Wisconsin credit unions to merge

Two credit unions in Eau Claire, Wisconsin, are merging.

Royal Credit Union, which has $3.8 billion of assets, announced Friday it has agreed to combine with the $6.7 million-asset Utilities Credit Union.

Utilities members approved the plan on Thursday. The new entity will use the Royal Credit Union name and operate under Royal’s leadership starting Sept. 30.

“We look forward to welcoming UCU Members to Royal Credit Union,” Brandon Riechers, Royal's president and CEO, said in a press release. “Royal offers a wide variety of products and services from several offices around Eau Claire, making the merger a great fit for UCU Members. We are excited to extend our value proposition and community commitment to the UCU Membership. In addition, we are pleased to offer all employees and retired employees of Xcel Energy and its subsidiaries added benefits through Royal’s Employer Partnership program beginning in October.”

In August, Royal announced it was purchasing Lake Area Bank in Lindstrom, Minnesota. It was the eighth credit union-bank merger announced in 2021 and would be Royal’s second whole-bank acquisition.

Utilities Credit Union was founded in 1932 to cater to Xcel Energy/Northern States Power employees, active or retired, and their families. The credit unions estimate that 500 of its 896 Members are also Royal members.

“Royal Credit Union is a strong financial institution with a history that is quite similar to that of UCU, as Royal was started by a group of employees within a company in 1964,” John R. Ness, Utilities Credit Union's board chairman, said in the release. “Royal’s core purpose of creating a positive impact in the lives it touches is consistent with UCU’s own philosophy and values, and we appreciate Royal’s excellent reputation in the communities it serves.”

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