A Tale of Two Priorities, Bank versus Credit Union

When we opened our branch office a year or so ago I had several local leaders ask me, “So why should I care that a credit union is moving to town?”  My answers always centered around the fact that we are focused on strengthening the people in the community and how we support local businesses and interests.  I always mentioned the fact that we really care about our members and that we want to be an asset to the communities we serve.  I never really had a concrete example of how a credit union impacts a community vs a bank that didn't feel too warm and fuzzy for the businessy types.

Until now.

My wife and I are looking at homes.  We are nearly finished remodeling our 100 year old fixer-upper and are ready to sell and to move into a home younger than we are, with a little more yard for the boys to run wild.  In the process we have become almost obsessed with pulling the Ipad out after the kids are in bed and looking through the MLS listings.  In our community there have been a whopping 4 homes that have been perpetually listed that meet our criteria.  I like one, the wife likes one, and neither of us love the other two.  Last week we went to see my wife’s potential house of choice.

As we approached the home I noticed what appeared to be ice running down the siding UNDER the porch roof.  Odd.  I thought maybe a spouting issue.  Then my wife noticed that the ice was also on the INSIDE of the window…

As the Realtor opened the door she pushed against something hard and we all leaned in to find out what was in the way.  What we saw was all of the laminate wood flooring up in waves across what used to be a beautiful foyer.  We pushed our way in out of morbid curiosity to find that the house (a Bank-owned house) was flooded.  The water was never turned off, as the heat had been, and the pipes had burst. The drywall had fallen off of nearly every inch of the ceiling, the lighting fixtures hung from the electrical wires and junction boxes.  The beautiful maple cabinets held up the edges of the kitchen ceiling and water laid a few inches deep on the tile below.  My wife opened the basement door to find that the fully finished basement was flooded up to the ceiling and almost to the top of the stairs.  It felt like we had just walked into a home on the Jersey Shore, post super-storm Sandy.  The mildew and mold that had already started to take hold made my nose and eyes swell painfully by the time we pulled back onto the road.  The Realtor was almost in shock.  It had been listed by a big city agent from out of town and had been foreclosed on by a large national bank.  The house was a complete loss.  Not because of any negligence on the part of the prior owner, but because said bank didn't spend a few dollars to have someone come out and winterize it.  A wonderful family home destroyed.  This is not an isolated incident, it is an outright epidemic, as I will expand on in a bit.

This is a pretty stark contrast to the one and (hopefully) only foreclosure that we have experienced at the credit union.  After working exhaustively with the family who had gotten behind on the mortgage that we held, rewriting it for them at the going rate with no fees and allowing them to live in the property nearly 2 years without making a full payment even once, we ended up buying the modest but well built ranch home back at Sheriff’s sale last October.  When we finally got the deed in November I personally went with the local Sheriff and inspected the property.  They were happy to oblige.  The deputy chatted with me as we walked through the house and stated that he has never understood why the banks don’t have the department do this, he stated that he usually gets calls from the neighbors of these homes once they have become eyesores, targets for looting or havens for unwanted squatters.

Within a week I had a contractor meet me at the home and we started the process of renovation to bring the home up to par with others on the market.  Nothing major, paint, carpet and minor repairs.  It cost us a little and took around a month to get it all done, but the credit union owns this home and we want the buyers to know that we take pride in our reputation and our community.  I personally, the credit union CEO, washed, swept, carried out trash, loaded up furniture and shoveled the driveway, multiple times.  Why? We want to help preserve the property values of the homes around this one.  We want to attract a quality buyer to a quality home.  We want to be an asset to the community.  We want to do what it best for the people in our community.  Now the difference is becoming more clear.  

One story of how banks versus credit unions impact the community is becoming more concrete.

Bank owned properties in the US are at an unheard of all-time high.  Much higher I fear than the statistics show.  According to some studies the majority of them are actually being held off of the market, sitting vacant strategically to lessen the impact all at once to the banks’ bottom lines. While this is borderline criminal, it is certainly underhanded and unfair to those living in close proximity to these homes.  Below is a link that speaks well to this issue. 

Shadow Real Estate - from realestate.aol.blog

It is a systemic failure in the banking system, an oversight of gargantuan proportion on the part of regulators and is every bit as devastating to the communities that these banks serve as it was to Wall Street when the loans for the purchase of these homes originally defaulted.  Banks are not being held responsible for the maintenance and security of the homes they own.  They are relying on creative accounting and property insurance coverage to lessen the impact of these losses to their books, in essence, manipulating their assets and thus, stock prices.  Isn't this what the Federal Regulators are in place to prevent.

My wife was deeply saddened that the beautiful family room that she had fallen in love with online was now covered in fallen sheet rock.  I am deeply disturbed by that fact that this is one, very typical, example in a mountain of neglected bank owned property.   Communities need to recognize that these banks SHOULD be held responsible for the maintenance and expedient sale of these homes.  After all, what kind of neighbors would they be if they just let them go...

Not the kind I want in my community.

