Beehive To Call It Quits As A CU

SALT LAKE CITY (February 21, 2008) – A majority of members of the $187 Beehive Credit Union who voted in its charter change balloting voted to leave their credit union charter and become a mutual bank, the credit union has reported on its Web site www.beehivecredit.com.

“We extend our heartfelt thanks to members who exercised their right to vote and look forward to maximizing convenience and continuing to provide high quality products and services to our members now and into the future,” wrote Beehive President Scott Jorgensen on the site. “The charter change will be completed as soon as practicable following the receipt of applicable regulatory approval from the National Credit Union Administration, Office of Thrift Supervision and Federal Deposit Insurance Corporation.”

The CU reported that 36% of the members eligible to vote, roughly 22,000 according to Jorgenson in local media story, voted 57% to 43% in favor of the move. Based on the CU’s numbers that meant roughly 4,500 members voted to for the bank charter.

Teri Dial, a member who helped organize other members against the conversion said in a story in the Salt Lake Tribune that she planned to move her accounts once the conversion takes place and other members had told her of their plans to do the same. When asked about the possibility of loss of business Jorgenson was quoted doubting the possibility, “we’ve acted in the members’ best interests” he said. (CU Times)