2014-05-15T14:37:23-05:00 2013-12-31 420714325 MCGLADREY LLP 801 NICOLLET MALL SUITE 1100 MINNEAPOLIS MN 55402 990 2013-01-01 750830371 NORTH EAST TEXAS CREDIT UNION NORT 9036562576 1115 LONE STAR BLVD LONE STAR TX 75668 KAY STEWART PRESIDENT/CEO 9036562576 2014-05-15 1 GERALD B KISSELL P00092658 6123324300 2013 2015-11-30 17:44:51Z KAY STEWART 1115 LONE STAR BLVD LONE STAR TX 75668 8776102 0 X WWW.THENETCU.COM X 1948 TX TO INCREASE OUR MEMBERS' FINANCIAL WELL BEING AND TO INCREASE OUR MEMBERS' STANDARD OF LIVING 5 5 62 5 100624 -67141 0 0 7621728 7445919 536699 549223 0 45481 8158427 8040623 5000 5000 697254 555507 3091577 3250214 0 0 0 2788074 3069015 6581905 6879736 1576522 1160887 124266075 128449941 110669908 114422661 13596167 14027280 X FINANCIAL COOPERATIVE PROVIDING LOANS/SERVICES TO CREDIT UNION MEMBERS. 1 1 NORTH EAST TEXAS CREDIT UNION (NETCU) OFFERS A VARIETY OF SAVINGS ACCOUNTS IN ORDER TO BEST SERVE OUR MEMBERS. OUR MEMBER SHARE ACCOUNTS PAY REGULAR MONTHLY DIVIDENDS ON BALANCES OF $100 OR MORE. DIVIDEND RATES INCREASE AS BALANCES INCREASE. WE ALSO HAVE SPECIAL ACCOUNTS AVAILABLE FOR CHILDREN, YOUTH, AND YOUNG ADULTS OFFERING SPECIAL BENEFITS TO HELP YOUNG PEOPLE LEARN TO SAVE AND MANAGE MONEY. SHARE CERTIFICATES ARE ACCOUNTS THAT PROVIDE HIGHER RATES TO MEMBERS WITH LARGER SUMS TO PUT INTO SAVINGS OVER A FIXED PERIOD OF TIME. NETCU ALSO OFFERS A VARIETY OF IRA'S INCLUDING ROTH AND TRADITIONAL TO MEMBERS OF THE COOPERATIVE. NETCU HAS ALWAYS OFFERED LOANS AT COMPETITIVE OR LOWER RATES THAN OTHER FINANCIAL INSTITUTIONS. NETCU IS ABLE TO SERVE ITS ENTIRE MEMBERSHIP WITH OUR RISK-BASED LENDING PROGRAM. CONSUMER LOAN OFFERINGS INCLUDE BUT ARE NOT LIMITED TO AUTO LOANS, BEREAVEMENT, TAX REFUND, COMPUTER, FURNITURE, AND AGRICULTURAL LOANS. NETCU ALSO MAINTAINS A PORTFOLIO OF CONSUMER REAL ESTATE LOANS. FIXED RATE AND BALLOON LOANS FOR PURCHASE, HOME IMPROVEMENT, HOME EQUITY, AND CONSTRUCTION LOANS ARE AVAILABLE. NETCU CONTINUOUSLY RESEARCHES AND INVESTS IN NEW TECHNOLOGY TO BETTER SERVE ITS MEMBERS. NET TELLER INTERNET BANKING OFFERS ONLINE ACCOUNT HISTORY INQUIRIES, STATEMENT RETRIEVAL, CURRENT TRANSACTION HISTORY, ON-LINE TRANSFERS, LOAN PAYMENTS, AND STOP PAYMENTS. TEXT BANKING ALLOWS MEMBERS TO CHECK THEIR FINANCIAL STATUS EVEN IF THEY DON'T HAVE A SMART PHONE OR WEB ENABLED DEVICE. ON-LINE BILL PAYMENT ALLOWS MEMBERS TO PAY BILLS ELECTRONICALLY. CHECK IMAGES AND E-STATEMENTS ARE AVAILABLE ON-LINE TO MEMBERS. OUR AUDIO RESPONSE SYSTEM, UPDATED IN 2012, IS A TELEPHONE SERVICE THAT ALLOWS MEMBERS ACCESS TO THEIR CU ACCOUNT FROM ANYWHERE. WE ALSO ARE EQUIPPED TO OPEN NEW ACCOUNTS THROUGH AN ON-LINE PLATFORM. THE CREDIT UNION ALSO OFFERS THE FOLLOWING SERVICES - CHECKING OPTIONS, OVERDRAFT PROTECTION, COURTESY PAY, DEBIT CARDS, CREDIT CARDS, ATM NETWORK, DIRECT DEPOSIT, SAFE DEPOSIT BOXES, MONEY TRANSFER SERVICES, BUSINESS CHECKING, MEMBER BUSINESS LENDING, AND LOAN INSURANCE PROTECTION PRODUCTS. 