Upstate New York credit unions plan merger
Two credit unions in upstate New York have announced their intent to merge, with Webster Federal Credit Union set to become a part of Finger Lakes FCU.
The $17 million-asset Webster FCU will retain its brand identity and operate as a division of Finger Lakes Federal, a $194 million-asset institution based 55 miles away.
The combined institution is expected to serve 22,000 members across four counties with over $212 million in assets.
Finger Lakes Federal indicated that the deal has not yet been approved by regulators and a date for a member vote has not yet been set, but the transaction is expected to close sometime during the fourth quarter, according to a press release linked to on its Facebook page. Several credit unions have had to reschedule member votes for planned mergers this year as a result of the coronavirus.
“We see this as a win-win situation for both credit unions and collective members that we serve,” Finger Lakes FCU said in a post about the merger on its Facebook page. “Finger Lakes FCU will help to expand the product and service offering, while preserving Webster’s name, staff, office and hours. Webster will operate as a division of Finger Lakes. It will be a great investment and partnership in which we will both be better off.”
All of Webster FCU's employees are expected to be retained.
Webster posted a second-quarter loss of more than $11,000, down sharply from the $27,000 it earned during the same period last year.
Finger Lakes’ second-quarter net income stood at nearly $436,000, down from almost $572,000 at the end of June 2019.