Introducing: MY CU® Services

MY CU^® Services bill pay platform is a leader in affordable online bill payment solutions for credit unions, with features and functionality that allow you to offer your members more without having to pay more.  Whether you are looking to add bill pay to your product offerings or just to upgrade from your current service to provide more functionality, you won't want to miss this opportunity to check out our new partner, MY CU^® Services.

Dates:  Thursday, March 4, 2010 | 1:00 pm CST
              Tuesday, March 9, 2010 | 9:00 am CST
              Wednesday, March 10, 2010 | 1:00 pm CST

Register: Online (MY CU^® Services) | www.mycubillpay.com

Special Offer
Sign on to offer MY CU^® Services PLUS program by May 28, 2010, and the initial set-up fee will be waived.  Plus, you’ll receive up to 90 days of FREE processing and call center support.  Join us for one of the aforementioned webinars to learn more.

Contact Sarah Holt or Circe Gleeson with questions at 800.721.2677 | Ext. 122 or 106, or email marketing@kansascorporate.org.

Fraudulent International Wires on the Rise

Wire processors are seeing increased fraudulent activity on international wires as well as domestic.  Since the beginning of 2010, our international wire transfer vendor has seen four fraudulent, large-dollar wires sent to Japan, South Korea and Cyprus, originated from 4 different credit unions in different parts of the United States.  In 2 of the instances, scam artists moved money from a member's home equity line of credit to a checking account via the credit union's online banking application before wiring the funds out of the country.

Wires processed online through Kansas Corporate require dual verficiation and other security settings are available on our online platforms that help reduce the risks of transacting business online.  As a reminder, make sure you are being vigilant in identifying wire remitters and continue to be on the lookout for warning signs of fraudulent activity in every area of your daily operations.

The U.S. government's central Web site for information about identity theft and identity fraud prevention resources is www.ftc.gov/bcp/edu/microsites/idtheft//.

For more information please contact Tonya Johnston, Operations Manager, at 800.721.2677 Ext. 113 or email tonyaj@kansascorporate.org.

FRAUDULENT CHECK CASHING SCAM UPDATE

If you have received a check and accompanying letter from Kansas Corporate Credit Union it is a FRAUDULENT attempt to obtain monies. 

We were originally notified in mid-January of a check cashing scam that involved receipt of a letter and check drawn on Kansas Corporate Credit Union.  The original letter contained an ID Code, our logo and a phone number and fax number that are not legitimate.  Upon calling the number, it was answered Kansas Corporate Credit Union and the representative asked for the ID Code from the letter. 

UPDATE:  FEBRUARY 3, 2010
Kansas Corporate was once again notified of a secondary check cashing scam.  A letter was issued from Trustnet, A Financial Express Company, along with a check drawn on Kansas Corporate.  The letter stated that the recipient was a winner in the North America Consumer Promotion Drawing.

AGAIN -These are both FRAUDULENT check cashing scams!  Check amounts, instructions, and details may vary per letter but the checks are fraudulent.  Do not proceed with the transactions.  We will provide more information as it becomes available.  Please contact Kip Poe, VP, Information & Technology, at 800.721.2677 | Ext. 104, for more information. 

Commercial Real Estate Lending

Despite the “gloom and doom” that seems to exist around the Commercial Real Estate (CRE) market, there are many good CRE lending opportunities out there if credit unions can learn to effectively manage the risks involved.  With that in mind, CU Business Group, our partner for providing reliable, knowledgeable advice to aid credit unions through every step of the lending process, published the following guidance in regard to CRE lending…

The Commercial Real Estate Market:
Area of Opportunity or Meltdown?
by Larry Robbins, CUBG Senior VP and Chief Credit Officer

Many experts are predicting the commercial real estate (CRE) market will be the next big meltdown in the economy. Some markets have been hit much harder than others. For example, the Silicon Valley office market in California is clearly overbuilt, which means years of recovery. More than 43 million square feet of office space stood vacant at the end of the third quarter 2009, according to the CB Richard Ellis Group Inc.

To effectively manage risk in this industry sector, first and foremost, credit unions should not take on loan situations that are beyond their capabilities. Frankly, credit unions should not be impacted by Silicon Valley office tower foreclosures because these loans are more than we can effectively manage. Credit unions that stick to smaller, “plain vanilla” CRE lending will have better results in the long run.

