Main Office 3620 Fern Valley Road Louisville, KY 40219 • (502) 964-7575 East Branch 3711 Diann Marie Road Louisville KY 40241 • (502) 415-7777 Cardinal Towne 331 W. Cardinal Blvd. Louisville, KY 40208 • (502) 415-7600 CU Service Centers 4917-B Dixie Highway Louisville, KY 40216 • (502) 448-1686 2925 Goose Creek Road Louisville, KY 40241 • (502) 429-0068 www.classact.org [email protected]Class Act Federal Credit Union Executive Management Lynn Huether President/CEO Tom Anonson Executive Vice President Jennifer Henning Chief Financial Officer Lisa McIntosh Chief Operations Officer Susie Breitmeyer Chief Lending Officer Pat Curran Sr. Vice President Marketing & Business Development Daniela Sarver Vice President Information Technology Board of Directors Gloria Pennington, Chairman James Walker, Jr., Chair-Elect Robert Rodosky, Past Chair Jeremy Hudson, Secretary/Treasurer Elizabeth Caples, Parliamentarian Kris Hamilton Cynthia Potts Joe Vibbert Beverly Westphal Tom Mathews, Director Emeritus (2015) Supervisory Committee Ruth Ann Reteneller, Chair Terri Boss Mark Hartman Quality Control Committee Mary Ann Brumagen, Chair Steve Thomas Regular Share Savings Account Youth Savings Account Summer Savings Account Christmas Club Account Special Savings Account Personal Loan Auto & Motorcycle Loans Boat/RV Loan LifeStyle Access Loan Straight A Checking Account Honors Checking Account Student Honors Checking Account Classic 55 Club Checking Account Money Market Account Accidental Death & Dismemberment Insurance ACH Origination Auto Link Car Buying Service Courtesy Pay Credit Life & Disability Insurance Debit Card Direct Deposit Platinum Visa Credit Card Overdraft Protection Line of Credit Smart Choice Short Term Loan First Mortgage Loan DocuSign™ Secure eSign Service e-Statements Express Line Audio Teller GAP Automobile Loan Protection Group Term Life Insurance Notary Public Service Online Account Opening Online Bill Pay Deposit Products Loan Products Services Trust Account Individual Retirement Account Educational Savings Account Share Certificate Bump-Up Share Certificate Online & Mobile Banking Payroll Deduction Recuperative Care Insurance Safe Deposit Boxes Signature Guarantee SnapDeposit Route 66 Extended Warranty Visa Gift Card Wire Transfer 5/5 Adjustable Rate Mortgage Second Mortgage Loan Home Equity Line of Credit Class Act FCU Member Services 2017 2017 BOARD OF DIRECTORS Robert Rodosky Past Chair James Walker, Jr. Chair-Elect Gloria Pennington Chair Jeremy Hudson Secretary/Treasurer Elizabeth Caples Parliamentarian Beverly Westphal Director Kris Hamilton Director Joe Vibbert Director Cynthia Potts Director 2017 ANNUAL REPORT 2017 Supervisory Committee Report Ruth Ann Reteneller, Committee Chair State and Federal regulations as well as the bylaws of Class Act Federal Credit Union require that the board appoint a Supervisory Committee to oversee an ongoing audit of the Credit Union’s operations. The members of Class Act’s Supervisory Committee are Ruth Ann Reteneller, Terri Boss, and Mark Hartman. Jennifer Henning the Chief Financial Officer for our credit union serves as the staff liaison to our committee. Jennifer never misses a chance to teach us the meaning of financial terms and how they reveal the financial condition of Class Act. The Supervisory Committee does not do audits itself. Rather we search for and retain the services of Certified Public Accountants to perform these audits for Class Act. In 2017 we retained Doeren Mayhew to conduct the annual audit of our financial statements, as of December 31, 2017. We also retained them to conduct quarterly internal audits to examine our operations and compliance with the policies and procedures adopted by our board of directors. In addition to the audits performed by Doeren Mayhew, NCUA (National Credit Union Administration) conducts a periodic examination of Class Act Federal Credit Union. These federal regulators completed their examination as of June 30, 2017 and we received an exemplary rating again. Our report was so good that NCUA has lengthened the time between its examinations from 12 months to 18 months. However, they will continue to be on call to the committee if we would ever feel a need to contact them. It is the conclusion of this Supervisory Committee that Class Act Federal Credit Union continues to be run in a safe manner and that the financial report printed in the Annual Report fairly represents the financial position of your Credit Union. Our promise to you is to continue to work hard to merit the confidence you have shown us. If you ever need to reach us, there is a link on our web page that connects you to our committee. Thank you.
