Pentagon Federal Credit Union
Pentagon Federal Credit Union, widely known by its abbreviated name PenFed, is a United States federal credit union headquartered in McLean, Virginia, chartered and regulated under the authority of the National Credit Union Administration (NCUA). PenFed is the nation's third largest federal credit union, with assets of $25 billion and more than 1.8 million members as of July 2018.
 | |
| Type | Credit union |
|---|---|
| Industry | Financial services |
| Founded | 1935 |
| Headquarters | 7940 Jones Branch Drive, McLean, Virginia, United States |
Number of locations | 50 |
Area served | Air Force, Army, Coast Guard, Department of Homeland Security, Department of Defense, defense-related companies, the Veterans of Foreign Wars and their families |
Key people | Edward B Cody, Board of Directors Chairman James Schenck, President and CEO |
| Products | Savings; checking; consumer loans; mortgages; credit cards; investments |
| Website | penfed.org |
In addition to a variety of loans, savings, and deposit accounts, PenFed also offers credit cards[1] and other financial services.
Membership
Pentagon Federal Credit Union historically had a limited membership to individuals sharing the common bond defined in its credit union charter, mostly membership in organizations related to national defense. In 2018, PenFed acquired the New York-chartered Progressive Credit Union, which had failed due to taxi medallion loans in New York City[2] but which had an open field of membership charter allowing anyone nationwide to join.[3][4]
A list of some past eligible memberships include the following:[5]
- Active duty members from the U.S. Army, U.S. Navy, U.S. Marine Corps, U.S. Air Force and U.S. Coast Guard.
- Reserve and National Guard members.
- Retired members of Active Duty, Reserves, and the National Guard.
- Current and retired civilian employees of the Department of Defense.
- Current and retired agents of the Department of Homeland Security
- Current and retired employees of the United States Public Health Service
- Employees and volunteers of the American Red Cross
- Members of the National Military Family Association
- Members of the Air Force Association
- Members of the United States Coast Guard Auxiliary
- Members of the Military Officers Association of America
- Members of Paralyzed Veterans of America
- Members of the United States Army Warrant Officers Association
- Members of the Marine Corps League
- Members of the Navy League of the United States
- Members of the Reserve Officers Association
- Members of Jewish War Veterans of the United States of America
- Members of Veterans of Foreign Wars
- Members of Vietnam Veterans of America
- Pentagon building employees
- Employees of the Transpotomac Plaza or Canal Center in Alexandria, VA
- Individuals who are assigned to, work at, or receive benefits from, any defense or military-based institution
- Family members of those in the field of membership, including: grandparents, parents, spouse, siblings, children (including adopted, foster and stepchildren), grandchildren, and household members
- Family members and employees of Pentagon Federal Credit Union itself
Competition
PenFed is among a few financial services companies that specialize in serving the military—it competes with other military credit unions, such as Navy Federal Credit Union, as well as with some large banks, including Bank of America-Military Bank and USAA.
Locations
Branches are located in the Washington, D.C., area (including Maryland and Virginia); California; Florida; Georgia; Hawaii; Nebraska; New Mexico; New York; North Carolina; Texas; and at military bases in Guam, Japan, Portugal, and Puerto Rico.
Pentagon Federal operates several call centers in Omaha, Nebraska; Papillion, Nebraska; Eugene, Oregon; and San Antonio, Texas.
In 2003, Pentagon Federal joined Allpoint, a surcharge-free network of automated teller machines.[6]
Expansion
In 2017, Pentagon Federal initiated merger talks with Scranton, Pennsylvania-based Valor Credit Union. Valor reported net losses of $2.4 million and $2.25 million in last year’s second and third quarters, which initiated talks of merger with PenFed.[7] The merger was approved by Valor members, and on April 1, 2017, Valor officially merged with PenFed.[8]
In February 2019, McGraw-Hill Federal Credit Union announced plans to merge with PenFed,[9] completing to convert customers to those of PenFed on May 1, 2019.[10] The former McGraw-Hill branch in East Windsor, New Jersey branch currently operates as a PenFed branch as of September 2019.
References
- "New rules won't affect all credit cards the same way Card issuers warn of high fees under new law, but credit unions largely unaffected". Marketwatch. May 26, 2009. Retrieved 2009-11-16.
- DuPlessis, Jim (January 2, 2019). "PenFed Acquires Progressive". Credit Union Times. Retrieved January 22, 2021.
- Pentagon Federal Credit Union. "2019 Annual Report" (PDF). p. 37. Retrieved January 22, 2021.
- Ghosh, Palash; Reosti, John (January 4, 2019). "PenFed's latest expansion move sets off another banker battle". American Banker. Retrieved January 22, 2021.
- "Membership". penfed.org.
- "Pentagon Federal Credit Union Joins National Surcharge-Free ATM Network; Members Gain Convenient Access at 23,000 Well-known Retail Outlets". Pentagon Federal Credit Union press release via PR Newswire. April 2, 2003. Retrieved 2009-11-16.
- WRITER, JON O'CONNELL, STAFF. "Valor Credit Union pursuing merger with Pentagon Federal". Retrieved 2017-01-26.
- "Valor Federal Credit Union". Retrieved 30 July 2018.
- "New Jersey Credit Union Plans Merger With PenFed". Credit Union Times. 2019-02-12. Retrieved 2019-09-18.
- "Welcome to the Family McGraw-Hill Federal Credit Union". Pentagon Federal Credit Union. Retrieved 2019-09-18.