0 0 0 0 0 0 0 1 0 1 1 0 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 0 0 1 0 0 0 1 3508 0 1 62 1 1 1 0 0 0 0 0 X 5 5 0 0 0 0 1 1 1 1 1 0 1 1 1 1 1 1 1 1 1 1 0 X KAY STEWART 9036562576 1115 LONE STAR BLVD LONE STAR TX 75668 MARK ALLEN CHAIR 1.00 X X 0 0 0 EARL ALEXANDER VICE CHAIR 1.00 X X 0 0 0 JOE BROWN SECRETARY/TREASURER 1.00 X X 0 0 0 WILLIAM GLOVER DIRECTOR 1.00 X 0 0 0 ROY HENRY DIRECTOR 1.00 X 0 0 0 KAY STEWART PRESIDENT/CEO 40.00 X 180441 0 7000 KEITHA NILSSON EXECUTIVE VP 40.00 X 118673 0 10590 299114 0 17590 2 0 1 0 FINANCIAL DESIGN & CONSTRUCTION 8330 MEADOW ROAD STE 200 DALLAS TX 75231 BLDG CONTRACTOR 1189649 JACK HENRY & ASSOCIATES PO BOX 609 MONETT MO 65708 COMPUTER SER/PROCESSING 424643 EAST TEXAS LAWN CARE P O BOX 486 JUDSON TX 75660 LAWN CARE/LANDSCAPING 185093 WINDSTREAM PO BOX 9001908 LOUISVILLE KY 40290 COMMUNICATION/DATA LINES 164929 CITY VIEW SECURITY 110 NE 1ST STREET MCGREGOR TX 76657 SECURITY/EQUIP MNT/MONTITORING 113322 5 LOAN INTEREST INCOME 522100 4757891 4757891 FEE INCOME 522100 1873823 1873823 OTHER INCOME 522100 756205 655581 100624 LOAN LOSS PROVISION 522100 58000 58000 7445919 552439 552439 644396 87867 644000 91479 396 -3612 -3216 -3216 INCOME FROM ADVANCE PR 900099 45481 45481 45481 8040623 7345295 100624 594704 X 5000 555507 316704 2205713 97139 442624 188034 5721 80600 717796 121650 1161225 25805 181212 65159 325454 99717 LOAN SERVICING 56544 ASSOCIATION DUES 30805 SUPERVISION FEES 17850 PROVISION FOR OD LOANS 16200 163277 6879736 3786841 3294845 9120819 4892588 76420577 75710137 8831696 3482946 3853696 5348750 7946206 13614418 22363613 24724145 774323 865058 124266075 128449941 1236014 245360 12907695 12590626 96526199 101586675 110669908 114422661 X 0 0 0 0 13596167 14027280 13596167 14027280 124266075 128449941 1160887 -729773 0 X 0 1 X 1 0 0 1 X 1181990 1181990 4470735 1083515 3387220 561317 424682 136635 2617654 1974749 642905 5348750 BANK CERTIFICATES 16785150 F CUNA MUTUAL LIFE INS 375584 F NCUSIF CAPITAL DEPOSIT 1107525 F CORP AMERICA SHARE ACCOUNT 5 F CUNA MUTUAL SPLIT DOLLAR LIFE INS 3536907 F EXECUTIVE BENEFIT COLI PREFUNDING INV 2918974 F 24724145 MEMBERS' SHARES 101586675 101586675 PART IV, LINE 2B: THE CREDIT UNION HOLDS FUNDS IN ESCROW TO PAY TAXES AND INSURANCE ON BEHALF OF ITS MORTGAGE LOAN CUSTOMERS. THE