Credit Union Times - October 1, 2008 - (Page 18) billionaires’ club Frank Berrish, Visions Federal CEO, Sees Overregulation as Key Challenge By EILEEN M. COURTER CU Times Correspondent-at-Large ENDICOTT, N.Y. — Frank Berrish, president of Visions Federal Credit Union, is impatient with regulatory chores that eat up time and money–but instead of just grumbling, he’s willing to work with groups such as the Federal Reserve. “I think we’re going back to being overly regulated,” he declared. “I have an exam coming up, and we have to fill out a 90-item worksheet, which is costing this credit union thousands of dollars in man-hours. We’re here to serve members, but we’re being so regulated it’s affecting service–and members don’t understand that. I have people on the front line who say to me, ‘Why are we doing this? Why are we making people so unhappy?’” In 2006 and 2007, Berrish served as a member of the Federal Reserve’s Thrift Institution Advisory Council. The group, with one representative from each of the Fed’s 12 districts, meets every four months with the Fed governors and chairman to advise them on the economic environment in improve their financial well being. There aren’t many of the largest credit unions are losing money, as much people who survive 30-some years in the credit union as $10 million to $40 million. We’re making about $20 movement,” he said. million this year. My challenges are achieving more “I have the ability to see people who had children growth,” Berrish said. for whom we provided a crib loan, then a college loan, So a lot of effort is going into attracting the generaand now we’re providing them with their first home. tions coming after the baby boomers and identifying It’s gratifying to see how Visions has helped thousands the lifestyles and financial needs of specific demoof people improve their financial status. I’m very proud graphic groups. of what we’ve done for our members.” Committees are looking at approaches such as inA New York State native, Berrish graduated from school programs to get the credit union name out. A an accounting college in Washington, D.C., and lived number of Visions managers are offering financial counseling at prisons and other locations. As part of the 2009 strategic plan, Visions is examining whether it needs to design a new channel using Spacebook or MySpace to reach the millennium generation. Assets: $2.1 billion To keep members loyal after they join, Members: 116,000 Visions has introduced a PSP (personal service Primary sponsor and SEGs: Community charter plus) quality assurance program. It’s a pledge Branches: 23 to members covering 12 items, ranging from Capital-to-asset ratio: 13% smiling and greeting members and answering Loan portfolio: $1.3 billion all phone calls before the fourth ring to offering Employees: 283 fulltime, 67 part-time additional products and services the member may need. The credit union also offers time-and-a-half pay for employees who work Saturdays. “It really is effective,” Berrish said. “We have eight offices open on Saturdays, and many do Married, two children more loan business on Saturday than they do Graduated from accounting college in Washington, D.C. all the rest of the week.” CEO of Visions since 1977 Visions is using videoconferencing extensively to pull together employees from all 23 branches. The main office conference room is there for a while. He worked with Bankers Trust as a equipped with eight large plasma television screens. regional controller, joined Visions in 1975 and two Board members and managers can participate in meetyears later became CEO. ings without traveling to headquarters Berrish is married and has two children, a daughter “We’ve got the ability to do what’s called Hollywood 20 years old and a son who is nine. squares, putting a number of people on the screen. We “My biggest hobby is spending time with my son,” can see them and they can see us,” Berrish explained. he indicated. “When I’m not doing that, I’m enjoying “We originally went to videoconferencing because of wine. We have a a robbery. It was so traucabin up in the matic; I worried about Finger Lakes how we would help a wine region. branch that is two hours Visions has away. Videoconferencing expanded into was the way to do it that area, making while key staff members loans to wineries, drove to the branch and and I’m learning calmed people down. We about winemakthen expanded it to ing and different ways to make money in the wine include staff meetings and saved maybe $20,000 a year industry. in mileage expense.” “I’m pretty good at tasting red wines. I’ve taken “Another thing we’re using it for right now is called courses on tasting wines and just won a contest where share the experts. If someone comes into a branch a I had to pick the year, vintage and whether the wine couple hours away and wants to see a trust officer, the About Visions FCU About Frank Berrish I think we’re going back to being overly regulated. I have an exam coming up, and we have to fill out a 90-item worksheet, which is costing this credit union thousands of dollars in man-hours. We’re here to serve members, but we’re being so regulated it’s affecting service–and members don’t understand that. —Frank Berrish their areas. Council members also serve as a sounding board on questions such as the reaction to recent Fed decisions, subprime lending, Sarbanes-Oxley and the status of the National Flood Insurance Program. “It was a challenging experience,” Berrish said. Visions was chartered in 1966 as IBM Owego Employees Federal Credit Union. In 1981 it merged with IBM Endicott Employees Federal Credit Union, continuing to focus on IBM employees until 1993, when IBM launched a major restructuring that included cutting some 10,000 employees and selling off a major division in Owego. “That was when we adopted a generic name, Visions Federal Credit Union,” Berrish said. “We moved from a single sponsor to SEGs, and for about six years tried to develop the SEG market, which was somewhat picked over. In 2000 we changed to a community charter.” Do challenges remain? Certainly, Berrish indicated. He described New York State as a high-tax state with declining population. The good aspect of that is Visions has not been challenged by the bursting of the housing bubble that hit many credit unions in areas such as California, Arizona, Florida and Nevada. “I was at a meeting with CUNA where we heard 40 I have the ability to see people who had children for whom we provided a crib loan, then a college loan, and now we’re providing them with their first home. It’s gratifying to see how Visions has helped thousands of people improve their financial status. I’m very proud of what we’ve done for our members. —Frank Berrish branch staff can take the information and have the trust officer call the member and set up an appointment between the member and the trust officer. The member can sit down in the conference room at the branch and teleconference with the trust officer, business lending officer or some other expert.” What drew Berrish to a job in the credit union movement? “I think it’s a desire to help people, and see people was a merlot, pinot, a meritage, cabernet franc or cabernet sauvignon. I was one of three people who picked them all successfully.” As for his credit union career, Berrish would like to be remembered as “a simple man who helped create a large financial institution that went from $25 million to $2 billion.” —ecourter@cutimes.com 18 Credit Union Times, October 1, 2008 cutimes.com http://www.cutimes.com
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