Second, while it is important to have a macro view on economic conditions, understanding submarkets is the key to making good loan decisions. A current appraisal remains the best way to understand these submarkets.  A thorough review and understanding of the appraiser’s due diligence, assumptions and conclusions remains a top priority. Quality appraisals require a detailed discussion of the state, county and local market for the subject property. The appraisal should tell whether the submarket is improving, declining, stagnant, or over-built.

Beyond this, the fundamentals of appropriate commercial real estate lending rarely change. Below are some key points to remember for CRE lending in today’s market:

1. Demand current appraisals with a qualified secondary review.
2. Don’t automatically go to 80% loan to value. You may need more cushion in a declining market.
3. Who is the borrower? Is it an existing member with good experience? Is it a new member? Is the deal sourced from a loan broker? If so, how well do you know the broker?
4. If the loan is a refinance to payoff another lender, are you taking on someone else’s problem loan?
5. Cash flow is still king. Does the property historically support a minimum 1.25 DSCR?
6. Who are the major tenants and how strong are they?
7. Is the property multiple use, specialized or single purpose?
8. Be wary of construction loans in this market. If the payback is from future sales or future unidentified tenants you may want to pass.
9. Be cautious with strip malls and retail buildings, especially with a large anchor tenant (think Circuit City).
10. Remain diligent with environmental issues.

The bottom line is that there are still many good opportunities out there for credit unions. Just stick to the fundamentals of commercial lending and your chances of success will increase dramatically.

CU Business Group, LLC, was formed specifically for the purpose of assisting credit unions in offering business lending and deposit services.  Through a partnership with CU Business Group, your credit union gains access to the expertise, experience and infrastructure needed to align your services with the business needs of your members. 

For more information on the services available through a partnership with CU Business Group, contact Circe Gleeson or Sarah Holt today at 800.721.2677 | Ext. 106 or 122, respectively, or simply email marketing@kansascorporate.org.

CUBG 2010 National Business Services Conference

Join CU Business Group,fellow credit union professionals and a slew of industry experts August 23 - 25, 2010, for CUBG's 4th Annual National Business Services Conference in Portland, OR.

• Experience the learning opportunity 120 attendees took part in last year
• Hear from industry experts on a variety of business lending and deposits topics
• Network with credit union peers and key business services vendors
• Attend Early Bird sessions and the CUBG Members-Only Meeting for even more education
• Visit CUBG headquarters in beautiful Portland, OR
• And MORE!

Watch for more information in the coming months!  We hope to see you there!

For questions, please contact Circe Gleeson, KCCU Marketing Manager, at 800.721.2677 | Ext. 106.

CHECK SCAM IDENTIFIED

If you have received a check and accompanying letter from Kansas Corporate Credit Union it is a fraudulent attempt to obtain monies.  We received notice today from a consumer that they had received a check and letter from Kansas Corporate Credit Union.  The letter contains an ID Code, our logo and a phone number and fax number that are not legitimate.  Upon calling the number, it was answered Kansas Corporate Credit Union and the representative asked for the ID Code from the letter.

The letter instructs the recipient that they have won a customer service award.  They are instructed to cash the check at their bank, keep $100 and Western Union the remaining amount to a resident of Ontario, Canada. The letter also instructs the recipient to complete a survey about the service they received in processing this transaction and fax it back to the fax number provided.

AGAIN -This is a fraudulent attempt to obtain monies.  Check amounts, instructions, and details may vary per letter but the checks are fraudulent.  Do not proceed with the transactions.  We will provide more information as it becomes available.  Please contact Kip Poe, VP, Information & Technology, at 800.721.2677 | Ext. 104, for more information. 

CUBG 1Q Training Schedule

CU Business Group industry experts know what you need to know and now offer you the opportunity to get that knowledge in the format you want.  Training is available Over the Net, In-person, and On-Demand Too!

And did we mention how AFFORDABLE it is!  CUBG members get one FREE login for all 100-level webinar courses...that's right, FREE - so gather everyone around one PC and get the basic business services education for FREE!  2^nd logins and all 200-300 level courses are just $69 for Members and $99 for all other credit unions. Now is not the time to skimp on training for your business services support staff - these sessions fit easily into any budget!

Over the Net...

