Polish & Slavic Federal Credit Union Celebrates 35th Anniversary

BROOKLYN, N.Y., March 27, 2012 /PRNewswire/ -- Thirty-five years ago this month, New York City was awash in red ink, crime and urban decay.  Newly arrived immigrants found jobs scarce, credit tight and housing difficult to obtain.  To help their countrymen build roots in this foreboding city, a group of Polish religious and business leaders created a small financial institution in Brooklyn that would eventually become the nation's largest ethnic credit union.

(Photo:  http://photos.prnewswire.com/prnh/20120327/NY76836)

What started as a small charter to provide mortgage loans to those who had yet established credit in their adopted country, the PSFCU today has grown to be one of the most successful and profitable credit unions in the country, and a towering and respected presence in the Polish communities of Brooklyn, New Jersey, Illinois and the entire metropolitan New York City area.

In celebrating its founding 35 years ago, the PSFCU looks back on a proud history of steady growth, smart and sober decision-making and a commitment to its members to help improve their health, wealth and prospects for success.

"It's amazing to look back and see an organization that started with a few thousand dollars in deposits and a handful of members, and watch it become an envied institution with 75,000 members and assets of nearly $1.5 billion.  We've never lost focus of what our role is, and that is to be a vital part of the community.  We always knew that if we could help our members and their neighborhoods prosper, we would do so, too.  It's that simple," said Marek Luniewski, who served as the PSFCU's first CEO from 1977-1980.

Today, the PSFCU is a success in virtually every benchmark.  It has a net-worth-to-assets ratio of 9.91%, well in excess of the 7.0% required by the National Credit Union, and has $1.2 billion in members' deposits.  This past year, the PSFCU doubled the rates on IRA certificates from 16 to 35 basis points, and it successfully strengthened relationships with key sponsors, including the development of the Associate Partner Agreement that involves a number of Polonia organizations, which is expected to lead to an increase in membership, and introduction of its eighth sponsor, the Kosciuszko Foundation.

Few would have thought that the original Industrial and Commercial Federal Credit Union, as it was first known, would grow to be such a prominent player.  One year after opening, the credit union boasted just $20,000 in deposits from 42 members.  It had received a total of three loan applications its first year.

"We experienced rapid growth out second year, when our membership swelled to 700 members and we had almost $1 million on deposits," said Oskar Mielczarek, the current CEO and president of the PSFCU.  "That is when we started to look at expanding our operations as more Poles spread out around the metropolitan area."

Early on, the PSFCU began taking an active role in the community by offering donations, sponsorship of local initiatives and free health screenings.  It also realized the importance of empowering its members by providing the means to achieve higher education.  By 2001, the credit union began its own scholarship program, where it awarded $20,000 in financial aid to high school and college students.  Since then, the credit union has provided $2.4 million in scholarship grants to nearly 1,700 students.

"There is no doubt we'll reach another 35 years, but our success will always be determined by the success of our members.  It gives us great pride to be able to make it possible for smart and talented people reach their academic potential.  We are fortunate to be able to fulfill this role for our members and their children," said Malgorzata Gradzki, chairman of the PSFCU Scholarship Committee.

About the PSFCU
Founded in 1976 by a group of Polish immigrants to help other ethnic Poles obtain mortgages, the Polish & Slavic Federal Credit Union now has 15 branches in New York, New Jersey and Illinois, and an operations center in Fairfield, NJ. The credit union also has a Mobile Branch, which is used at community events and an Online Branch accessible through its website, www.psfcu.com. The 35-year-old credit union, with almost $1.4 billion in assets, serves more than 75,000 members of the Polish and Slavic communities.  PSFCU, which is the largest ethnic credit union in the United States, also offers a network of more than 40,000 free ATMs throughout the U.S.

SOURCE PSFCU