Transcript
2017 Supervisory Committee Report Ruth Ann Reteneller, Committee ChairState and Federal regulations as well as the bylaws of Class Act Federal Credit Union require that the board appoint a Supervisory Committee to oversee an ongoing audit of the Credit Union’s operations. The members of Class Act’s Supervisory Committee are Ruth Ann Reteneller, Terri Boss, and Mark Hartman. Jennifer Henning the Chief Financial Officer for our credit union serves as the staff liaison to our committee.
Jennifer never misses a chance to teach us the meaning of financial terms and how they reveal the financial condition of Class Act.
The Supervisory Committee does not do audits itself. Rather we search for and retain the services of Certified Public Accountants to perform these audits for Class Act. In 2017 we retained Doeren Mayhew to conduct the annual audit of our financial statements, as of December 31, 2017. We also retained them to conduct quarterly internal audits to examine our operations and compliance with the policies and procedures adopted by our board of directors.
In addition to the audits performed by Doeren Mayhew, NCUA (National Credit Union Administration) conducts a periodic examination of Class Act Federal Credit Union. These federal regulators completed their examination as of June 30, 2017 and we received an exemplary rating again. Our report was so good that NCUA has lengthened the time between its examinations from 12 months to 18 months. However, they will continue to be on call to the committee if we would ever feel a need to contact them.
It is the conclusion of this Supervisory Committee that Class Act Federal Credit Union continues to be run in a safe manner and that the financial report printed in the Annual Report fairly represents the financial position of your Credit Union. Our promise to you is to continue to work hard to merit the confidence you have shown us. If you ever need to reach us, there is a link on our web page that connects you to our committee. Thank you.
Special Savings Account Straight A Checking Account Honors Checking AccountClassic 55 Club Checking Account Student Rewards Checking Account
Platinum Visa Credit Card Overdraft Protection Line of Credit Smart Choice Short Term Loan Here & Now Indirect Auto Financing
Direct Deposit e-StatementsExpress Line Audio TellerGAP Automobile Loan Protection Mobile BankingMoney OrdersNotary Public Services Online Account Opening
Online Bill Pay Payroll Deduction Safe Deposit Boxes Signature Guarantee SnapDepositRoute 66 Extended Warranty Visa Gift Cards Wire Transfers
First Mortgage Loan Second Mortgage Loan Home Equity Line of Credit
Class Act FCU Member Services
Executive Management Lynn HuetherPresident/CEO
Tom AnonsonExecutive Vice President
Susie BreitmeyerChief Lending Officer
Jennifer Henning Chief Financial Officer
Lisa McIntoshChief Operations Officer
Daniela SarverVice President Information Technology
Pat CurranSr. Vice President Marketing & Business
Development
Board of DirectorsFrom left: Cindy Potts, Elizabeth Caples, Joe Vibbert, Bob Rodosky, Jeremy Hudson, Beverly Westphal, and Gloria Pennington. (not pictured are Tom Mathews, and James Walker, Jr.)
Executive ManagementFrom left: Jennifer Henning, Lynn Huether, Tom Anonson, Lisa McIntosh,Daniela Sarver, Susie Breitmeyer and Pat Curran.
Board of Directors Bob Rodosky, Chairman
Gloria Pennington, Chair-Elect
Joe Vibbert, Past Chair
James Walker, Jr., Sec./Treasurer
Beverly Westphal, Parliamentarian
Elizabeth Caples
Jeremy Hudson
Tom Mathews
Cindy Potts
Main Office 3620 Fern Valley Road
Louisville, KY 40219 • (502) 964-7575
East Branch3711 Diann Marie Road
Louisville KY 40241 • (502) 415-7777
Cardinal Towne331 W. Cardinal Blvd.
