Community Trust and Self-Help credit unions merge

By J.N. Sbranti
jnsbranti@modbee.com

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Modesto's Community Trust Credit Union, which was founded in 1961 by Tri Valley Growers, has merged with Self-Help Federal Credit Union.

The not-for-profit financial organizations call the merger "a proactive step by both credit unions to capitalize on their relative strengths."

"This is a great opportunity to partner with another financially strong credit union, enabling us to expand services to members and our impact in the community," said Joe Duran, Community Trust's chief executive officer. "Self-Help Federal Credit Union shares our culture, mission and dedication to best serve our members, all the makings of a great partnership."

Community Trust used to be called the Food Processors Credit Union. In 2001 it opened its membership to anyone living, working or worshipping in Stanislaus, San Joaquin, Tuolumne or Calaveras counties.

Community Trust has about 12,400 members from more than 90 companies and assets of about $42 million.

The merger with Self-Help Federal "is going to infuse a nice amount of money onto our balance sheets," Duran said. He said his credit union's net capital should triple.

Duran said that extra cash will enable Community Trust to provide more mortgages to first-time buyers and expand its staff. There currently are 36 employees, but Duran said he's "getting ready to hire a couple people."

Duran said about 50 percent of Community Trust's members are low-income residents and 65 percent are Latino. He said about 125 people become members each month.

Community Trust has branches on Tenaya Drive in Modesto and Patterson Road in Riverbank.

The merger will help the credit union provide "access to responsible financial serv- ices for underserved communities," according to Steve Zuckerman, Self-Help's managing director for California.

"Community Trust's strong management, experience and tradition of promoting services for working families enhances Self-Help Federal's ongoing activity in this arena," Zuckerman said. "Together, we have a solid platform from which to support the preservation and enhancement of financial services to low-income communities across California."

Community Trust will do business as Community Trust Credit Union, a division of Self-Help Federal Credit Union.

The merger was approved earlier this year by Community Trust's membership, along with federal and state regulatory agencies.

Self-Help Federal was founded in 1980 to serve female, rural and minority borrowers across North Carolina and Washington, D.C. Last year it merged with People's Community Credit Union in West Oakland.

Its goal is to help borrowers build wealth by owning homes or businesses. It tries to strengthen communities by financing nonprofits, child-care centers, health facilities, charter schools, and residential and commercial real estate projects.

Bee staff writer J.N. Sbranti can be reached at jsbranti@modbee.com or 578-2196.