A local credit union that began operations in a former Chatham truck assembly plant nearly seven decades ago is preparing to merge with a larger credit union to provide, it says, more products and services to its customers.
Heritage Savings & Credit Union and FirstOntario have agreed to a merger pending appropriate approvals, officials said Monday.
“We take our responsibility of doing what is in the best interest of our members very seriously,” said Heritage Savings CEO Shawn Newman. “This merger will allow us to offer our members a much wider array of financial products and services, stronger rates, more digital solutions and many other benefits.”
Newman said by joining forces with FirstOntario, the local credit union will be much stronger and will secure the future for employees and members, as well as adding additional value to the community.
“Keeping pace with rising costs, the speed of change in the financial industry and the necessary investments in digital banking solutions has become increasingly challenging for credit unions our size,” he said
This is not the first time Heritage Saving has grown.
Newman said the credit union began operating in the former Navistar truck assembly plant 69 years ago as a closed bond operation, when it was originally known as the International Harvester Employees Credit Union.
“As time went it on, it moved out of the plant and became an open bond credit union for all of Chatham-Kent,” he said.
Over time, the credit union merged with the Chatham Community Credit and other credit unions operated by civil servants and the St. Joseph parish.
“Both credit unions are passionate advocates for members, employees and the communities we serve,” said Dave Schurman, chief strategy officer of FirstOntario Credit Union, in a media release.
“By joining forces, we will build on our strengths and broaden our ability to offer the best in financial products and services.”
“We are coming off the most successful year in our history, both financially and operationally, so the timing is perfect for FirstOntario to collaborate with a well-run credit union like Heritage Savings to spread our shared co-operative values and the benefits of banking at a credit union to even more Ontarians and communities,” FirstOntario CEO Lloyd Smith said in the release.
Newman said the Chatham branch remaining in place is very important going forward.
The merger is expected to close in the fall.