Louisville, KY 40208 • (502) 415-7600
CU Service Centers4917-B Dixie Highway
Louisville, KY 40216 • (502) 448-1686
2925 Goose Creek RoadLouisville, KY 40241 • (502) 429-0068
Quality Control Committee Mary Ann Brumagen, Chair
Kris Hamilton
Adam Kaestner
Steve Thomas
Class Act Federal Credit Union
Supervisory Committee Report by Linnie Maggard, ChairThe Supervisory Committee is appointed by the Board of Directors and charged with theresponsibility for conducting an ongoing audit of your Credit Union’s operations. This isin compliance with state and federal regulations and the approved bylaws of your Credit Union. The members who serve on the Supervisory Committee are Linnie Maggard, RuthAnn Reteneller, and Arica Watkins. Chief Financial Officer, Jennifer Henning, is our staffliaison to the Committee.
One of the primary functions of the committee is to have a comprehensive annual auditconducted to determine that the accounting records accurately reflect the financial condition of the CreditUnion. The Supervisory Committee retained the services of Doeren Mayhew to conduct our audit for the period ending December 31, 2014. Copies of the audited financial statements will be on file and available for review atthe Credit Union. We also retain the services of Doeren Mayhew to perform quarterly internal audits of the CreditUnion and to review operations and compliance with policies and procedures. The Credit Union also receives periodic examinations conducted by our federal regulators. The National Credit Union Administration (NCUA) completed their last review as of December 31, 2013; again, we received an exemplary rating.
It is our opinion that operations within the Credit Union continue to be run in a safe manner and that the condensed financial reports printed in the Annual Report fairly represent the financial position of your Credit Union. As always, we will continue to do everything possible to merit the confidence you have shown in us.
In 2014 alone, Class Act FCU members saved a total of $2.8 million simply by banking with us instead of a for-profit bank.That’s an average of $149 per member, or $283 per household.Source: Informa Research Services, NCUA, and CUNA
$2.8 million
2014 AnnualReportAccelerated Growth
Class Act Federal Credit UnionExecutive Management
Lynn HuetherPresident/CEO
Tom AnonsonExecutive Vice President
Jennifer HenningChief Financial Officer
Lisa McIntoshChief Operations Officer
Susie BreitmeyerChief Lending Officer
Pat CurranSr. Vice President Marketing &
Business Development
Daniela SarverVice President Information Technology
Personal LoanAuto & Motorcycle LoansBoat/RV LoanLifeStyle Access Loan
Straight A Checking AccountHonors Checking AccountStudent Honors Checking AccountClassic 55 Club Checking Account Money Market Account
Accidental Death & Dismemberment InsuranceACH OriginationAuto Link Car Buying ServiceCourtesy PayCredit Life & Disability InsuranceDebit CardDirect Deposit
Platinum Visa Credit CardOverdraft Protection Line of CreditSmart Choice Short Term LoanFirst Mortgage Loan
DocuSign™ Secure eSign Servicee-StatementsExpress Line Audio TellerGAP Automobile Loan ProtectionGroup Term Life InsuranceNotary Public ServiceOnline Account OpeningOnline Bill Pay
Online & Mobile BankingPayroll DeductionRecuperative Care InsuranceSafe Deposit BoxesSignature GuaranteeSnapDepositRoute 66 Extended WarrantyVisa Gift CardWire Transfer
5/5 Adjustable Rate MortgageSecond Mortgage LoanHome Equity Line of Credit
Class Act FCU Member Services
2017 ANNUAL REPORT
2 0 1 7 B O A R D O F D I R E C T O R S
Robert RodoskyPast Chair
James Walker, Jr.Chair-Elect
Gloria PenningtonChair
Jeremy HudsonSecretary/Treasurer
Elizabeth CaplesParliamentarian
Beverly WestphalDirector
Kris HamiltonDirector
Joe VibbertDirector
Cynthia PottsDirector
2017 Supervisory Committee Report Ruth Ann Reteneller, Committee ChairState and Federal regulations as well as the bylaws of Class Act Federal Credit Union require that the board appoint a Supervisory Committee to oversee an ongoing audit of the Credit Union’s operations. The members of Class Act’s Supervisory Committee are Ruth Ann Reteneller, Terri Boss, and Mark Hartman. Jennifer Henning the Chief Financial Officer for our credit union serves as the staff liaison to our committee.
Jennifer never misses a chance to teach us the meaning of financial terms and how they reveal the financial condition of Class Act.