March Webinars

• Merchant Services: Introduction & Overview | Tuesday, March 2nd **FREE**
• Understanding NCUA MBL Regulations | Friday, March 5th
• CUBG Products and Services Overview | Wednesday, March 10th **FREE**
• Lines of Credit & Interviewing Your Borrower | Friday, March 12th
• Advanced Collections, Foreclosures & Liquidations | Monday, March 15th
• The New Accounts Desk | Thursday, March 18th
• Taking Care of the House...Business Loan Portfolio Management | Monday, March 22nd
• Business Loan Participations, New Regulations & Requirements | Friday, March 26th
• HOT TOPICS in Environmental Due Diligence | Wednesday, March 31st

Visit the KCCU Upcoming Events Page for webinar details.

In-Person Meetings... 

Analyzing Business Loans | March 30 - April 1 | San Antonio, TX
This in-depth business lending education course covers the full spectrum of business loans, including reading and interpreting tax returns, debt service coverage appraisals, and examiner hot buttons.  The course is presented in an efficient but in-depth three day format.

• $695 - CUBG Members | $795 for all others

On-Demand Too...

Can't make it at the date or time specified above?  Scheduling conflicts are no longer a problem as many of CUBG's webinars are available On-Demand.  Some of the most popular CUBG webinars have been recorded and are now available to purchase, making it easy to train at your convenience. Most recorded sessions are just $129 and there is no limit to the number of times it can be viewed by your credit union.  Visit the CUBG website for a complete listing of sessions available On Demand.

And, a BONUS...

CU Business Group has been approved by the National Association of State Boards of Accountancy (NASBA) as a sponsor of continuing professional education on the National Registry of CPE Sponsors.  CPE credits can now be earned on the Analyzing Business Loans (21.5 CPE credits) and Cash Flow Analysis (14 CPE credits) Courses! 


For more information, visit the CUBG website or contact Circe Gleeson or Sarah Holt at 800.721.2677 | Ext. 106 or 122, respectively, or email marketing@kansascorporate.org.  For an entire schedule of course dates and times, along with regional course brochures and registration forms, visit the Education tab of the CU Business Group website - www.cubusinessgroup.org. 

Save the Date!

Everyone Welcome! 
You need not be a CUES Member to attend this very affordable, very rewarding Conference!  However, if you decide to join CUES, you'll find the benefits of membership very satisfying!

What is KOMA CUES? 
The Kansas, Oklahoma, Missouri, Arkansas [KOMA] Council of the Credit Union Executives' Society [CUES].

The Annual KOMA CUES Council Meeting is being held April 29 - 30, 2010, once again at the beautiful Chateau on the Lake in Branson, MO.

The 2009 meeting at the same location was a smashing success -- plan NOW to participate
 in what promises to be one of the best conferences of 2010!

Speakers, topics, and agenda will be announced at a later date.
 

 

Corporate Stabilization Program

Click HERE to access the Corporate Stabilization Program area of the NCUA website.

 

Euros and Pesos and Francs...Oh My!

It used to be a rare occurence for a member to request or even inquire about an international service.  WIth many families having loved ones stationed overseas, workers relocated to other countries, and business being conducted across borders, the need for processing payments across countries has escalated and that means you've got to not only offer, but embrace if you will, this new global economy. 

Kansas Corporate's approach is to de-mystify international services with easy to follow steps and systems that provide tools that simplify the processes.  Our comprehensive international services program packages the services you need with education and support from our extensively knowledgable staff.  

International Cash Letter and Collection Item Processing
Cash Letter items typically offer next-day provisional credit but payment is not final and the item could be returned at a later date.  Collection Items provide final payment but it may take anywhere between 6 - 12 weeks to receive payment and items must be valued at or greater than $200 U.S. dollars.  For more information on processing foreign items or to begin use of this service, email marketing@kansascorporate.org.

Foreign Currency
The use of cash is always welcomed and in some countries may be your only means of payment.  Not having some foreign currency on hand when traveling may lead to hassles and poor exchange rates.  Kansas Corporate sells currency from 98 different countries to make traveling more enjoyable and worry-free.  Contact a Member Service Representative to place your order!

International Wires
Our online international wire system - InterLink - was built with so many useful tools and features that sending international payments via wire is a breeze!  Linked to the Kansas Corporate website, this online system not only provides OFAC checks with no additional fees and no additional steps, you can even save remitter and wire information for recurring wire transfers.  InterLink also houses an online Currency Quote/Conversion feature allowing you to login and determine the exchange rate at that very moment!

