Writer: Joshua Andino
2 min read April 2023 — VyStar Credit Union has done it again, announcing a merger with local 121 Financial Credit Union.
The Thursday announcement between Jacksonville’s largest and fourth largest credit unions comes in the wake of industry-wide consolidation and fresh off of VyStar’s own recently completed acquisition of First Coast Credit Union in January. VyStar is currently the 13th largest credit union in the country by asset size, and the merger will only further solidify it as the largest in Jacksonville, while 121 Financial Credit Union, the region’s fourth largest, serves over 49,000 members, maintains $680 million in assets, eight branches and 140 employees.
“We have proudly served Northeast Florida for generations, and we are confident that our partnership with VyStar will strengthen these efforts,” said David Marovich, 121 Credit Union’s president and CEO. “Our combined partnership will expand access to best-in-class products and services to members, offer enhanced benefits and new opportunities to our employees and amplify our collective impact within the community.”
By the time the merger is complete, VyStar will have more than 920,000 members with assets of over $14 billion. Despite the boost, VyStar will remain number 13 on the national level, with the twelfth spot on the list held by Utah-based Mountain America Credit Union, with over $15 billion in assets. The only larger credit union in Florida is Tampa-based Suncoast Credit Union, which maintains over $16 billion in assets.
In a national context, while banks have been able to enjoy greater margins with the increase in interest rates, many have nevertheless pulled back on lending as delinquencies begin to climb. The collapse of Silicon Valley Bank and Signature Bank placed the banking and financial services industry under a spotlight. Heightened rates have also cooled what was a hot M&A market in the industry, but for others with deep reserves and well-hedged balance sheets, there are opportunities for acquisitions and mergers, which VyStar has taken advantage of to continue its expansion and fuel further growth even in the face of a turbulent financial market, particularly when values align, according to Brian Wolfburg, VyStar’s President and CEO.
“121 Financial Credit Union has a proven history as a mission-oriented credit union, which aligns with our organization’s commitment to improving the places we call home,” said Wolfburg. “We look forward to welcoming their employees and members to VyStar and working together to build on their many contributions to Northeast Florida.”