The Supervisory Committee does not do audits itself. Rather we search for and retain the services of Certified Public Accountants to perform these audits for Class Act. In 2017 we retained Doeren Mayhew to conduct the annual audit of our financial statements, as of December 31, 2017. We also retained them to conduct quarterly internal audits to examine our operations and compliance with the policies and procedures adopted by our board of directors.
In addition to the audits performed by Doeren Mayhew, NCUA (National Credit Union Administration) conducts a periodic examination of Class Act Federal Credit Union. These federal regulators completed their examination as of June 30, 2017 and we received an exemplary rating again. Our report was so good that NCUA has lengthened the time between its examinations from 12 months to 18 months. However, they will continue to be on call to the committee if we would ever feel a need to contact them.
It is the conclusion of this Supervisory Committee that Class Act Federal Credit Union continues to be run in a safe manner and that the financial report printed in the Annual Report fairly represents the financial position of your Credit Union. Our promise to you is to continue to work hard to merit the confidence you have shown us. If you ever need to reach us, there is a link on our web page that connects you to our committee. Thank you.
Special Savings Account Straight A Checking Account Honors Checking AccountClassic 55 Club Checking Account Student Rewards Checking Account
Platinum Visa Credit Card Overdraft Protection Line of Credit Smart Choice Short Term Loan Here & Now Indirect Auto Financing
Direct Deposit e-StatementsExpress Line Audio TellerGAP Automobile Loan Protection Mobile BankingMoney OrdersNotary Public Services Online Account Opening
Online Bill Pay Payroll Deduction Safe Deposit Boxes Signature Guarantee SnapDepositRoute 66 Extended Warranty Visa Gift Cards Wire Transfers
First Mortgage Loan Second Mortgage Loan Home Equity Line of Credit
Class Act FCU Member Services
Executive Management Lynn HuetherPresident/CEO
Tom AnonsonExecutive Vice President
Susie BreitmeyerChief Lending Officer
Jennifer Henning Chief Financial Officer
Lisa McIntoshChief Operations Officer
Daniela SarverVice President Information Technology
Pat CurranSr. Vice President Marketing & Business
Development
Board of DirectorsFrom left: Cindy Potts, Elizabeth Caples, Joe Vibbert, Bob Rodosky, Jeremy Hudson, Beverly Westphal, and Gloria Pennington. (not pictured are Tom Mathews, and James Walker, Jr.)
Executive ManagementFrom left: Jennifer Henning, Lynn Huether, Tom Anonson, Lisa McIntosh,Daniela Sarver, Susie Breitmeyer and Pat Curran.
Board of Directors Bob Rodosky, Chairman
Gloria Pennington, Chair-Elect
Joe Vibbert, Past Chair
James Walker, Jr., Sec./Treasurer
Beverly Westphal, Parliamentarian
Elizabeth Caples
Jeremy Hudson
Tom Mathews
Cindy Potts
Main Office 3620 Fern Valley Road
Louisville, KY 40219 • (502) 964-7575
East Branch3711 Diann Marie Road
Louisville KY 40241 • (502) 415-7777
Cardinal Towne331 W. Cardinal Blvd.
Louisville, KY 40208 • (502) 415-7600
CU Service Centers4917-B Dixie Highway
Louisville, KY 40216 • (502) 448-1686
2925 Goose Creek RoadLouisville, KY 40241 • (502) 429-0068
Quality Control Committee Mary Ann Brumagen, Chair
Kris Hamilton
Adam Kaestner
Steve Thomas
Class Act Federal Credit Union
Supervisory Committee Report by Linnie Maggard, ChairThe Supervisory Committee is appointed by the Board of Directors and charged with theresponsibility for conducting an ongoing audit of your Credit Union’s operations. This isin compliance with state and federal regulations and the approved bylaws of your Credit Union. The members who serve on the Supervisory Committee are Linnie Maggard, RuthAnn Reteneller, and Arica Watkins. Chief Financial Officer, Jennifer Henning, is our staffliaison to the Committee.
One of the primary functions of the committee is to have a comprehensive annual auditconducted to determine that the accounting records accurately reflect the financial condition of the CreditUnion. The Supervisory Committee retained the services of Doeren Mayhew to conduct our audit for the period ending December 31, 2014. Copies of the audited financial statements will be on file and available for review atthe Credit Union. We also retain the services of Doeren Mayhew to perform quarterly internal audits of the CreditUnion and to review operations and compliance with policies and procedures. The Credit Union also receives periodic examinations conducted by our federal regulators. The National Credit Union Administration (NCUA) completed their last review as of December 31, 2013; again, we received an exemplary rating.
