Industry Leaders Form Credit Union Risk Council

Council Established by Nine Founding Groups

February 27, 2008 – Nine credit union industry institutions and groups announced today that they have formed the Credit Union Risk Council to assist credit unions in developing and implementing effective risk management activities. Participating institutions are: Card Services for Credit Unions, Credit Union Card Center, Credit Union 24, CUNA Mutual Group, The Members Group, Pemco Technologies, Pennsylvania State Employees Credit Union, PSCU Financial Services and TNB Card Services. Advisory participants include: CUNA, FBI, MasterCard, NAFCU, U.S. Postal Inspection Service, U.S. Secret Service and Visa.

The Credit Union Risk Council is the first organization formed to address the topic of risk management from the unique perspective of credit unions. Council members will work together in a spirit of cooperation to act as advocates for credit unions and to create industry solutions specifically designed for credit unions. Members will also evaluate whether new risk technologies are applicable to the credit union industry.

The Council will focus on developing best practices for risk and fraud management including: complying with PCI standards; working with local and national law enforcement agencies; developing ongoing data security standards; and assisting credit unions in educating their members on ways to minimize exposure. 

“The Council’s participating institutions see the value of aligning into an advisory group that can work with government and law enforcement agencies and credit card companies to share knowledge and develop new ways for credit unions to detect and combat fraud,” said Steve Ruwe, who is Chairman of the Council and Chief Risk Officer of PSCU Financial Services.

“This Council is a great example of the credit union philosophy of ‘people helping people” and we are excited that so many of us were able to come together and collaborate for the benefit of all credit unions,” said Robert Hackney, President, Card Services for Credit Unions.

“This cooperative environment is the best way to combat fraudulent activities and allow the credit union industry to develop effective deterrents that ensure lower risk for the credit unions as well as the safety of members’ account and financial information,” Jeff Russell, Vice Chairman of the Risk Council and Chief Innovation Officer of The Members Group.

Russell added that the Credit Union Risk Council will also include a small number of credit unions that perform in-house risk management and data security processing. Pennsylvania State Employees Credit Union is the first of these institutions to join the Council.

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