Meridian Credit Union executives appear to have discussed a future winding down of Motusbank
I've previously speculated here on a possible future winding down of Motusbank, if it does not generate the growth in not only deposits but in loans, which generate revenue for the bank and thus the credit union, within 1-3 years. Meridian Credit Union, Motus Bank's parent company, are very cost conscious and do not want Motusbank to be a perennial drag on Meridian's earnings with indefinite losses and thus reduced dividends to Meridian member owners. Indeed, some of its key executives including CEO Maurin and Motus Bank's COO Baldarelli are former bank executives, with the latter even doing a turn at uber cost conscious HSBC Bank Canada.
While the company will never confirm planned winding down of operations in advance, as such announcements are highly restricted information and uber confidential, there is already a growing body of tangential evidence that suggests Meridian executives have at least discussed this, including that:
Cheers,
Doug
While the company will never confirm planned winding down of operations in advance, as such announcements are highly restricted information and uber confidential, there is already a growing body of tangential evidence that suggests Meridian executives have at least discussed this, including that:
- Meridian's 1, 3, and 5 year GIC rates are now higher (some markedly higher) than its subsidiary, Motusbank (Source: https://www.highinterestsavings.ca/gic-rates/)
- No corporate press releases from Motusbank have been issued since launch, nor has the company's Twitter and other social media accounts been particularly active, especially when you consider how active its chief rival Alterna Bank is on social media
- With future planned provincial re-incorporations federally of Innovation Credit Union, First West Credit Union, and potentially one or more Ontario credit unions (DUCA Financial Services Credit Union and Libro Credit Union being two of them) as well as the recent direct-to-consumer launch of B2B Bank's offerings, relaunch of Manulife Bank's offerings, and the planned no-fee Laurentian Bank chequing account and HISA offering, the landscape has changed dramatically
Cheers,
Doug
Banking & Savings: Tangerine & EQ Bank
Credit Cards: American Express SimplyCash, Rogers World Elite MasterCard, Scotiabank Scene+ Visa (wasTangerine Money-Back World MasterCard)
Investments: Scotia iTRADE | Pension: Municipal Pension Plan
Credit Cards: American Express SimplyCash, Rogers World Elite MasterCard, Scotiabank Scene+ Visa (was
Investments: Scotia iTRADE | Pension: Municipal Pension Plan