35 years - HealthCare Associates Credit Union

35 years
from1979-
2014
Annual Report
Our Mission
Our Vision
Helping our members achieve
HealthCare Associates Credit Union
their financial goals, one solution
will anticipate needs and exceed
at a time.
expectations to be our members’
trusted choice.
When our doors opened in October 1979 the #1 song
on the Billboard Charts was “Rise” by Herb Alpert. This is
a fitting theme to what our cooperative—and members—
have done over and over during the first 35 years.
HealthCare Associates Credit Union originally
was called Illinois Hospital Employees Credit
Union (IHECU), formed by the Illinois Hospital
Association to provide financial services to
employees of IHA member hospitals and their
affiliates.
Even though the economy improved this year for
some, according to NerdWallet’s U.S. household
consumer debt profile as of December 2014
the average household owed $15,611 in credit
card debt, $155,192 in mortgage debt and
$32,264 in student loan debt.
As other healthcare-related groups joined the
credit union, including out-of-state hospitals
and professional health organizations with
nationwide presence, the decision was made
in 1989 to change IHECU to HealthCare
Associates Credit Union.
As a member-owned cooperative we promise
to recommend solutions that will improve our
members’ financial health, including free,
unbiased, confidential money-management
counseling and education through BALANCE,
a financial education agency that provides
comprehensive counseling and educational
services to individuals and employee assistance
programs. Counselors can help members
develop a manageable spending plan, increase
savings, reach the goal of home ownership,
avoid bankruptcy, debt consolidation and
more. Members also have access to financial
counseling by phone and multiple online
financial tools for handling credit reports, identity
theft, investing and more.
During the past 35 years HealthCare Associates
has grown organically and also been the
acquiring credit union in mergers with 18 other
credit unions. Today, we proudly serve IHA’s
200 plus hospitals and nearly 50 health systems
throughout Illinois as well as medical and
professional associations and organizations, and
healthcare-related corporations with members
and staff nationwide. As our field of membership
continues to grow we are increasingly aware of
how vital it is to make it easy to do business with
us at any time of the day, from anywhere in the
world.
We continue to operate six brick-and-mortar
branch locations in the Chicagoland area
though our Internet Branch is the “location” most
visited by our members. With this in mind, in
December 2014 we launched a new responsive
design website making it easier for members
doing their banking on smartphones and tablets.
And we continue to offer convenient electronic
services including mobile banking, online Bill
Pay, DeposZip® remote deposit capture, and
Telephone Teller (PAM).
On behalf of the volunteer Board of Directors
and professional staff, thank you for being a
member of HealthCare Associates Credit Union.
We look forward to serving your organization,
your employees and members and their families
for the next 35 years. Together we can continue
to rise.
Kenneth J. Rojek | Chairman
Joseph J. Kregul | President/CEO
Our Balance Sheet
Assets 20142013
Loans: Consumer Loans
$ 64,297
$ 60,649
®
Visa15,339 15,352
Home Mortgages
28,512
28,603
Home Equity Loans
52,166
51,453
Member Business Loans
9,153
8,582
Reserve for Loan Loss
(2,568)
(2,826)
Total Loans (Net)
$166,899
$161,813
Cash on Hand
$ 2,677
$ 2,458
Assets in $millions
273.4
259.8 267.9
218.3
228.8
236.9
2010
2011
Investments96,920 97,053
Accrued Income
687
672
NCUSIF Deposit 2,318 2,306
Other Assets 3,897 3,622
Total Assets
$273,398
$267,924
2009
2012
2013 2014
Liabilities 20142013
Accounts Payable 586 537
Accrued Expenses 722 827
Total Liabilities
$ 1,358
$ 1,364
Loans in $millions
Membership Equity 2014 2013
Regular Share Savings
$ 87,800
$ 88,761
Secondary and Club Accounts 5,414
5,067
Checking
28,372
26,711
Money Markets
83,107
79,125
Certificates and IRAs
27,325
29,948
Total Membership Shares
166.6 160.4 160.8 162.3 161.8 166.9
$232,018$ 229,612
Regular Reserves 6,906 6,906
Undivided Earnings
Total Membership Equity
33,116
$ 40,022
30,042
$ 36,948
Total Liabilities &
Membership Equity
(in thousands)
$273,398
Unaudited Balances as of December 31, 2014
$267,924
2009
2010
2011
2012
2013 2014
Our Income Statement
Income 2014 2013
Loan Income
$
8,609
Investment Income
Other Income
Total Income
8,814
762
4,858
4,962
$ 14,383
Provisions for Loan Loss
$
916
$
572
Dividends
$ 1,081
464
12,940
Operating Expenses
10,556
10,574
$
2,791
$
2,366
1.0%
0.9%
Capital to Assets
(in thousands)
14.7%
2009
2010
2011
2012
2013
2014
Unaudited Balances as of December 31, 2014
Savings Portfolio
5%
12%
Regular Share & Club
Savings
Consumer Loans
12
%
17%
Home Equity Loans
38%
31%
29.4
34.4
13.8%
Loan Portfolio
9%
28.6
30.8
36.9
517
13,347
Return on Average Assets
40.0
$ 14,538
Income Before Operating Expenses
Net Income
Capital in $millions
Money Markets
Home Mortgages
Visa®
Member Business Loans
Certificates & IRAs
36%
40%
Checking
Board of Directors
Healthcare leaders serving
healthcare members.
