As more and more credit unions take on sub-debt, Chip Filson ponders the incentive behind acquiring such debt, what risks come along with it, and how these accounts will play out in the long term.
What happens when a credit union-owned CUSO is sold? Chip Filson looks into the 2022 sale of Safe Harbor Financial to special purpose acquisition company North Lights Acquisition Corp.
Chip Filson wonders whether members’ interests are protected in both credit union-bank acquisitions and mergers, or only the former.
Saying a credit union “merged with” instead of “acquired” a bank may seem trivial, but Chip Filson doesn’t think so. He says it blurs the lines between the two different financial institutions and weakens the cooperative nature of credit unions.
Merger, acquisition, are they really that different? Chip Filson thinks so, and says bank acquisitions are not in the interest of existing members.
Why do bank shareholders get a better deal during an acquisition by a credit union than member-owners in a credit union merger? Chip Filson breaks down the financial details of the two, and wonders why merged credit union owners get a raw deal.