Lansing-based Gabriels Community Credit Union is in the process of being acquired by Michigan State University Federal Credit Union.
Leadership transitions and challenges in today’s regulatory environment are pushing the merger, according to MSUFCU President and CEO April Clobes.
Gabriels will be transitioning over $32 million dollars in assets and around 2,700 members.
“For their members, they should have very similar credit union experience, but just have access to more products and more locations to do their business,” Clobes said.
MSUFCU anticipates the merger will cause no layoffs. Gabriels' two branches in Jackson and Lansing are expected to transition to MSUFCU locations.
“For us, it's a benefit that our members will have an additional branch location to serve them as we have 5,000 members in the Jackson community,” Clobes said.
The merger would become the third of its kind for the $7 billion MSUFCU. The credit union acquired Eaton County Educational Credit Union in 2013 and with Brandon Community Credit Union in 2016. The mergers added $90 million dollars in assets to MSUFCU, according to Clobes.
The National Credit Union Administration is currently reviewing the merger proposal. Once the federal agency approves the merger proposal, members of Gabriels Community Credit Union will have the opportunity to vote on it. If a majority of members approve the decision, the votes will be reviewed by the NCUA for a final approval.
MSU Federal Credit Union is a financial supporter of WKAR.