It is our opinion that operations within the Credit Union continue to be run in a safe manner and that the condensed financial reports printed in the Annual Report fairly represent the financial position of your Credit Union. As always, we will continue to do everything possible to merit the confidence you have shown in us.
In 2014 alone, Class Act FCU members saved a total of $2.8 million simply by banking with us instead of a for-profit bank.That’s an average of $149 per member, or $283 per household.Source: Informa Research Services, NCUA, and CUNA
$2.8 million
2014 AnnualReportAccelerated Growth
Class Act Federal Credit UnionExecutive Management
Lynn HuetherPresident/CEO
Tom AnonsonExecutive Vice President
Jennifer HenningChief Financial Officer
Lisa McIntoshChief Operations Officer
Susie BreitmeyerChief Lending Officer
Pat CurranSr. Vice President Marketing &
Business Development
Daniela SarverVice President Information Technology
Personal LoanAuto & Motorcycle LoansBoat/RV LoanLifeStyle Access Loan
Straight A Checking AccountHonors Checking AccountStudent Honors Checking AccountClassic 55 Club Checking Account Money Market Account
Accidental Death & Dismemberment InsuranceACH OriginationAuto Link Car Buying ServiceCourtesy PayCredit Life & Disability InsuranceDebit CardDirect Deposit
Platinum Visa Credit CardOverdraft Protection Line of CreditSmart Choice Short Term LoanFirst Mortgage Loan
DocuSign™ Secure eSign Servicee-StatementsExpress Line Audio TellerGAP Automobile Loan ProtectionGroup Term Life InsuranceNotary Public ServiceOnline Account OpeningOnline Bill Pay
Online & Mobile BankingPayroll DeductionRecuperative Care InsuranceSafe Deposit BoxesSignature GuaranteeSnapDepositRoute 66 Extended WarrantyVisa Gift CardWire Transfer
5/5 Adjustable Rate MortgageSecond Mortgage LoanHome Equity Line of Credit
Class Act FCU Member Services
2017ANNUAL REPORT
2017 BOARD OF DIRECTORS
Robert RodoskyPast Chair
James Walker, Jr.Chair-Elect
Gloria PenningtonChair
Jeremy HudsonSecretary/Treasurer
Elizabeth CaplesParliamentarian
Beverly WestphalDirector
Kris HamiltonDirector
Joe VibbertDirector
Cynthia PottsDirector
2017 Supervisory Committee Report Ruth Ann Reteneller, Committee ChairState and Federal regulations as well as the bylaws of Class Act Federal Credit Union require that the board appoint a Supervisory Committee to oversee an ongoing audit of the Credit Union’s operations. The members of Class Act’s Supervisory Committee are Ruth Ann Reteneller, Terri Boss, and Mark Hartman. Jennifer Henning the Chief Financial Officer for our credit union serves as the staff liaison to our committee.
Jennifer never misses a chance to teach us the meaning of financial terms and how they reveal the financial condition of Class Act.
The Supervisory Committee does not do audits itself. Rather we search for and retain the services of Certified Public Accountants to perform these audits for Class Act. In 2017 we retained Doeren Mayhew to conduct the annual audit of our financial statements, as of December 31, 2017. We also retained them to conduct quarterly internal audits to examine our operations and compliance with the policies and procedures adopted by our board of directors.
In addition to the audits performed by Doeren Mayhew, NCUA (National Credit Union Administration) conducts a periodic examination of Class Act Federal Credit Union. These federal regulators completed their examination as of June 30, 2017 and we received an exemplary rating again. Our report was so good that NCUA has lengthened the time between its examinations from 12 months to 18 months. However, they will continue to be on call to the committee if we would ever feel a need to contact them.
It is the conclusion of this Supervisory Committee that Class Act Federal Credit Union continues to be run in a safe manner and that the financial report printed in the Annual Report fairly represents the financial position of your Credit Union. Our promise to you is to continue to work hard to merit the confidence you have shown us. If you ever need to reach us, there is a link on our web page that connects you to our committee. Thank you.