Kenneth J. Rojek, Chairman
John F. Morgan, Treasurer/Secretary
Terri L. Allen
Vince D. Keenan
Dayla L. Randolph, Vice Chairman
William J. Huff, Immediate Past Chair
Jack A. Gilbert
Albert L. Lewis
HealthCare Associates Credit Union is governed by a
board of directors, elected by and from the credit union’s
membership. Our board members are a diverse blend
of healthcare industry leaders representing hospitals,
associations, health care systems, and other providers
of care. Board members serve voluntarily and are not
compensated for their services.
In June of 2014 The White House issued a Message
from the President about the 80th anniversary of the
Federal Credit Union Act, praising credit unions for their
dedication to providing affordable financial services.
President Barack Obama celebrated this milestone
when saying, “On the 80th anniversary of this historic
legislation, let us remember that—especially in times
of crisis—Americans summon the courage to create
solutions to our most urgent challenges. As we mark this
special milestone, I commend … all those who work
and volunteer in our Nation’s credit unions. Your efforts
support Americans as they strive to reach their financial
dreams, and they help ensure these institutions can
remain viable and valuable in the years to come.”
Member-owned and operated, everything we do is
aimed at keeping costs down in order to provide above
market savings rates, below market loan rates and
less restrictive loan underwriting policies. In addition,
HealthCare Associates delivers premier member service.
Whether your organization is urban or rural, large
or small, HealthCare Associates has the expertise to
anticipate your needs and exceed your expectations.
We are proud to be our members’ trusted choice.
J. Chris Mahaffey
Margaret G. McDermott
James E. Marseille
Kenneth C. Robbins
Joseph J. Kregul, President/CEO
35 years young, HealthCare Associates is a full
service, not-for-profit financial cooperative serving
Select Employee Groups with staff and members
sharing a common bond: healthcare.
A vital resource to our Select Employee Groups (SEGs), HealthCare Associates complements any
employee or member benefit package without additional cost to hospitals, associations, organizations,
and corporations within our field of membership. HealthCare Associates also offers employees and
members of our SEGs a direct benefit—at no cost—of membership in a cooperative financial institution
with a “not-for-profit but for service” operating philosophy.
Member Institutions • Accelerated Rehabilitation Centers • Advanced Foot & Ankle • Adventist Midwest
Health • Advocate Health Care • ALC Home Health Care • Alexian Brothers Health System • American
We promise to recommend
Academy of Disability Evaluating Physicians • American Association of Clinical Endocrinologists •
solutions that will improve
American Association of Oral & Maxillofacial Surgeons • American Association of Respiratory
Care, St.
We promise
your financial health
Bernard Hospital • American College of Foot & Ankle Surgeons • American Home Health Corporation
to treat you
• American Hospital Association (members, affiliates, subsidiaries, and employees) • American Oxygen
with respect
Services,
We
promiseInc.
to • Ann & Robert H. Lurie Children’s Hospital of Chicago • Ascension Health • ATI Physical
make
it easy•toAurora
do
Therapy
Behavioral Health Care • Automated Health Systems • BJC HealthCare • Blessing
business
with
us
Health System • Cadence Health • Cancer Treatment Centers of America, Inc. • The Carle Foundation •
Centegra Health System • Claim Strategies, Inc. • Children’s Hospital of Chicago Faculty Practice Plan •
Community Health Systems • Compact Industries, Inc. • Cook County Health & Hospitals System • Direct
Home Health Care, Inc. • DuPage County Medical Society • DuPage Medical Group • Edward-Elmhurst
Healthcare • Elgin Family Physicians • Extended Family Resources, Inc. • First Surgical Assistants, Inc.
• Fresenius Medical Care • Genesis Health System • Harmony Health Plan of Illinois • HealthCare
Information Services • Healthsmart Partners • HealthSouth • Helia Healthcare • Holistic Healthcare
We promise to
Service Corporation • Home Staff, Inc. • Hospital Sisters Health System • Illinois Academy of Family
anticipate your
Physicians
• Illinois
We promise
to Bone & Joint Institute • Illinois Chapter, American Academy of Pediatrics • Illinois
needs and exceed
thank Association
you for (members, affiliates, subsidiaries, and employees) • Illinois Society for Advanced
Hospital
your expectations
being aNursing
member
Practice
• Illinois Society for Healthcare Consumer Advocacy • JourneyCare • Kane County
Medical Society • Kindred Hospitals • KishHealth System • Loyola University Health System • Magna
Health Systems • McHenry County Medical Society • Mercy Health System • Midwest Heart Specialists–
Advocate Medical Group • National Pharmacists Association • Near North Health Service Corporation
• NorthShore University Health System • Northwestern Memorial Healthcare • OSF HealthCare •
We promise to take
Presence Health • Pri-Med Infusion Services • Private Home Care Unlimited, Inc. • Professional Dynamic
ownership of your requests
Network, Inc. • Rockford Health System • Rush System for Health • Dr. William M. Scholl College of
Podiatric Medicine • Silver Cross Hospital • The Spine Center • St. Mary’s Good Samaritan, Inc. • Shriners
Hospitals for Children • Sinai Health System • Southern Illinois Healthcare • SwedishAmerican Health
System • Tenet Healthcare Corporation • Trinity Health • UnityPoint Health • Universal Health Services,
Inc. • Vibra Healthcare • Vista Health System • Wheaton Franciscan Healthcare
hacu.org | 800.942.0158 | 1151 E. Warrenville Rd. | Naperville IL 60563