How do I know that the new credit union won also experience financial problems?
Space Coast Credit Union is a well-managed financial institution, with strong reserves and operating efficiencies that have allowed the credit union to become one of the top providers of mortgages, vehicle loans, and deposit accounts in our market area. SCCU is well-prepared to extend service to the members of EFFCU and ensure the safety and soundness of the combined credit union going forward. This action will actually insulate both credit unions from a concentration of risk by expanding and diversifying the economies in which we operate. The service area for the expanded credit union includes a wide variety of employment sectors, which protects the cooperative from the impact of a weakness or downturn in any particular area of the economy. On its own, EFFCU had very little net worth, but the combined entity now has approximately $200 million in net worth. Now that the merger has been approved, all of EFFCU’s assets will be written down to fair value and the entity should be profitabl
