Mission and Vision Statement

First Abilene Federal Credit Union is a co-operatively owned financial institution committed to financially empowering our membership through a full range of competitively priced, efficiently delivered financial services, education, and counseling. We value our community and member relationships and strive to develop them through professional personalized service and integrity, while embodying the credit union philosophy of "People Helping People."

Financial Empowerment For A Lifetime

Through teamwork and a commitment to excellence, we as a credit union will strive to provide our members with the personalized service and products that will enable them to make prudent financial decisions, and to develop trusted lifelong relationships that will make us the financial institution of choice throughout our service community.

Establishment

As a thriving part of the Abilene, Texas economic community, the employees of Hendrick Memorial Hospital sought the benefits of establishing their own credit union to assist them in their financial endeavors. Seven insightful employees of the hospital filed a formal request for organization with the Bureau of Federal Credit Unions on October 15, 1959. Charter #13290, establishing the Hendrick Memorial Hospital Employees Federal Credit Union, was approved on November 3rd, 1959. The field of membership was open to employees of Hendrick Memorial Hospital, employees of the credit union, their immediate family relations, and related organizations of such persons. Members were allowed to purchase a membership share in the credit union for $5.00.

The credit union’s first Board of Directors consisted of seven hospital employees. The office of the newly elected treasurer became the first location of the credit union and the founding members were offered the basic services of share accounts and signature loans. Volunteer members were responsible for providing credit union services. Credit union membership had grown to 75 members with assets totaling $6,518 by the end of the first year of operation.

As the population of Abilene doubled in the next decade, hospital expansion resulted in staffing increases and the addition of the Hendrick Medical Center Foundation in 1974. The credit union took advantage of these growth opportunities and moved to a permanent location in the hospital as well as establishing regular operation hours during the workweek. The Board of Directors hired a manager in November of 1979, who became the first paid employee of the credit union. By the end of 1979, credit union membership had grown to 601 members with assets approaching $500,000.

1980s

The decade of the 80’s brought many changes for Hendrick Memorial Hospital Employees FCU. Among those changes were additions to the field of membership, a new name, a new location, expansion of services offered to members, a credit union merger, a management change, and an increase in the par value of a membership share to $25.

Additions of the West Texas Medical Center and other rural area hospitals to the field of membership prompted the Board of Directors to seek a name change that would reflect the diversity of the credit union’s growing membership. NCUA approved the name change to Health Services of Abilene FCU in August of 1980. Other additions to the field of membership during this time included area nursing homes, dentists, employees of on-staff doctors, and Humana Hospital, Abilene’s newest hospital.

By 1984, Health Services of Abilene FCU had expanded member services to include term certificates, auto loans, money orders, traveler checks, payroll deductions, IRA accounts, share draft services, and credit card services.

The sharp increase in assets, loans and shares in the late 1980s can be contributed to the increase in services and a merger with the Super Duper Credit Union in 1985. This opened the credit union field of membership to the grocery industry as well as the medical community. Assets were increased by approximately $66,000 and membership increased by 210 members with this merger.

While assets increased during this time period. The credit union’s membership numbers took their first and only decline in 1986 and 1987. This decline could be attributed to the relocation of the credit union office to an off-site location adjacent to the hospital, the increase in the par value of a membership share, and a decline in management effectiveness. This prompted the Board of Directors to recommend a change in management of the credit union. Faye Smith was hired as the new manager of Health Services of Abilene FCU in 1989 and she remains in this position to date.

1990s

While the current location of Health Services of Abilene FCU in north Abilene provided convenient service to the majority of its members, Abilene continued to see increased residential and commercial development to the south. The Board of Directors decided to add a small branch location that would serve this growing area. The branch space was rented in a small medical mall across the street from Abilene Regional Hospital, which employed approximately 1,000 potential members. The new branch offered basic teller services and a loan officer was available to grant consumer loan requests.

Management realized with a deep penetration into the medical field of membership established, the Credit Union would have to begin adding non-medical SEGs to maintain membership growth. In 1994, the Board of Directors requested and was granted an amendment to the charter that allowed the addition of Selected Employee Groups within a 25 miles radius of the facility with 200 or fewer employees and no credit union affiliations to the field of membership. Membership growth between 1990 and 1995 was significant due to the addition of the new SEGs and a marketing plan that included annual membership drives and group orientation presentations to maintain penetration in existing SEGs. In 1993, members participated in a contest to rename the credit union and the Board requested the Credit Union be renamed First Abilene Federal Credit Union in order to better reflect its ever-changing membership field.

Surveys conducted in 1996 revealed that over half of First Abilene FCU’s membership lived in south Abilene. This prompted Management to review the service provided by the branch located in south Abilene. While the south location was convenient to those employed at ARMC, it was not convenient for much of the residential area of south Abilene. The Board of Directors decided to invest in a larger, more predominant location in south Abilene. In August of 1997 a new branch facility was opened at 3324 Catclaw Dr. The facility provided members with extended daily hours, Saturday banking hours, a full service lobby including a mortgage and consumer loan department, a four lane drive-thru and a drive-up ATM.