Special Savings Account Straight A Checking Account Honors Checking AccountClassic 55 Club Checking Account Student Rewards Checking Account
Platinum Visa Credit Card Overdraft Protection Line of Credit Smart Choice Short Term Loan Here & Now Indirect Auto Financing
Direct Deposit e-StatementsExpress Line Audio TellerGAP Automobile Loan Protection Mobile BankingMoney OrdersNotary Public Services Online Account Opening
Online Bill Pay Payroll Deduction Safe Deposit Boxes Signature Guarantee SnapDepositRoute 66 Extended Warranty Visa Gift Cards Wire Transfers
First Mortgage Loan Second Mortgage Loan Home Equity Line of Credit
Class Act FCU Member Services
Executive Management Lynn HuetherPresident/CEO
Tom AnonsonExecutive Vice President
Susie BreitmeyerChief Lending Officer
Jennifer Henning Chief Financial Officer
Lisa McIntoshChief Operations Officer
Daniela SarverVice President Information Technology
Pat CurranSr. Vice President Marketing & Business
Development
Board of DirectorsFrom left: Cindy Potts, Elizabeth Caples, Joe Vibbert, Bob Rodosky, Jeremy Hudson, Beverly Westphal, and Gloria Pennington. (not pictured are Tom Mathews, and James Walker, Jr.)
Executive ManagementFrom left: Jennifer Henning, Lynn Huether, Tom Anonson, Lisa McIntosh,Daniela Sarver, Susie Breitmeyer and Pat Curran.
Board of Directors Bob Rodosky, Chairman
Gloria Pennington, Chair-Elect
Joe Vibbert, Past Chair
James Walker, Jr., Sec./Treasurer
Beverly Westphal, Parliamentarian
Elizabeth Caples
Jeremy Hudson
Tom Mathews
Cindy Potts
Main Office 3620 Fern Valley Road
Louisville, KY 40219 • (502) 964-7575
East Branch3711 Diann Marie Road
Louisville KY 40241 • (502) 415-7777
Cardinal Towne331 W. Cardinal Blvd.
Louisville, KY 40208 • (502) 415-7600
CU Service Centers4917-B Dixie Highway
Louisville, KY 40216 • (502) 448-1686
2925 Goose Creek RoadLouisville, KY 40241 • (502) 429-0068
Quality Control Committee Mary Ann Brumagen, Chair
Kris Hamilton
Adam Kaestner
Steve Thomas
Class Act Federal Credit Union
Supervisory Committee Report by Linnie Maggard, ChairThe Supervisory Committee is appointed by the Board of Directors and charged with theresponsibility for conducting an ongoing audit of your Credit Union’s operations. This isin compliance with state and federal regulations and the approved bylaws of your Credit Union. The members who serve on the Supervisory Committee are Linnie Maggard, RuthAnn Reteneller, and Arica Watkins. Chief Financial Officer, Jennifer Henning, is our staffliaison to the Committee.
One of the primary functions of the committee is to have a comprehensive annual auditconducted to determine that the accounting records accurately reflect the financial condition of the CreditUnion. The Supervisory Committee retained the services of Doeren Mayhew to conduct our audit for the period ending December 31, 2014. Copies of the audited financial statements will be on file and available for review atthe Credit Union. We also retain the services of Doeren Mayhew to perform quarterly internal audits of the CreditUnion and to review operations and compliance with policies and procedures. The Credit Union also receives periodic examinations conducted by our federal regulators. The National Credit Union Administration (NCUA) completed their last review as of December 31, 2013; again, we received an exemplary rating.
It is our opinion that operations within the Credit Union continue to be run in a safe manner and that the condensed financial reports printed in the Annual Report fairly represent the financial position of your Credit Union. As always, we will continue to do everything possible to merit the confidence you have shown in us.
