Coast Capital Savings calls proclamation of federal credit union legislation an historic milestone for industry

SURREY, BC, Dec. 21, 2012 /CNW/ - Coast Capital Savings welcomed the federal government's announcement today of the formal implementation of the federal credit union legislation and regulations, saying it opens a significant new chapter for financial services and consumers in Canada.

The proclamation of the federal credit union legislative framework means interested credit unions across the nation now have the option to expand their services beyond current provincial boundaries, under federal charter. But even more importantly, it will serve to increase consumer banking choices nationwide.

"This day will go down as an historic milestone, not just for the credit union movement, but for Canada's financial services industry as a whole," said Tracy Redies president and CEO of Coast Capital Savings. "For credit unions that have the dream to expand nationally, but have been held back over the years by legislative hurdles, the proclamation of the federal credit union legislation opens up exciting, new growth possibilities. Even better, consumers across Canada will benefit from more national competition in the industry, and the unique value proposition that credit unions bring to the financial services marketplace."

Redies applauded the federal government for its commitment to bringing this historic legislation, unveiled in the 2010 budget, into force.

"The government engaged in a broad-based consultative process over several years and we want to commend their dedication, their openness to input from the credit union sector and the thorough work that has gone into the creation of the new legislative framework," Redies said. "Canada is consistently recognized as having the best banking system in the world and the new federal credit union law goes to reinforce this reputation, as well as the government's support for growth and greater consumer choice in the industry."

Redies said while the new legislative framework is a significant step forward for credit union expansion, individual credit unions will need to decide whether or not federal incorporation makes sense for them.

"We'll be following the same process ourselves," Redies said. "Now that the legislation is in force and the regulations are in place, we can more fully explore what federal incorporation would mean for our organization. We are committed to having an open dialogue with our members, employees and partners before making any decisions."

Coast Capital Savings Credit Union is Canada's second largest credit union with total assets under administration of $13.5 billion, 475,000 members and 50 branches in the Metro Vancouver, Fraser Valley, and Vancouver Island regions of British Columbia. Product innovations include Canada's first free chequing account from a full-service financial institution and the country's most flexible mortgage product, the You're the Boss™ Mortgage, which was named 2010 Mortgage of the Year by canadianmortgagetrends.com. Coast Capital offers one of Canada's 10 Most Admired Corporate Cultures™. It is a member of Canada's Best Managed Companies Platinum Club and an Imagine Canada Caring Company. To learn more, visit www.coastcapitalsavings.com.

SOURCE: Coast Capital Savings Credit Union