The credit union landscape is undergoing rapid transformation in 2025, driven by consolidation, competition and the need for scalable technology. From mergers to bank acquisitions, institutions are rethinking their growth strategies – and their core systems are at the center of it all.
Credit Union Mergers: Strategic Growth & System Integration
The NCUA approved 45 credit union mergers in Q2 2025 alone, ranging from billion-dollar institutions to smaller community credit unions. Each merger presents unique challenges and opportunities for core system alignment.
Notable Mergers
Meritrust CU (KS) + Premier Members CU (CO)
- Combined Assets: $3.9 billion
- Core Systems: DNA and Symitar
Addition Financial CU (FL) + Envision CU (FL)
- Combined Assets: $3.5 billion
- Core Systems: Symitar and XP2
Credit Union 1 (IL) + Great River FCU (MN)
- Combined Assets: $2.1 billion
- Core Systems: Keystone and CUProdigy
CorePlus CU (CT) + Scient FCU (CT)
- Combined Assets: $687 million
- Core Systems: DNA and CU*Answers
Merger Motivations
Credit union mergers are driven by a variety of strategic, financial and operational factors, including:
- Expanded services
- Financial distress
- Governance issues
- Loss of sponsorship or officials
These transitions often trigger core system evaluations, requiring:
- Gap analysis
- Report retrofitting
- Temporary staffing to support legacy operations
Credit Unions Acquiring Banks: A Growing Trend
In addition to internal consolidation, credit unions are increasingly acquiring community banks to accelerate growth and diversify their portfolios. Since early 2024, at least 35 bank acquisitions have been announced or completed.
Notable Bank Acquisitions
Global CU (AK) acquired First Financial Northwest Bank (WA)
- Combined Assets: $5.9 billion
- CU Core System: Symitar
Beacon CU (IN) acquired Mid-Southern Savings Bank (IN)
- Combined Assets: $1.738 billion
- CU Core System: DNA
Gesa CU (WA) acquired Security State Bank (WA)
- Combined Assets: $6.47 billion
- CU Core System: DNA
Y-12 FCU (TN) acquired First State Financial (KY)
- Combined Assets: $2.215 billion
- CU Core System: Symitar
Strategic Drivers
Credit unions pursuing bank acquisitions often do so to accelerate growth and enhance member value through strategic initiatives such as:
- Geographic expansion
- Rapid asset growth
- Member and product diversification
Core System Implications
Whether through mergers or acquisitions, core system alignment is a critical challenge:
According to CUCollaborate’s data, the most used core processors for credit unions over $1 billion include:
- Fiserv - DNA
- Strengths: Data mining, integration.
- Weaknesses: Mortgage servicing, pricing complexity.
- Jack Henry - Symitar
- Strengths: Reliability, flexibility.
- Weaknesses: Slow modernization, costly third-party integration.
- FIS - Miser
- Strengths: Open architecture.
- Weaknesses: Expensive hardware.
Corelation KeyStone, while modern and well-rated for mid-sized credit unions, has been flagged by users as potentially less capable of managing growth beyond $1B.
CUProdigy and CU*Answers are often replaced post-merger due to scalability limitations.
Acquired banks typically run Jack Henry SilverLake, Fiserv Premier or FIS Horizon, requiring full core conversions.
How Probridge Services Supports Merger Success
At Probridge Services, we specialize in helping credit unions navigate the complexities of core system transitions during mergers and acquisitions. Our team brings deep expertise in:
- Gap Analysis: Identifying functional and data gaps between legacy and target core systems.
- Report Retrofitting: Ensuring continuity in compliance and operational reporting.
- Temporary Staffing: Providing experienced professionals to support conversion, training and onboarding.
- Strategic Advisory: Helping credit unions assess core readiness and align technology with growth goals.
Whether you're merging, acquiring or simply preparing for future growth, Probridge ensures your core strategy is a competitive advantage – not a constraint.
Strategic Takeaway
Credit union mergers are strategic opportunities to expand services, grow membership and strengthen long-term viability. But success depends on more than asset alignment – it hinges on core system readiness.
Institutions that proactively assess system gaps, retrofit reports and augment staffing are better positioned to:
- Accelerate post-merger integration
- Maintain compliance and member service continuity
- Unlock scalable growth
Probridge Services helps credit unions navigate this complexity with:
- Gap Analysis between legacy and target core platforms
- Report Retrofitting to ensure operational and regulatory continuity
- Temporary Staffing to support legacy operations and conversion execution
- Strategic Advisory to align technology with growth goals
Whether you're merging with another credit union or acquiring a bank, Probridge ensures your core strategy is a competitive advantage – not a constraint.
