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Executives with Chabot Federal Credit Union announced this week that a proposed merger agreement has been reached for the Dublin-based financial services provider to be absorbed by University Credit Union later this year, pending member approval.
The move will allow the local credit union, which primarily serves members from Chabot and Las Positas community colleges and the city of Hayward, to expand its financial offerings to the higher education community while keeping its staff intact at the soon-to-be-rebranded Chabot Branch of University Credit Union on Donlon Way, officials said in a joint statement Monday.
“We hope to combine our resources with a credit union that mirrors our long history of helping people achieve their financial goals,” Chabot FCU CEO Christine Petro said. “This proposed merger will allow us to maximize our efficiencies, enabling us to enhance products and delivery channels to our members, while retaining our entire team, our programs and services, and our existing location.”
Petro said she and Chabot FCU board members expect a positive response from local members, who will vote on the proposed merger by Sept. 14. If approved at that time, the deal would be finalized in the fourth quarter of this year.
Founded in 1962 with just 40 members and $2,716 in total assets, the member-owned financial cooperative has grown to approximately 1,650 members and over $60 million in total assets serving Chabot College, Las Positas College, the Chabot Las Positas Community College District, the city of Hayward and several select employers in Dublin.
Chabot FCU began searching for a prospective financial partner last year, with University Credit Union standing out as “an obvious best choice” as an industry leader with a demonstrated track record of serving its members in higher education with a breadth of traditional and electronic services, according to Petro.
“We are proud and excited to have CFCU join us in this marquis partnership,” said University Credit Union CEO David Tuyo II, DBA. “The combined entity will enable our team to provide more accessibility to a suite of comprehensive financial services for all members, as we unite to ensure that university and college communities are fully supported in all areas of financial concern.”
A federally insured financial cooperative headquartered in Los Angeles, University CU boasts more than 40,000 members in the college community in California.
