Two Connecticut-based credit unions are planning a merger that would result in an institution with 20,000 members and more than $150 million of assets.
The $104 million-asset Finex Credit Union in East Hartford has plans to join forces with the $52 million-asset First Connecticut Credit Union in Wallingford.
The anticipated effective date will be midyear 2023, the credit unions said in a press release Thursday.
“Long-term growth and the ability to best serve our members has always been and will continue to be our goal. This merger will be unique in that it will expand personalized services via technology to our membership while continuing our successful indirect
lending business under the FCCU Dealer Services’ banner,” Susan Brown, president and CEO of First Connecticut, said in the press release.
Brown would become chief financial officer and president of the dealer services unit with the combined organization. She would also continue to oversee the credit union’s indirect lending staff, all of which would remain in place after the merger.
Michael Palladino, president and CEO of Finex, would lead the resulting institution after the merger.
First Connectictu’s lone branch — in Wallingford — would be added to Finex’s three other branches, and the membership would have access to thousands of shared branches nationwide.
Finex earned $524,000 in the first nine months of 2022, a 61% decrease compared with a year earlier, according to call report data from the National Credit Union Administration.
First Connecticut earned $679,000 in the first three quarters of 2022, a 91% increase compared with a year earlier.