Mountain America Credit Union and Utah State Credit Union will be merging in September under the name of Mountain America.
The Board of Director representing each credit union unanimously voted in support of the merger proposal June 24."It's an unusual situation. Usually when there is a merger, the weaker institution is gobbled up by the stronger one. But they are both very solid and sound institutions," said S. Douglas Cline, Mountain America president. He said each credit union has assets totaling about $150 million.
Grant B. Clayburn, Utah State Credit Union president, said the merger will provide plenty of work for everyone and no layoffs will take place.
The merger will add three new locations for Mountain America customers in southern Utah and a new branch in Bountiful for Utah State customers.
"Whenever you take two healthy institutions that complement each other such as these, it will only enhance what we're trying to achieve - which is service to the membership," Cline said.
Cline said the merger will reduce expenses and save an estimated $2 million annually. He added that the merger will help update Mountain America's computer system.
All current payroll groups and direct deposit program will continue unaffected by the union. Accounts will continue to be federally insured.