Happy Birthday to a Hero

I set pretty high standards for people.  As a result I have never had many “heroes” per say that I have looked up to or idolized.  People have always tended to fall short of my expectations in some way.  I learned that sports figures don’t measure up when Magic Johnson, one of my favorite childhood sports figures fell from grace after an extra-marital affair left him with a tarnished reputation and AIDs.  Not a fun way to find out athletes don’t make good role models. (or talk show hosts)

I also don’t idolize Hollywood.  I realize that there are many talented actors and actresses, and I can certainly appreciate their art.  I enjoy a great movie as much as anyone, but still they are just people and unlike most of us their flaws and missteps end up more often than not on the evening news, or at least Entertainment Tonight.

Artists and writers have always held a notable spot in my heart, but it doesn't take much more than reading past the dust jacket bio to realize the inherent personality and lifestyle flaws in these folks.  Still, part of me has always felt akin to this group and who knows, maybe if I ever dedicate some time and energy I might be able to connect myself to them in some way someday.  Still though, they are not my heroes as much as I do enjoy their vision and their craft.

I absolutely love music of all genres but I don’t even need a paragraph to explain why musicians are not on my hero list.  I would gladly rush the stage for a chance to shake hands with Paul Simon or high five Dave Matthews, but they are certainly not my idols or heroes.

Today though, there is someone who I do feel that I could put on a bit of a pedestal and not get any arguments from people, not even from that school teacher voice in the back of my head that starts listing the chinks in the armor of most people.  And conveniently enough today is her birthday.

Jennifer “Jenni” Reusser is a local hero in my eyes, and I am not alone in this thought.  Jenni is the Orrville Area Chamber of Commerce President, but her influence and heroism go far beyond that.  She is active in nearly every aspect of the Orrville community, from church to business, school to city she works tirelessly to lift us all to a higher place.  She has eyes that are open to the good in everyone (and that is tough in a small town) and not closed to even the most closed-minded.  She offers a perspective that comes not only from her collective experience, but from her very loving and open heart.  She truly cares about those who are under her influence, and that list includes most all of us.  Jenni has brought together seemingly polar forces and calmed storms that could have taken a hurricane’s toll.  

She is not only the great communicator and tailor of the quilt of Orrville’s business community; she is truly its loving caretaker.  Jenni speaks from her heart, but not to pacify, and never in half-truth.  She tells it like it is and looks for ways to build up, not condemn, those who have strayed from the pack.  I have a great deal to learn from this amazing woman, and a great deal of respect for all she does.

Happy Birthday Jenni!  I truly hope this is your best year yet.  You continue to honor us with your leadership, amaze us with your talents, guide us with your wisdom and encourage us with your cheerleading.   

Thank you!

Year-end Poem

Life continues to move at an ever-increasing pace.  No surprise there.  Still, as 2012 grows closer to a close I feel the need to take a moment and attempt to quantify it somehow, to try to make sense of an entire year worth of life on this crazy planet of ours.  So here it goes, in poem form…because it has just been that kind of year.

Two thousand and twelve, into you I’ll delve in an attempt to find some meaning

Your winter was mild in NE Ohio, to the delight of adult, and the dismay of child

No snow was seen, sledding was lean and there was almost no chance for skiing

Within summer’s reach we’d escape to the beach, with a truck-full of boys and gear

Great times, ghost crabs, waves and cousins, we enjoyed good weather and cheer

Upon our return we started to yearn for some changes, just something new

The itch is still there but we just don’t know where or what we are longing to do

Growing boys and summer joys brought smiles and lots of tan faces

Swimming, biking and even some hiking but we still look for wide-open spaces

As summer ended, women were offended as Romney wanted to put them in binders

Politico has us jaded and freedom seems to have faded, as if we need a reminder

Soccer was fun, the boys got to run and occasionally even kicked the ball

Puppies were born and even though we'd sworn, we just had to go see them all

Of course we chose one, and brought him home to add to the chaos and joy

Cleaning up messes and puppy-teeth kisses ensured he’s just one of the boys

The Mayans predicted we’d all get evicted from the planet we’ve taken to living

So we invited our parents, popped in a turkey, & figured we'd host this Thanksgiving

The Holidays came and the Mayans were lame in their end of the world predictions

Santa would visit, but not before the flu, and lots of cold and fever medication

A shooter would break hearts before school break starts, the loss was more than depressing

Still, Christmas would find us with family and friends, reminded of all of our blessings

Two thousand twelve, although you weren't always swell, you were full of surprises for sure.

Two thousand thirteen, I have to come clean, I am expecting a little bit more.

More changes for the better, more love and more grace but I pray PLEASE no more school violence

More progress in Washington, more jobs, more confidence and less ignorance, anger and silence.

Two thousand thirteen I don’t want to be mean, but I want to get it out in the open

We are ready to take charge of our future and for your cooperation we are more than just hoping

So let’s raise a toast to two thousand and twelve and bid it a fond cheerio

And let’s raise another to the year that’s to come and do our best to let the good times flow!