release.

The move comes on the heels of a 2016 challenge from then Governor Bill Haslam, calling on credit unions to improve how they serve rural counties across Tennessee, many of which don’t have access to financial institutions. In the wake of that, the credit union said, U.S. Community established a strategic goal to bring services to as many counties across the state as possible.

“We are very excited about this expansion,” President and CEO Paul Johnson said. “We are now able to not only bring our products and services to these areas, but also our core values and exceptional service to the residents of these counties.”

The credit union is planning a series of pop-up branches across the nine new additional counties in order to spread the word, a move other credit unions have used to help introduce themselves into new markets.

NCUA call report data shows U.S. Community CU posted a net income of just under $800,000 last year, down sharply from almost $1.9 million in 2018. Provisions for loan and lease losses nearly tripled in 2019, rising from $253,000 in 2018 to more than $701,000 last year. Charge offs also increased, rising from just over $1 million in 2018 to nearly $1.8 million in 2019, led primarily by an increase in charge offs for used car loans. Reportable delinquent loans were up by 25%, including a 34% increase in the number of delinquent indirect auto loans.

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