A turbulent year of extraordinary events that upended lives around the globe underscored our credit union’s strength as a trusted financial partner and vital resource for our members and the communities where they live and work. From a stable foundation, our entire organization worked in collaboration to successfully adapt to accelerated and unpredictable change. In the face of a global pandemic and economic crisis, we reached new milestones of growth and achievement centered on our ongoing effort to improve the financial lives of those we serve.

As COVID-19 disrupted daily routines and economic reverberations quickly ensued, our credit union’s exceptionally strong financial health was fundamental to our ability to thrive under these circumstances. Critical to our organizational well-being is a strategy of sustainable growth, which enables us to deliver premium value to our members, and makes it possible to stay viable in a highly competitive and rapidly shifting environment.

Early in 2020, we accomplished a major goal of our strategic plan when we surpassed $500 million in assets. Crossing this threshold is a key indicator that we are on a steady course of strategic growth. The $500 million benchmark is highly correlated with economies of scale for credit unions, allowing us to operate more efficiently and generate greater income without a subsequent increase in our underlying cost structure. Accordingly, this provides us with strong net earnings which are re-invested in the credit union for the benefit of our member-owners.

Unlike a commercial bank, UNCLE does not create profits for the purpose of distribution to private investors and outside stakeholders. Our surplus income is returned to our members in the form of high value financial products and a superior level of service. Notably, this includes low-cost loans, competitive dividends on savings accounts and reduced fees. Healthy earnings also enable us to expand and enhance our offerings. In 2020, our portfolio included a wide range of options in personal and business banking, consumer and auto loans, mortgage products, credit cards and a full spectrum of investment and financial planning services available under our Wealth Management Division. With strong and stable capital and resources, we are empowered to respond with innovative financial solutions when rapid changes impact the financial markets, and our members’ lives.

Moreover, strategic growth makes it possible to invest in the enhanced technology and infrastructure necessary to deliver an outstanding banking experience that keeps the focus on convenience and personalized service, even when a world catastrophe calls for a major shift in how we do business.

In 2020, we promptly launched key initiatives to provide a financial safety net for members dealing with unexpected hardships and loss of income due to the coronavirus pandemic. We also assisted members with mortgage forbearance for home loans and provided HELOC (home equity line of credit) modifications. In addition, we extended our expertise to guide members through the loan application process so they could gain access to funds available through the Small Business Administration’s Paycheck Protection Program established by the CARES Act. To further support our members, we launched a Platinum CARE credit card designed specifically for those affected by the pandemic.

On March 4, 2020, we were thrilled to introduce our new Stockton Financial Center at the local shopping and dining destination, Stonecreek Village. To better serve our valued members in the region, we made the decision to consolidate our two smaller Stockton financial centers into one larger, technology-centered branch. Outfitted with safety and convenience top of mind, the new full-service branch blends an immersive, upgraded digital banking experience with the personalized touch our members expect. UNCLE expanded its branch network in San Joaquin County with two successful mergers in 2018. An important component of our organization’s overall growth strategy, these mergers also gave UNCLE the opportunity to take part in the revitalization of Stockton and its surrounding communities.

Over the course of 2020, we were delighted to find the communities we serve continue to recognize the value that UNCLE has to offer, largely as a result of the accolades our members graciously provide. For the third consecutive year, we won the title of “Best in East Bay” for credit unions by the East Bay Times Readers’ Choice Awards. Attesting to our level of social responsibility and role as a leading contributor to worthy causes, UNCLE was also awarded the Business Philanthropy Award by the Pleasanton Chamber of Commerce.

In the Central Valley, we were honored to have been named among the best credit unions in the counties that comprise the 209 area code by readers of 209 Magazine. As the Bronze Award recipient for their “Best of 209” feature in the category “Credit Union,” UNCLE was selected as a top choice in a pool of competitors that included a number of organizations with more than $1 billion in assets.

To ensure that we meet and exceed our members’ expectations, it’s essential that we keep a steady finger on the pulse of their financial priorities and goals. Our Annual Member Survey conducted in partnership with Raddon Financial Group, Inc. provides powerful insight into how we can take decisive action on what our members want most from their credit union. In 2020, it was an excellent tool for creating practical solutions to assist our members suffering from the direct economic impact of the pandemic. Our Board would like to take this opportunity to congratulate our President and CEO, Harold Roundtree and the entire UNCLE management team and staff for achieving an outstanding 2020 member satisfaction rating of 96 percent. We sincerely thank our members for taking the time to give us their invaluable feedback.

In a year of global catastrophes and uncertainties, UNCLE Credit Union provided strength and solidarity as we quickly pivoted in response. Anchored in a firm financial foundation, we worked in concert to deliver substantial new gains for our credit union in support of our mission to promote the financial well-being of our members. We welcome the opportunity to reward your continued confidence and trust, and look forward to offering a growing portfolio of financial solutions in the near term. With new hope and optimism for times ahead, I thank you for allowing us to take part in your journey toward greater financial security and success.

Chung Bothwell, JD, LLM
Chairman, Board of Directors