PASADENA, Calif. — Wescom spoke with the Credit UnionTimes today to clarify reports the $2.8 billion credit unionis out of the wholesale lending business, and has laid off 100-plusemployees.
|CEO Darren Williams said that while Wescom eliminated about 100positions, only 20 employees were actually laid off. An additional80 to 90 positions were eliminated through attrition or thedecision not to fill vacancies.
|Williams confirmed Wescom is no longer in the wholesale realestate business, he stressed the credit union is still in theretail mortgage business, and estimated wholesale lending onlyaccounted for about 15% of his Wescom's real estate portfolio, andless than 10% of Wescom's overall loan portfolio.
|“We never participated in subprime real estate loans. All ofours are prime loans,” Williams said.
|However, he said, some Wescom members are experiencing mortgagepayment increases and tight household budgets, which has resultedin credit card and auto loan delinquencies at the credit union.
|“We definitely saw an increase in consumer delinquencies…not somuch on the real estate,” he said.
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