Credit union plans merger with Terrace institution

  • Wed Jan 11th, 2006 5:00am
  • News

Northern Savings Credit Union may be merging in June with the Terrace and District Credit Union.
Chief operating officer Mike Tarr says the impetus for the merger is coming from the Terrace institution.
“Their board of directors made a decision. They felt no longer capable of remaining independent due to their size and the changing financial industry,” he said.
Mr. Tarr says the board looked at many potential partners and at the end of a long process decided Northern Savings was the right candidate.
Northern Savings already has a branch in Terrace, which will amalgamate with the Terrace and credit union if the merger goes through.
The next step is for Northern Savings to prepare a business plan to be reviewed by the Terrace credit union members, who will vote on the merger at their annual general meeting. If it’s approved by two-thirds of the members voting, the merger will take effect at the end of June.
Mr. Tarr says the merger will have no direct impact on Queen Charlotte Islands customers, except that Northern Savings will be a somewhat larger credit union than it is now.
He says the credit union has a total of $360 million in assets. The Terrace and District Credit Union has $45 million in assets.