WARREN, Ohio – It is already the largest credit union in northeastern Ohio, but 717 soon may be twice as big.
It ranked fourth in both deposits, with $1.5 billion, and assets, with $1.8 billion, in the second quarter of this year, according to iBanknet’s list of Ohio credit unions.
John Demmler, CEO and president, says the goal is to grow 717’s membership from 120,000 to 200,000 by 2030. That means adding 12 branches to the 12 already in the local area and more ATMs.
Members will soon see more 717 locations in Stark, Summit, Portage and Geauga counties. For years, 717 has had a branch in downtown Canton, as well as in Kent and Ravenna.
“Quite a few of our 120,000 members live out in those counties and also up into Cuyahoga County,” Demmler says, “and so we just want to create a more convenient network of branches for those members.”
While continuing to support events in the Mahoning Valley, 717 has launched a branding initiative in its markets to the west. The most notable was a September announcement that it had obtained the naming rights to Canal Park, home of the Akron RubberDucks baseball franchise. Beginning next year, the team’s stadium will be renamed 717 Credit Union Park.
“And we’re super excited about that,” Demmler says. “That was a great kind of symbiotic partnership, because the RubberDucks are so focused on providing affordable family fun and creating economic development within downtown Akron… Their mission fits very strongly with what we’re doing.”
BLUES, BREWS & BBQ
But that region is not the only one benefitting from the community entertainment commitment of 717. On Oct. 4, 717 sponsored the Blues, Brews & BBQ Festival at the Warren Community Amphitheater. Demmler says the event came together after a conversation with Mayor Doug Franklin about the desire to bring people together in the fall, including drawing people who may have left to come back and visit Warren. Projected to be an annual event, this year’s festival raised $7,500 for the United Way of Trumbull County, Game Changers Inc. and the Greater Warren-Youngstown Urban League. Demmler notes those three organizations share 717’s focus on financial literacy in their mission.
Not only did the event help the United Way of Trumbull County raise money, but Christina Cope, the organization’s CEO and president, says the event gave them even more exposure.
John Demmler, CEO and president of the beneficiaries,” Cope says. “John Demmler has a true vision for what he wants to accomplish and we’re just happy to be a part of that vision.”
Additionally, Cope says when the United Way does workplace campaigns, 717’s employees have become their top contributor in the last couple years.
The Blues, Brews & BBQ Festival drew a crowd, thanks in part to having some of the top blues artists in the region and also national artist Shemekia Copeland.
And the credit union sponsors 717 Financial Wellness Night, which drew a record-setting crowd to Eastwood Field for a Mahoning Valley Scrappers game. This year the night was topped off with a drone show.
“We love the Scrappers,” Demmler says. “They’re great partners with us and for our financial wellness night at the ballpark, which we do on July 17 or what we like to call 717 Day. And that’s going to be an event that I see us doing far into the future… It’s such a wonderful community event.”
BETTER RATES
While 717 continues to sponsor fun filled local events, the credit union also has been focusing on providing members with new products and loan promotions, Demmler says.
While it is standard in the financial industry to charge as many fees as possible, 717 is trying to find additional ways to save members money and get out of debt.
For instance, refinancing an auto loan with a 4.99% rate down from around 8.5% can save someone hundreds each month.
“One of the things that we just simply do different is that we are focused on providing that financial solution that people want out of their financial institution,” Demmler says.
Through the 717 Workplace Partners program, employers partnering with 717 using their products and service also can help their employees avoid closing costs and additional fees such as underwriting, document prep and processing fees.
“Those are just made-up fees that other financial institutions charge,” says Demmler. “We don’t charge those. Those are easy not to charge. But we also don’t charge appraisal fees. We don’t charge title insurance fees.”
Demmler says homebuyers would save about $3,500 at the closing table on the average $130,000 home, which he adds can mean the ability to afford furniture for the house.
Another 717 program offers the Affinity Card, which gives borrowers a chance to transfer high interest credit card debt in the first 90 days to a low-interest card. Without balance transfer fees, cash advance fees and annual fees, the card has a lifetime interest rate of 7.17% on those balances and any new purchases made in the first 90 days.
“If it takes you 20 years to pay off those balances, that’s the rate. The rate doesn’t go up. It doesn’t change. There are no gimmicks with it,” Demmler says. “It’s absolutely the best credit card in the county.”
Too often, someone gets to where they can only afford the minimum payment when the national interest rate is over 20%. Demmler notes it makes them feel hopelessly stuck in a cycle.
“This is designed to provide a path forward, to give people hope of being out of debt and that’s what we want for people. We want to see people live better lives financially,” Demmler says.
GOALS FOR THE FUTURE
Over the next few years, 717 has laid out a goal to reach 10,000 individuals with financial literacy education and invest $100 million in housing initiatives throughout northeastern Ohio.
Through adding great products to the financial services offerings in the region, Demmler says they hope more people see how having a credit union in their toolbox of options makes sense.
Products like a savings account for children that pays 7.17% on the first $1,000 saved to convince them the value of saving at an early age. Tools that include reduced fees for members checking products and ATMs, new credit cards and mortgage products and just generally finding more ways to make the lives of members easier.
While publicly traded banks most often focus on earnings per share, Demmler says credit unions look at value per member.
“When you look at it through that lens, it changes the whole paradigm of what a financial institution can do for someone,” says Demmler.
Demmler says he reminds himself daily that new products and services must honor the intentions of the original founders – a group of Delphi Packard workers who pooled their cash to launch a credit union.
“Would they look at [the products and services we create today] and say that is what we built this whole credit union for, that is what we started this thing for,” Demmler says. “And that’s what I’m trying to do, is to reach every individual in northeast Ohio and beyond with a credit union movement that I think can transform their lives.”
Pictured at top: John Demmler, CEO and president of 717 Credit Union.