LAKE FOREST, Ill. — The $4.64-blllion Consumers Credit Union and the $1.85-billion Scott Credit Union in Edwardsville, Ill. said they are seeking to merge.
The combined credit union would have more than 424,000 members. The two CUs are approximately 300 miles apart.
The credit unions anticipate a June 1, 2027, effective date, subject to regulatory approval and approval by Scott Credit Union members. Both boards unanimously approved proceeding with the proposal.
At midyear, CCU reported $17.3 million in net income and net worth of 8.96%. Scott CU had $10.5 million in net income and net worth of 10.14%.
In citing benefits of the proposed merger, the institutions said greater scale would support expanded services, increased investment in technology and additional resources for community programs.
‘Builds on Strengths’
“This proposed merger builds on the strengths of two successful organizations to create something even greater for our members,” said Sean Rathjen, CEO of Consumers Credit Union. “Together, we can invest more in technology and expand our capabilities. We can also strengthen our communities while continuing to deliver the personalized service our members expect.”
Rathjen said support for military members, veterans, military families and first responders would remain a priority, building on Scott Credit Union’s military heritage.
Should members vote in favor, the credit unions said they will continue operating independently until the merger takes effect. Members can continue using their accounts, loans, cards, digital banking services and branches as usual, and no immediate action is required, the institutions said.
‘Transparency a Priority’
“As we move through the approval process, transparency and communication will remain a priority,” said Frank Padak, Scott Credit Union’s president and CEO. “We are committed to keeping members informed every step of the way and providing advance notice of any future changes.”
The credit unions said they would provide regular updates to members, employees and communities as the regulatory and member approval processes proceed.
Potential Member Benefits
The institutions said the combined credit union is expected to offer:
- Expanded branch and service access.
- Enhanced lending capabilities.
- Greater investment in digital services and technology.
- Additional resources for community support and philanthropy.
- Greater financial scale and long-term sustainability.
- Expanded financial education, scholarship, workforce development and community engagement opportunities.
“Both organizations share a deep commitment to putting people first,” Padak said. “By combining our strengths, we can create more opportunities for members, employees, and the communities we serve while remaining focused on the cooperative principles that define us.”
The institutions said their shared goals extend beyond financial performance to include community investment, greater financial opportunity and improved experiences for members and employees.
Boards Cite Long-Term Value
Lawrence Haffner, chairman of Scott Credit Union’s board, said in a statement that directors considered the proposal’s implications for members, employees and communities.
“This proposed merger builds on the trusted legacy of both credit unions and creates greater opportunities to deliver meaningful member value while expanding our community impact,” Haffner said.
Scott Drabicki, chairman of Consumers Credit Union’s board, said in a statement that the agreement would strengthen the institution’s ability to serve members, invest in innovation and remain competitive.
“As a member-owned cooperative, CCU’s board has a responsibility to look beyond today and consider what will create lasting value for members,” Drabicki said.
‘Commitment to Members’
“At the heart of this merger is a commitment to our members and our people,” Rathjen said. “Our combined strength allows us to think bigger, invest more boldly, and create greater value while staying true to our mission.”
Scott said it has returned millions of dollars to members through bonus dividends and loan interest rebates.
Additional information on the merger is available at scu.org/ccu-merger.
