SUCCESSFUL PARTNERSHIP MODELS

1
SUCCESSFUL PARTNERSHIP MODELS

• Presented by
• Rufino Carbajal Jr.
• West Texas Credit Union
• 545 N. América Dr.
• El Paso, Texas 79907
• Phone [phone] ext. 206
• e-mail rcarbajal_at_wtcu-ep.org

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EL PASO CREDIT UNION AFFORDABLEHOUSING CUSO

• In 2000 eight credit unions partnered-up with a
  basic goal and that was to provide affordable
  housing to the underserved community of El Paso,
  Texas.

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EL PASO CREDIT UNION AFFORDABLEHOUSING CUSO

• The Partners
• El Paso Area Teachers Federal CU,
• El Paso Bell Federal CU,
• El Paso Employees Federal CU,
• Ft. Bliss Federal CU,
• Golden Key Federal CU,
• GECU (Greater El Paso Credit Union),
• Mountain Star Federal CU,
• West Texas CU

4
Community Strength

• The eight credit unions have a combined
  membership of over 400,000 members and assets
  over 2.0 Billion.

5
Technical Assistance

• Technical assistance was provided by the National
  Credit Union Foundation and the Texas Credit
  Union Foundation.

6
Initial Grant

• 25,000 grant was awarded to the CUSO by the
  National Credit Union Foundation to complete a
  study on the demands of affordable housing in the
  community.

7
Bidding Process

• After several bids the study was awarded and
  completed by the bureau of business research and
  services, college of business administration and
  economics, of New Mexico State University

8
The Study

• The studies revealed that there was approximately
  19,500 household in our market area that did not
  owned their homes and would require and
  affordable home loan

9
Chartering of the CUSO

• A Business Plan was completed, implemented and
  supported by both the National Credit Union
  Foundation, the Texas Credit Union Foundation.
• The El Paso Credit Union Affordable Housing CUSO
  was chartered.

10
Management

• The eight credit union CEOs are the CUSOs Board
  of Directors that manage the affairs of the CUSO.

11
Initial Capital Investment

• An initial investment of 40,000 was invested by
  the eight participating credit unions, 5,000
  each.
• Aside from the investments many hours of in-kind
  technical assistance was provided the CUSO

12
Funding Provided to CUSO

• A warehouse loan to fund CUSO Mortgage loans.
• A Guaranty to Southwest Corporate Federal CU for
  5,000,000 for funding of mortgage loans.

13
Other Services by the Partnering Credit Unions

• Marketing of CUSO services to credit union
  membership.
• Access to Financial Consumer Financial Products
  to serve the underserved
• Promote services to First Accounts and Youth
  Accounts