DANVILLE — Danville Consolidated Credit Union will merge with the much larger Landmark Credit Union, effective Sept. 3, Landmark President Randy L. White said.
The Danville Consolidated office at 176 Eastgate Court will become an office of Landmark, which will continue to have locations at 506 W. Fairchild St., Danville, and 220 S. State St., Westville.
All employees of the two credit unions will be retained, White said. Danville Consolidated employs four, while Landmark has 23.
White said Danville Consolidated approached Landmark this spring about the possibility of a merger. He said Danville Consolidated interviewed "three or four" credit unions before deciding on Landmark.
Landmark has about 9,600 members, and Danville Consolidated has "just under 1,400," potentially giving the combined credit union about 11,000 members, he said.
Danville Consolidated, which traces its history back to 1950, originally served employees of ESCO Corp., which opened a manufacturing and distribution facility in Danville in 1947. The credit union later adopted a community charter, merged with the Eastgate credit union and expanded to serve employees in that area of town.
Landmark, which traces its history to 1935, originally served employees of the Veterans Affairs hospital in Danville and adopted the Landmark name in the mid-1980s. White said the credit union has had several mergers since the 1980s, the most recent being with the Westville Community Federal Credit Union in 2003.
Landmark serves people who live or work in most — but not all — of Vermilion County. However, with the merger, Landmark will adopt some of the Danville Consolidated bylaws, allowing Landmark to serve all those who live or work in Vermilion County, Illinois, and Fountain, Warren and Vermillion counties in Indiana.
Danville Consolidated President Jeri Hanson said Landmark will be able to provide members with more services than Danville Consolidated could offer.
Those include mobile banking, special benefits for members 55 and older and eventually an automated teller machine at the Eastgate Drive location, she said.
"We're a very small credit union, and with the economy the way it is, we couldn't compete with the (loan) rates the auto dealers offer," Hanson said.
Danville Consolidated also had to stop making mortgages, she added.
According to the National Credit Union Association, Landmark has about $65.1 million in assets, while Danville Consolidated has about $5.7 million in assets.
BauerFinancial, a credit union rating service, gave Landmark a 5-star ("superior") rating and Danville Consolidated a 3-star ("adequate") rating based on data from March 31 of this year.