By Susanne Dwyer
While Philadelphia-based Radian Guaranty has always worked with credit unions to provide mortgage insurance (MI) solutions, the housing crash of 2007 changed the playing field for everyone. Since the Great Recession, credit unions have become a growing force in the mortgage lending arena, offering an attractive alternative to many disillusioned banking customers. As credit unions spread their tendrils deeper into the communities they serve, Radian has stepped up its commitment to expanding and serving its credit union base, becoming a true partner in every sense of the word, making homeownership a possibility to an increasing number of Americans.
Why Credit Unions? Why Now?
Mike Dziuba, senior vice president of business development for Radian, describes the company’s journey in the credit union space.
“Radian was always focused on large, national lenders and capital markets, but in 2007, everything changed,” explains Dziuba. “We realized we had to build a sales group to call on smaller customers. In November 2007, we went to our first credit union conference and set up a booth. We must’ve heard a couple hundred times, ‘Who are you? We don’t know you.’ We realized we needed to start engaging credit unions.”
“Our real focus with credit union customers started in 2008, but we made a dedicated commitment to that segment in 2015,” says Anthony Bruschi, CMB, vice president and managing director of Regional New Business for Radian. “We made sure to have effective sales coverage and a dedicated team. Credit unions really want to see a commitment to their segment, and one way to demonstrate that is to have a dedicated team that understands their needs and how they work with their members.”
While healthy marketshare opportunities in the credit union segment make good business sense for Radian, the company also believes that its credit union partnerships are critical in helping to expand homeownership opportunities for more and more Americans.
“Credit union membership is growing,” explains Bruschi. “With the housing crisis of 2007/2008, credit unions saw an opportunity to grow their marketshare as other lenders were exiting the mortgage arena. Mortgage origination opportunities in that segment have been increasing.”
“The credit union segment is the fastest-growing segment out there,” adds Dziuba. “In 2007, we learned about their mission, which was to be 10 percent of the mortgage origination market by 2015—they got there and continue to grow year after year. The credit union segment is underserved by our competitors. This is an opportunity for us to get in there with a dedicated sales team and dedicated resources that only service credit unions.”
“Credit unions have become a go-to source for members, REALTORS® and builders who are looking to work with a lender that can make decisions locally,” explains Chris McKenna, chief mortgage officer with Homeowners Advantage, a subsidiary of CAPCOM Federal Credit Union. “I am most proud of the fact that we provide options to meet a wide variety of our members’ needs. There is no one loan that fits everyone’s needs, so we get to know each member’s short- and long-term goals and then try
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