Southwest Colorado Federal Credit Union with some 4,000 members in La Plata County and four other Southwest Colorado counties will merge Jan. 1 with the Credit Union of Colorado, which has 134,000 members.
Durango credit union merges with bigger statewide operation
“We are excited to be part of the Durango community and adjacent communities, and we look forward to meeting and serving their financial needs. We think we can really provide great products and services for them,” said Terry Leis, CEO of Credit Union of Colorado.
A credit union is a member-owned financial cooperative that provides members with credit at competitive rates, as well as other financial services.
Leis said initial conversations about a merger began in February, and executives from the two credit unions discovered their “values aligned,” especially their shared commitment to member services.
“We want to help fulfill members’ financial needs and what’s in their best interests, and that’s a philosophy we share with Southwest Colorado Credit Union,” he said.
Credit Union of Colorado is a member of two surcharge-free ATM networks, CO-OP Financial Services and Money Pass, that together provide access to 62,000 fee-free ATMs.
Taking advantage of economies of scale, Leis anticipated Credit Union of Colorado would be able to offer lower interest rates on loans and higher interest rates on deposits than currently offered at Southwest Colorado Federal Credit Union.
The Durango branch will remain in place with its current staff.
Leis said 96% of Southwest Colorado Federal Credit Union members voted to approve the merger with Credit Union of Colorado in balloting conducted in person, electronically and through mail. The vote was concluded Monday, Dec. 16.
Emily Ter Maat, CEO of Southwest Colorado Federal Credit Union, said in a news release: “This merger is great news for our members. By joining with a larger, more diversified credit union, we’ll be able to offer our members a sound and secure future without sacrificing the personalized service and dedication to our community that they trust us to deliver. We would not have taken this step if we had not found a partner whose culture was consistent with ours.”
Leis said Credit Union of Colorado has $1.6 billion in assets under management compared with $55 million for Southwest Colorado Federal Credit Union.
Southwest Colorado Federal Credit Union began serving members in 1958 and currently serves members in Archuleta, Dolores, La Plata, Montezuma and San Juan counties.
Credit Union of Colorado was founded in 1934. It has 16 branches throughout Colorado. In addition to 10 branches in metro Denver, it has branches in Cañon City, Colorado Springs, Fort Collins, Grand Junction, Greeley and Pueblo.
Membership is open to nearly any resident of Colorado.
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