In 2014 alone, Class Act FCU members saved a total of $2.8 million simply by banking with us instead of a for-profit bank.That’s an average of $149 per member, or $283 per household.Source: Informa Research Services, NCUA, and CUNA
$2.8 million
2014 AnnualReportAccelerated Growth
Class Act Federal Credit UnionExecutive Management
Lynn HuetherPresident/CEO
Tom AnonsonExecutive Vice President
Jennifer HenningChief Financial Officer
Lisa McIntoshChief Operations Officer
Susie BreitmeyerChief Lending Officer
Pat CurranSr. Vice President Marketing &
Business Development
Daniela SarverVice President Information Technology
Personal LoanAuto & Motorcycle LoansBoat/RV LoanLifeStyle Access Loan
Straight A Checking AccountHonors Checking AccountStudent Honors Checking AccountClassic 55 Club Checking Account Money Market Account
Accidental Death & Dismemberment InsuranceACH OriginationAuto Link Car Buying ServiceCourtesy PayCredit Life & Disability InsuranceDebit CardDirect Deposit
Platinum Visa Credit CardOverdraft Protection Line of CreditSmart Choice Short Term LoanFirst Mortgage Loan
DocuSign™ Secure eSign Servicee-StatementsExpress Line Audio TellerGAP Automobile Loan ProtectionGroup Term Life InsuranceNotary Public ServiceOnline Account OpeningOnline Bill Pay
Online & Mobile BankingPayroll DeductionRecuperative Care InsuranceSafe Deposit BoxesSignature GuaranteeSnapDepositRoute 66 Extended WarrantyVisa Gift CardWire Transfer
5/5 Adjustable Rate MortgageSecond Mortgage LoanHome Equity Line of Credit
Class Act FCU Member Services
2017ANNUAL REPORT
2017 BOARD OF DIRECTORS
Robert RodoskyPast Chair
James Walker, Jr.Chair-Elect
Gloria PenningtonChair
Jeremy HudsonSecretary/Treasurer
Elizabeth CaplesParliamentarian
Beverly WestphalDirector
Kris HamiltonDirector
Joe VibbertDirector
Cynthia PottsDirector
Class Act Federal Credit Union • 3620 Fern Valley Road, Louisville, KY 40219 • www.classact.org • 502.964.7575
Chair’s ReportGloria Pennington, Chair
Class Act FCU has been in existence for over 60 years. Beginning in a broom closet in 1954, we now have three full-service branch locations and an e-branch to serve our member/owners. We also have two in-school branches at Southern and Doss High Schools. Our growth in assets and membership during this period has been made possible by our members/owners. The motto that still guides the entire credit union movement is “People Helping People.” We want to be your first consideration when opening a share draft or share account, debit or
credit card, or when buying a car, purchasing a home or needing an unsecured loan. We are here to assist our member/owners in all their financial endeavors.
Class Act is an education-based credit union with Jefferson County Public Schools being our first and largest Select Employee Group (SEG). One of the focuses for JCPS is developing business partnerships. JCPS is encouraging businesses to get involved in our schools to assist students with career information and opportunities. We are excited about our visibility in two of our high schools as we are giving students an introduction into financial literacy. Our new Superintendent, Dr. Marty Pollio, was principal at Doss High School while Class Act was actively training students in credit union operations. We hope to continue working with students in our schools as financial literacy is an important topic for all young people.
In addition to our work in the school system, since January, 2018, we have introduced a new mobile app to our membership. If you have not downloaded this new app, please do so. Many of our transactions can be completed on this app. During 2017 both our website and online banking were redesigned. Technology is forever changing, and our staff is working hard to make sure that we stay up to date with the latest trends in technology to make banking with us as convenient and secure as possible.
I would like to personally thank all of our 19,049 Class Act members for their continued support for our unique, education-based credit union. Together, we will continue to work together to strengthen education in our community, as we also work collectively to improve our individual financial well-being because “People Helping People” is both who we are, and what we do, at Class Act Federal Credit Union.
President’s Report Lynn Huether, President/CEOI can’t tell you how rewarding it is to have the privilege of leading such an exceptional financial institution. Being member-owned and not-for-profit distinguishes Class Act FCU from any bank; and being exclusively education-based makes us unique among other credit unions in the region. My hope is that these characteristics also resonate with each of our members. While many members are initially attracted to Class Act for the attractive rates on loans and deposits, our wish is that they don’t overlook these other key benefits that make Class Act such a special place to bank.
The year 2017 was another solid year for your credit union. We reached a new milestone, closing the year with assets over $200,000,000. We ended the year with more than 19,000 members for the first time in our 64 year history. Two new member groups were added in 2017 – Galen College of Nursing and St. Francis School. We are both excited and encouraged by these symbols of growth, yet we are ever mindful that each member is an individual with unique resources, needs, and challenges. We believe it is our responsibility to match each member’s needs with the right financial services and products to help them achieve their financial goals. That’s not just part of the credit union philosophy of “People Helping People,” it is also good math. We understand that 19,000 financially strong members equals 1 very strong credit union. Please look to us for information to help you with budgeting or for ways to boost your credit score. We are here to serve you.