Again asset and share growth continued, but membership growth slowed between 1996 and 1998 due to the federal injunction placed on credit unions that did not allow the addition of SEGs without a common occupational bond. HR1151 was signed into law on August 7, 1998 and non-occupational related SEGs additions were allowed to credit union membership fields. To alleviate future threats on membership growth, the Board of Directors and Management requested a conversion to a Community Charter that would include a six county geographical area. The area would include all current SEGs and allow continued service to all current members. NCUA would only approve a community charter for Taylor County. This would not allow First Abilene FCU to continue service to all of its current SEGs, therefore, the Board of Directors rejected the charter conversion. They were not willing to sacrifice continued service to current SEGs and members.

To keep up with evolving technology during this decade, First Abilene FCU made several changes in the services offered to its members. In 1991, data processing changed from a batch processor to an in-house computer system supported by Computer Marketing Corp. This in-house system provided a means for the Credit Union to offer several new services to its members such as ATM services, 24 hour, 7 day access to account information through an audio system called the PAL line, an informational website, ACH originations, and a Master Money debit card program. First Abilene FCU also developed an authorized lending relationship with Fort Worth Mortgage in 1993, which allowed the credit union to expand its mortgage-lending program. Y2K preparations became the focus in 1999 as all eyes looked forward to the 21st Century.

2000 – 2006

The new century brought many challenges for the credit union industry. It brought a historic low interest rate environment, new technology and regulatory challenges, and an increasingly competitive market. First Abilene FCU has made many changes to meet these challenges and remain competitive in this fast changing market.

In October 2000 NCUA granted First Abilene FCU the first Community Charter in the Abilene area. This opened credit union membership to anyone who works, worships, attends school, or conducts business in Taylor, Jones, Callahan, Nolan, Runnels, and Eastland counties. This increased the potential membership base from 10,000 to approximately 150,000. A new location was leased for the north-side office during this time period. The old location was demolished and the land was used for expansion of the hospital campus. While the Community Charter and the office relocation allowed First Abilene to become more independent from its original sponsor, a strong relationship remains intact with Hendrick Medical Center and the medical community of Abilene.

Due to the low rate environment, First Abilene FCU has followed the industry trend of healthy loan growth and slowed share and asset growth. In April 2000, NCUA encouraged the credit union to loosen its loan policy to allow for more risk and implement a Risked-Based Pricing policy in an effort to increase loan yield. Loan officers provided on-site lending opportunities at Boat and RV shows beginning in 2003 and an indirect-lending relationship with an auto dealership that allowed the credit union to retain the lending decision was implemented in 2004. First Abilene FCU had utilized the services of a Credit Committee to make lending decisions when the loan request was outside the basic loan policy. In January 2004, all authority to make lending decisions was given to the loan officers and management and the Credit Committee became a Loan Review Committee performing a loan compliance function as well as a mid-level appeal platform. First Abilene FCU continues to explore ways to increase loan yield and increase loan volume as the market changes.

The Banking Security Act, member data security, recent natural disasters and a techno-savvy membership base have placed a high priority on technology development for all financial institutions. With a hardware and software upgrade in 2001, First Abilene FCU was able to offer members an informational and transactional website. “Flex Teller” gave members 24-hour Internet access to account information and “1st Pay” gave them the ability to pay bills online. In July 2003, E-statements became available to the credit union membership. System security became a priority in 2004 with a firewall upgrade, intrusion detection hardware and remote vulnerability testing. While First Abilene FCU had a disaster recovery plan in place it became necessary to implement a more comprehensive plan. In May 2005, Computer Marketing Corp was contracted to supply, offsite data storage and restoration of hardware, software, and data in case of a disaster.

First Abilene FCU has implemented new services for members in an effort to remain competitive in today’s market. In January 2004, a member appreciation program offered a free 11x13 portrait to all members. A Gap/Warranty program gave members the opportunity to buy warranty or gap insurance on all financed vehicles. “Courtesy Pay,” a program offering overdraft protection on qualifying draft accounts, was implemented in September 2004. These new services helped the membership of the credit union as well as increased the return on assets in a low interest rate environment.

In January 2005, the Board of Directors approved the purchase of land for a new main office facility at 1118 Pine Street. This location will give the credit union a greater presence in the business community of north Abilene. The groundbreaking ceremony was held September 21, 2005 to begin the construction project on a 1.4 million dollar main office facility. The Pine Street facility opened for business in April 2006. This new facility offers extended business hours; expanded drive-thru lanes, an ATM and night drop services to the credit union membership. The visibility gained with the new facility has been a great factor in the membership growth for 2006.

First Abilene FCU has seen approximately 4% membership growth each year for 2004 and 2005. In 2006, the credit union enjoyed an 8.8% growth in membership. Along with the new building, a computer upgrade was accomplished in 2006, which has allowed the credit union to offer more efficient service.

With the steadily increasing rate environment and tightening GAP that was seen the first part of 2006, First Abilene FCU sought ways to increase fee income and cut processing costs. The credit union changed ATM and debit card processing to the CO-OP Network giving its membership access to over 25,000 ATMs surcharge free across the nation and obtained cooperative pricing on card transactions.

In the face of rising office occupancy costs, First Abilene closed 2006 with a .99% net return on assets. The credit union’s net worth maintained steady growth and closed at 11.41%.

The future looks bright with the prospect of increasing membership and a strong financial foundation. The economy of the service area remains strong and the membership potential is promising. The Board of Directors, management and staff of First Abilene FCU look forward to meeting the challenges the future holds.