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For Immediate Release
Contact:
Jan Dailey, SVP, Marketing Manager
972-391-6191, jan.dailey@tnbcard.com
Kristine Tanzillo, Dux Public Relations
972-889-9577, kristine@duxpr.com
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TNB CARD SERVICES CLOSES 2006
WITH PURCHASE
OF FOUR MORE CREDIT CARD PORTFOLIOS
DALLAS - January 22, 2007 - TNB ended 2006
with the acquisition of 21 credit card portfolios it
purchased from credit unions across the U.S.
In the latest round of acquisitions, card
portfolios were acquired from Northeast Panhandle
Teachers Federal Credit Union of Perryton, Texas;
Southern Lakes Credit Union of Kenosha, Wisconsin;
American Federal Credit Union of Mission Hills,
California; and Saugus Federal Credit Union of
Saugus, Massachusetts.
Northeast Panhandle Teachers FCU, which
serves 18 school districts in Texas, sold its card
portfolio because of the increased cost of bond
insurance. "With the increase in insurance, we
would have to limit other programs and marketing of
our card program if we maintained ownership,"
said Rick Smith, president of Northeast Panhandle
Teachers FCU. "By selling our card portfolio to
TNB, we get to continue to offer a branded card
product to our members, plus we will be able to
offer a broader program with better rates."
-t-t-
Southern Lakes Credit Union of Kenosha,
Wisconsin, serves approximately 11,500 members
living and working in Racine, Kenosha, Walworth,
Milwaukee, Waukesha, and Rock counties in Wisconsin
and Lake and McHenry counties in Illinois. With
close to $1 million in outstanding balances,
Southern Lakes sold its portfolio in order to
broaden its card program and eliminate the growing
cost of bond insurance.
"When we were told our bond insurance would
increase, we began to seriously evaluate our card
program and options. We realized our program was
limited in terms of rates and marketing
programs," said Troy Perlberg, chief operating
officer of Southern Lakes Credit Union. "By
selling the portfolio to TNB, we've been able to
expand the product and give our members a more
robust card product. The cards we offer now through
TNB are better than what we had before, and we are
better positioned to compete against national
financial institutions."
-t-t-
Fifty-one-year-old, American Federal Credit Union
of Mission Hills, California, sold its card
portfolio in order to give its members a stronger
card program with better rates and card offerings.
With only a Classic Visa to offer members, it wasn't
able to attract a large number of cardholders.
"TNB showed us how we could offer better
rates and different products without sacrificing our
brand," said Ron Gobble, president and CEO of
American Federal Credit Union. "Now we have a
stronger card program that will enable us to
strengthen our membership base. We also received an
infusion of funding that we can use to grow our
membership."
-t-t-
Saugus Federal Credit Union, chartered in
1938, also sold its card portfolio to TNB. Saugus
serves people living and working in Suffolk, Essex,
and Middlesex counties in Massachusetts. It has
7,945 members and assets of $67 million.
"TNB presented us with the opportunity to
expand our credit card program to our members,
reduce the risk of fraud and delinquency to the
credit union, reallocate our resources internally,
while maintaining the ability to gather fee income
for new cards which we believe will be generated
from this partnership," said John Smolinsky,
president/CEO of Saugus FCU.
-t-t-
About TNB Card Services
TNB Card Services, owned and directed by credit
unions since 1976, provides electronic payments
processing, as well as an agent issuing solution for
credit unions nationwide. Serving more than 450
financial institutions and managing more than 1.6
million cards, Dallas-based TNB enables credit
unions to enhance member loyalty through credit
union-branded card products. For more information
about TNB, go to www.tnbcard.com or call Dusty
Bowers at 1-800-422-0733 ext. 6555.
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