Technologically speaking, 2017 was also a very big year for the credit union. Our website got a fresh new makeover with more tools and resources, easier navigation, and designed to showcase our commitment to the local educational community. Since launching the new site in June, we continued to make improvements by adding a branch/ATM map and a new “Heroes of Education” feature to honor Class Act members who go the extra mile to improve education. The online banking platform was also upgraded and our old mobile app was replaced with a much improved newer app with many more features including Quick Balance and Touch ID. In addition, we made further enhancements to improve our SnapDeposit service.
Looking forward, Class Act members should expect even more improvements as we work to make banking here as easy and convenient as possible. Our focus in recent years has been to lay the foundation for growth with investments in technology, branches, people, and systems. Having laid that foundation we are now well-positioned for growth. As we grow, it will become easier and more affordable to offer members the services they want, such as Apple Pay or instant-issue debit and credit cards. If you find value in being a Class Act member, please follow us on social media and refer us to family members or co-workers who may be eligible to join. More than likely, you’ll be doing them a favor. For the second straight year, Class Act has been recognized with an award as a top performer in Member Benefits. Collectively, Class Act members saved over $3.5 million by banking with us rather than at an ordinary bank in Kentucky. Those savings break down to $358 per member household which was more than double the savings of other Kentucky credit unions. Helping you save is what we mean when we say “It’s like Straight A’s for your Money.” Thank you for making 2017 another great year for your credit union, and for your continued support in 2018 and beyond.
Quality Control Committee Report Mary Ann Brumagen, Committee ChairThe Quality Control Committee is responsible for overseeing your Credit Union’s lending operations and insuring that decisions are made in the best interest of all the members. We are happy to report that loans increased by 5.2% during 2017, closing the year with total loans outstanding at $112,571,543.
The Credit Union processed 3,955 loans in 2017 which represents a 3.7% decrease from 2016 totals. Altogether, the credit union made loans totaling $54,083,287 down $2.1 million from the previous year’s loan production. Although overall loan applications increased slightly, the
Credit Union experienced declines in loan production in all categories with the exception of first mortgage real estate loans. This reduction in loan production reflected the tightening of underwriting guidelines as part of the Credit Union’s strategy to curb rising delinquencies and charge-offs. Real estate lending, particularly first mortgages performed very well posting a 40% increase over 2016 production. Unsecured loans accounted for the highest number of loans and provided a welcome boost to the overall yield of our loan portfolio. The Credit Union continued to effectively manage its delinquencies and charge-offs despite continued bankruptcy filings. The loan delinquency ratio for December 2017 was 0.83% and the net charge-off ratio was 0.81%, which are comparable to the expected peer averages of 0.90% and .50% respectively.
As demonstrated in these statistics, the support and cooperation of the members, staff, management, and Board of Directors is essential and certainly most appreciated. Our committee and the Credit Union staff look forward to being of assistance to you and your family with all of your future borrowing needs.
Income 2017 2016Interest on Loans $6,930,821 $6,390,200
Income on Investments 753,278 475,021
Other Income 3,823,047 3,628,510
Total Income $11,507,146 $10,493,731
Expenses
Salaries & Benefits $3,687,656 $2,900,117 *
Office Operating Expenses 5,534,516 6,625,894 *
Total Operating Expenses $9,222,172 $9,526,011
Dividends to Members 829,977 684,529
Transfers to Reserves & Undivided Earnings 1,454,997 283,191
Gain/Loss on Sale of Securities 0 0
Total Distribution $11,507,146 $10,493,731
Statistical Information 2017 2016Number of Members 19,049 18,902Number of Accounts 38,116 37,400Number of Loans Made 3,955 4,456Amount Loaned $54,083,287 $56,190,082
Real Estate $44,457,190
Vehicle$47,446,760
Unsecured $20,026,137
Other$1,872,912
TOTAL LOANS $113,803,000
Shares$72,191,691
Share Certificate $34,795,831
Checking$48,592,438
Money Market $25,493,441
IRA’s$2,130,496
TOTAL SHARES $183,203,897
* denotes a reclassification of indirect compensation from office operating expenses to salaries and benefits