CREDIT UNION ALSO SERVES AS CUSTODIAN FOR ASSETS. X X X 0 0 0 KAY STEWART PRESIDENT/CEO 151494 0 26926 0 2021 0 0 0 7000 0 187441 0 0 0 FORM 990, PART III, LINE 2 DURING 2013, NETCU EARNED THE JUNTOS AVANZAMOS DESIGNATION FROM THE CORNERSTONE CREDIT UNION LEAGUE. THIS INDICATES THAT THE CREDIT UNION HAS MET CERTAIN PRODUCT AND SERVICE REQUIREMENTS DIRECTED TO SERVING HISPANIC MEMBERS. ADDITIONALLY, NETCU UPDATED ITS WEBSITE WITH A NEW LOOK AND NEW FEATURES IN 2013. ALSO IN 2013, NETCU ENTERED INTO A JOINT MARKETING AGREEMENT TO OFFER ADDITIONAL LOAN INSURANCE PRODUCTS INCLUDING EXTENDED WARRANTY AND VEHICLE RETURN PROTECTION. FORM 990, PART III, LINE 3 NETCU DISCONTINUED THE USE OF AN INDIRECT LENDING PLATFORM IN 2013. FORM 990, PART VI, SECTION A, LINE 6 THE CREDIT UNION'S MEMBERS HAVE RIGHTS TO ELECT THE MEMBERS OF THE GOVERNING BODY. THE CREDIT UNION'S MEMBERS ALSO RECEIVE A SHARE OF THE ORGANIZATION'S PROFITS OR EXCESS DUES IN THE FORM OF CASH DIVIDENDS. FORM 990, PART VI, SECTION A, LINE 7A MEMBERS OF THE CREDIT UNION HAVE THE RIGHT TO ELECT ONE OR MORE MEMBERS OF THE ORGANIZATION'S GOVERNING BODY, WHETHER PERIODICALLY, AS VACANCIES ARISE, OR OTHERWISE. FORM 990, PART VI, SECTION A, LINE 7B MEMBERS OF THE CREDIT UNION HAVE THE RIGHT TO APPROVE THE GOVERNING BODY'S ELECTION AND REMOVAL OF MEMBERS OF THE GOVERNING BODY, AS WELL AS OTHER MATTERS THAT ARE SUBJECT TO THE APPROVAL OF MEMBERS OF THE CREDIT UNION AS THEY OCCUR. FORM 990, PART VI, SECTION B, LINE 11 A SENIOR MANAGEMENT TEAM AND THE BOARD OF DIRECTORS WILL REVIEW THE FORM 990 PRIOR TO FILING. FORM 990, PART VI, SECTION B, LINE 12C THIS INFORMATION IS ADDRESSED IN OUR EMPLOYEE HANDBOOK. ALL NEW EMPLOYEES ATTEND A NEW HIRE ORIENTATION WHERE THIS MATERIAL IS COVERED. THE EMPLOYEE HANDBOOK IS UPDATED AND REVIEWED WITH ALL EMPLOYEES AT LEAST ANNUALLY. FORM 990, PART VI, SECTION B, LINE 15 THE CREDIT UNION USES THE COMPEASE PERFORMANCE EVALUATION SYSTEM. THIS SYSTEM COMPARES EMPLOYEE SALARIES TO OTHER CREDIT UNIONS' AND BANKS' AVERAGE SALARIES FOR COMPARABLE POSITIONS DETERMINED BY OUR GEOGRAPHIC AREA. FORM 990, PART VI, SECTION C, LINE 19 THIS INFORMATION IS AVAILABLE TO ALL MEMBERS VIA REQUEST. NOTICE OF THIS IS POSTED ON THE CREDIT UNION WEBSITE. MONTHLY FINANCIAL STATEMENTS ARE POSTED IN THE FOYERS OF ALL BRANCH LOCATIONS. FORM 990, PART IX, LINE 11G CORE PROCESSING: TOTAL EXPENSES 406,992. TECHNOLOGY SERVICES: TOTAL EXPENSES 218,748. DRAFT EXPENSE: TOTAL EXPENSES 92,056. NET FINANCIAL SERVICE CENTER 1115 LONE STAR BLVD STE A LONE STAR TX 75668 800967286 MEMBER BUSINESS LOANS TX 56102 3405882 NORTH EAST TEXAS CREDIT UNION