Second Credit Union Opens with a Mission: End Payday Loan Lending
By J.J. CameronPayday Loan Writer
As Ben Heyward flipped burgers and celebrated the opening of New Mexico's second First Financial Credit Union location over the weekend, his mind was on a far more serious topic:
The proliferation of fast payday loans in the state.
Heyward, president and chief executive officer of the credit union, said he is working on a savings plan that would make payday advance lenders obsolete. He was reluctant to offer many details prior to the plan's implementation in October, but said it would drastically reduce the amount of interest borrowers would be forced to pay, while creating an opportunity to begin a savings plan and repair poor credit ratings.
"We had half of the city's employees today," Heyward said of the branch's grand opening.
The credit union, which has 11 branches in New Mexico, was forced to open a second Gallup office to keep pace with demand, Heyward said.
"The branch on Boardman (Drive) was slammed every day," he said. "People were leaving because they had to stand in line so long, and not because we're slow."
First Financial is fanning out across New Mexico and is presently doing a feasibility study on opening a branch in Quemado. A major reason? Consumer dissatisfaction with their faxless payday loans. Heyward said the credit union will open offices in smaller communities, such as the branch in the Pine Hill, as a matter of public service.
First Financial, which has total assets in excess of $300 million, employs 143 people in New Mexico. Those wishing to join the First Financial don't have to be New Mexicans.
"If you live, work or worship in the counties we cover, you can join," Heyward said.
Because numerous individuals have felt the negative financial effects of payday advances on their bank account, this is probably an attractive offer.