International Exchange Rates
Need to check exchange rates but aren't ready to process your wire or foreign currency purchase?  Jump on the International Exchange Rates page of the Kansas Corporate website!  This interactive conversion tool works for wires $10,000 and under and calculates the conversion amounts for foreign currency wires and foreign currency purchases too!

Kansas Corporate has the services you need to serve the ever-growing global needs of your members!  Call (800.721.2677 | Ext. 106) or CLICK for more information!

 

Canada Connection

The United States' "neighbor to the north" is quickly becoming one of the, if not the, most important trading partners for the state of Kansas, and much of the U.S.  Many U.S. companies, and even individuals, send payments to Canada daily - credits such as payroll, pension, annuity or utility payments, or debits from consumers and/or companies in Canada for bills owed in the United States.  Making daily payments via check or wire, or even maintaining an account at a Canadian FI, can carry a substantial cost.  Now, thanks to the Federal Reserve Banks partnership with Scotiabank (The Bank of Nova Scotia), U.S. depository financial institutions have a cost-effective, convenient, efficient solution for sending cross border payments to Canada...Canada Connection. 

Canada Connection provides...

• A cost-effective alternative to other payments, offering low per-item fees and competitive foreign exchange rates
• The ability to send both debits and credits to Canada via the ACH network
• Access to any financial institution thanks to Scotiabank
• Delivery of payments in either U.S. or Canadian dollars
• Certainty of clearing and settlement times]
• No deductions from payment amount

How it works...
Canada Connection works in conjunction with APEX-ACH, Kansas Corporate's online ACH origination and receipt system.  Both debit and credit ACH items bound for Canada can be originated through the Canada Connection program.  All transactions are originated in U.S. dollars and then your member can decide the currency that will be applied when received in Canada - either U.S. or Canadian dollars. 

Scotiabank serves as the receiving gateway operator for Canada Connection clearings, and is linked to every financial institution in Canada.  The tremendous volume of cross-border payments handled by Scotiabank, and their aggregate value, allows them to provide a competitive bulk foreign exchange rate to all who use this service.  Scotiabank handles all currency exchanges and format conversions for processing by the Canadian clearing system. 

Settlement of Canada Connection transactions to the ODFI is in U.S. dollars and a low cross-border surcharge is assessed.  If payments are fixed-to-variable (originated in U.S. dollars and paid in Canadian), a competitive foreign exchange rate, as previously noted, is also applied.  Settlement is timely, payable to the Canadian FI either on the U.S. settlement date or one day after, depending on the type of transaction.  With the addition of the Morning Post Service, you can even arrange for early morning delivery of payroll and pension payments to recipients in Canada.  By using certain formatting criteria, you can ensure funds availability by the opening of business on requested due dates, similar to how salary and pension payments are generally treated by U.S. ACH participants.

For credit unions already utilizing APEX-ACH through Kansas Corporate, the functionality to begin submitting ACH credits and debits to Canada is already available to you.  And, Canada Connection transactions are especially simple thanks to added efficiencies within the APEX-ACH system, including...

• Streamlined file processing - cross-border file formatting requirements are already incorporated into APEX-ACH
• Completed testing requirements - the required ACH Operator and Originating Gateway Operator (OGO) tests have been conducted on behalf of all APEX-ACH users
• OFAC checks - all cross-border ACH items originated via APEX-ACH receive an automatic OFAC check

Mere completion of a couple quick FRB forms is all that separates your members from fast, efficient ACH Transactions with Canada.  Even your marketing efforts have been taken care of, as marketing materials and information sheets have already been created and are available along with the enrollment forms.

Not an APEX-ACH user?  An internet based product, APEX-ACH eliminates expenditures for additional software or hardware and reduces implementation and ongoing expenses.  It is a flexible, user-friendly, low-cost ACH solution for your credit union, backed by comprehensive training and ongoing support from our knowledgeable staff and Accredited ACH Professional (AAP).  And, now it provides even more with the addition of cross-border transactions to Mexico, via Directo a Mexico, and now Canada!

For more information regarding APEX-ACH and Canada Connection, or to request the necessary forms and marketing materials for this program, contact Sarah Holt, Business Development Representative, at 800.721.2677 | Ext. 122, or email sarahh@kansascorporate.org.