LANHAM, Md.— A group of credit union leaders is working to form a national trade group dedicated to the needs of small CUs, defined as those below $500 million in assets.
A timetable for a formal launch of the group and its name have yet to be finalized, but the plan is to announce both by October, according to Joshua Urbick, CEO of the $29.2-million IBEW 26 FCU in Maryland, who is leading the effort. Urbick said discussions have been underway for approximately a year related to forming the organization.
Urbick declined to say how many other credit union leaders are involved but said there has been significant interest from those interested in joining, and that the interest has come from across the country and has also included vendors and other strategic partners. The initiative has spread primarily via word of mouth, he said.
Urbick said the disappearing number of small credit unions has been the impetus for forming the group. It’s an issue that should matter to all CUs, not just to those at risk of filing their last 5300, he said, explaining that it is smaller CUs that help to “protect” credit unions and their tax-exempt status on Capitol Hill.
Must ‘Stop the Erosion’
“The more we fade into irrelevance or just go away, the more detrimental it is to the rest of the industry,” Urbick said, adding that if the trendlines continue, “We may not have a credit union movement left in 10 years if we don’t stop this erosion of small credit unions.”
Urbick said some may view the formation of the new group as divisive, but he said the group’s objective is not to cause any schism between smaller CUs and trade groups such as America’s Credit Unions or the Defense CU Council. In fact, he expects many small CUs will want to maintain their membership in those organizations and he and organizers of the new group have met with both organizations, along with NCUA.
Urbick described what organizers are seeking to create as a “national network of small credit unions all kinds plugged into each other” where there will be “different resources available.” The model, he said, remains under discussion, with one proposal being that groups of smaller CUs in specific areas could come together to meet, similar to the traditional chapter model among state CU associations. (Urbick noted that in a prior role he was a chapter president in Idaho.)
Ideas Being Discussed
Other ideas being discussed include offering resources around preventing mergers from becoming a default, building profitability at struggling CUs, providing a CFO or accounting services, succession planning, training, board education and more.
“You tell us what the problem is and we’re going to find a solution,” Urbick said. Given the cost constraints most small CUs face, Urbick said it’s likely initial meetings and trainings would occur virtually and potentially take place regionally.
Urbick added that in reviewing the training available from other organizations, costs can be as high as $2,500 or higher, which can be a small CU’s entire annual budget for such training/events.
No Merger With ESCUD
Urbick said the proposed new association will not be part of or merging with Endangered Small Credit Union Defense (ESCUD), the Kennewick, Wash.-based group formed by Doug Wadsworth, CEO of Tri Communities Credit Union that has also been championing small CUs. Wadsworth has been featured in the CU Daily on numerous occasions, and most recently shared an opinion piece offering advice on the hiring of an incentive-based loan officer.
Urbick said he served on the board of ESCUD for several months before stepping down to focus on the new organization (see related story). He also serves on the America’s Credit Unions’ Small Credit Union Advisory Panel. He added that Wadsworth has offered to share the extensive regulatory resources ESCUD has assembled.
“I think there’s going to be some cross-pollination between the two,” Urbick said. “He’s doing some great work on his front and he’s offered to help support us and vice versa, but we’ll remain entirely separate.”
‘Excited’ About Launch
“Personally, and on behalf of ESCUD, we are excited that small CU voices have the change to be amplified by a trade association exclusively for our small shops, and we are looking forward to that launch,” Wadsworth told the CU Daily. “ESCUD will support this new trade association in any way possible to advance small CU regulatory relief priorities. ESCUD will also continue to partner with other trade associations or leagues willing to partner and listen to our advocacy priorities – for instance, both ACU and DCUC have been great advocacy partners since ESCUD was established last year.
Urbick, who penned a widely read opinion piece on the CU Daily here in November of 2025, said additional details on the new organization will be forthcoming.
America’s Credit Unions Responds
In response to the formation of the new organization, Scott Simpson, president and CEO of America’s Credit Unions, said in a statement, “Credit unions are built on the principle of freedom, including the freedom to come together to serve communities through cooperative finance and the constitutional right to assemble around shared priorities. At America’s Credit Unions, small credit unions play a central role in shaping our work. Leaders from small institutions serve on our board and committees, guide our advocacy agenda, and help ensure our efforts reflect the real challenges they face every day.
“We know many small credit unions are under tremendous pressure from both market forces and regulatory demands. We remain deeply committed to working alongside them, providing the advocacy, tools, and support needed to help them survive and thrive while defending their right to exist as member-owned cooperatives.
“We’re aware of the efforts underway to form a new association and have already had conversations with Josh about his plans. Our focus remains on strengthening the entire credit union movement, and we will work with anyone aligned with the mission of advancing and protecting cooperative finance. In Washington, a unified voice matters. Because when our movement speaks with dissonance, it can be worse than silence, and ensuring credit unions of all sizes are empowered and protected will continue to guide our work.”
