Mainebiz

O N T H E R E C O R D V O L . X X I I I N O. V I I I A P R I L 1 7 , 2 0 1 7 32 B Y R E N E E C O R D E S N early a century after Maine's fi rst credit union was created, the sector is still growing, and Murphy is especially excited about interest from millennials. e league's latest tally shows a 6.5% rise in assets at Maine's 58 credit unions in 2016, to $7.3 billion. Over the same period, membership increased by 2.8%, to 685,926, and loans jumped 9.6%, to $5.2 billion. MB: What's driving the membership growth? JM: We're thrilled to see a gain of 70,000 members just in the last fi ve years. If you think of a state like Maine that has not had any real population growth if any at all, to see this trend is certainly something that we're really happy with. Credit unions are not-for-profi t fi nancial cooperatives, not only local but owned by the people that use their services, so it makes sense that you see strong credit union support in the state. MB: Where specifi cally are new members coming from? JM: We're pleased to see it coming from all age demographics. We're especially pleased with the millennial popula- tion on how they have responded to the opportunity to belong to a credit union. If we look at the ideals of that age group, and the reasons for credit unions today, they are a very good match. Millennials are responding in very good numbers, not only taking advantage of the technology credit unions have to off er whether mobile or home banking, but they also like to go into branches for specifi c purposes. MB: The lending momentum is also going strong. Why is that? JM: Maine's credit unions had a gain of $458 million in loans in 2016. You have to remember that dollars go back into local communities across the state, whether through the purchase of vehicles, homes, retail products, and small business loans. A lot of banks have turned their backs on small busi- nesses. We hear story after story where a member comes in to a credit union and said the bank was not interested in their $150,000 business loan. Credit unions have helped to fi ll that void left by a number of traditional lenders. MB: And how do credit unions stay relevant today? JM: Credit unions have an obligation to the members to provide the ser- vices that members expect and deserve. Credit unions have done a good job in that regard. ey've come together to form the largest branch network in the state with over 175 branches, created the largest ATM surcharge-free network, and they're using the latest technology whether it be mobile or home banking. Credit unions aren't our great-grandpar- ents' credit unions anymore. Part of that is the role that technology now plays in the delivery of fi nancial services. MB: What industry innovations are you most excited about? JM: I am certainly enthusiastic about the work that the Maine Harvest Credit Project has done to date, hopefully that will get over the fi nish line soon. We are also very excited about credit unions expanding their branch networks. e branch of the future is going to look much diff erent, you won't walk in and see a 20-station teller counter. But branches will still deploy all the prod- ucts and services that members expect through various delivery channels. MB: Finally, will we see more credit union mergers? JM: Mergers have always been part of the business, and that will continue to be the case. It is ultimately the boards' responsibility to decide whether a merger makes sense for an institution, and for their members. P H O T O / T I M G R E E N WAY John Murphy will retire as president of the Maine Credit Union League after seeing membership at credit unions grow by 70,000 in the last fi ve years alone. This June, John Murphy will retire as president and CEO of the Maine Credit Union League and its Synergent service subsidiary, a post he has held since July 1, 1992. The Portland native, who turns 62 this May, spoke with Mainebiz before passing the baton to Todd Mason, who will join the Westbrook-based organization on April 24. " " " " Colors Pantone 2747 Pantone 1807 IT Solutions Designed for Your Business Finding the right IT partner is one of the most important decisions your company can make. At WGTECH, making information technology work for your business is our core competency. We develop individualized solutions that help you grow your business, improve operations, and boost efficiency. We're Northern New England's resource for advanced technology – we'd like to partner with you. www.WGTECH.com 207.856.5300 Control Costs & Increase Productivity Credit unions have Credit unions have Credit unions have Credit unions have Credit unions have Credit unions have Credit unions have Credit unions have Credit unions have helped fill that void helped fill that void helped fill that void helped fill that void helped fill that void helped fill that void helped fill that void helped fill that void helped fill that void helped fill that void helped fill that void helped fill that void helped fill that void left by a number of traditional lenders.

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