In a letter to the editor published over the weekend in the Albany Times Union, New York Credit Union Association President/CEO William J. Mellin called on consumers to consider credit unions when choosing a financial institution.
Mellin was responding to an uptick in credit union attacks in the paper, which were published by a local bank to coincide with Tax Day. The ads contained misinformation about credit unions and the credit union tax status.
In his letter, Mellin called out the hypocrisy of the bank industry for questioning the credit union tax status.
“Tax season may be behind us, but the legacy of the 2017 tax reform law is not,” wrote Mellin. “While much of the conversation surrounding the law has focused on SALT deductions, some might be surprised to learn the country’s largest banks were among the biggest beneficiaries of the tax reform package.”
Mellin explained that while banks continue to assail the credit union tax status, they’ve posted record profits thanks to the tax law, which has largely been financed by New Yorkers.
“Put another way, the industry that’s been deemed ‘too big to fail’ and ‘too big to regulate’ is remarkably getting bigger,” he wrote.
However, he noted, credit unions offer consumers an alternative to the for-profit banking system and have an “obligation to serve consumers of all backgrounds, including those of modest means. Simply put, credit unions are on the side of consumers, not corporate shareholders.”
“So if you were lucky enough to receive a tax return this year, you may want to explore depositing that cash in a credit union account,” concluded Mellin. “If you owed the government money, your local credit union is here to help you navigate those financial challenges.”
To view the letter, visit the Times Union website.