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Hanover and Montego Credit Unions to present merger rationale today

Published:Tuesday | January 12, 2016 | 1:00 AM
The Hanover Cooperative Credit Union building.

The Lucea-based Hanover Cooperative Credit Union (HCCU) and the Montego Cooperative Credit Union (MCCU) in St. James, have put

forward a proposal to their members, for the merging of the two entities.

The first of the official presentations of the rationale for the merger, is to take place at a special meeting of the two organisations at the Blue Marlin Restaurant in Hopewell, Hanover, today.

In recent weeks, both entities have

been circulating flyers bearing information relating to the proposed merger and its

benefits. In their rationale, the two credit unions stated that such a move would enable them to "achieve healthy growth and

provide better services" to their members and empower them to have "more funds available for lending; more products and services and branches to serve members; an increase in the use of technology and better returns on investments as financial resources are pooled".

COMMON PLATFORM

The organisations also stated that the merger was ideal as they are both "close neighbours and profitable entities" and that it would result in "one common transaction platform."

The HCCU was founded the late Hanoverian educator, Enid Gonsalves, in 1975, as a local community oriented savings institution, to provide financial services to the people of Hanover. At the end of 2013, membership at the credit union stood at just under 30,000 members while at the end of 2014, shares and savings deposits combined stood at $897.2 million.

In January 2015, the HCCU moved to its own state-of-the-art building at Seaview Drive in Lucea, after vacating its former offices located at the Hano Plaza on the same street, where it had operated for more than two decades.

The MCCU was formed as a result of the merger of the St. James and St Paul's Credit Unions in 1969 and operated out of the

St Paul's United Church Hall at the time. Today, the institution has its own facilities 6 Sam Sharpe Square and another set of offices at 20 Church Street, in Montego Bay, which accommodates its credit and finance departments. The organisation's membership stands at 32,000 and it has a loan portfolio of more than $1.59 billion and savings of $2.24 billion.