Three Manitoba credit unions become one

A merger between three Manitoba credit unions has passed.

Caisse Financial Group, Assiniboine Credit Union and Westoba Credit Union members voted to combine the three associations with over 80 percent approval.

The change is expected to take effect at the start of 2025.

Jim Rediger, President and CEO of Westoba Credit Union said the change was really just to make things easier and safer for users.

“The merger for us makes us much stronger, more sustainable, we need size and scale to meet all of those needs and our communities’ needs now and into the future,” said Rediger. “As a smaller financial services player, we have to compete against larger credit unions and banks and other major financial services players.”

He said that with more technology in banking, it’s easier to have a larger company with one website or app, rather than each having to make their own.

“We need more scale to position us to build off for our members better rates, fees, innovative products and services. We really felt all three of us that this was important to merge now and be able to build that size and scale to be able to meet the needs of the financial services industry,” he said.

Rediger added that cyber-security was another important factor in deciding to merge. With a larger company, it would be easier to maintain strong barriers to private information.

Had the merger not been passed, business would have stayed as usual.

Rediger also said none of the 50 locations from the three branches are expected to close.

The vote went through with 84 percent of Caisse voters, 88 percent of Westoba voters and 89 percent of Assiniboine members. Along with the 50 locations, the new credit union, which will go by Assiniboine Credit Union has 216,000 members and $9.6 billion in assets.

“As a merged organization, we are committed to continuing our work with partners for mutual benefit and the common good. We believe a merged credit union will have even greater capacity to create shared value for employees, members, and communities,” said Assiniboine Board Chair, Crystal Laborero in a press release.

“This merger makes us stronger and more sustainable while honouring our Francophone roots. We are now in a better position to compete with larger credit unions, banks, fintechs, and other major financial services providers. We can also now provide our members competitive rates, fees, and innovative products and services that only larger entities can offer,” said Caisse board chair, Réal Déquier in the same press release.

The three credit unions have hundreds of years of combined experience, with Caisse having unlocked its doors all the way back in 1937.