Black Hills Federal Credit Union Uses Loophole to Stretch Common Bond

In 2017, through strategic gerrymandering, Black Hills Federal Credit Union used the district loophole to connect South Dakota’s two largest distinct metropolitan areas by population size. The credit union has used the rural district geographic common-bond to expand its footprint across the state on three different occasions.

“It appears that the credit union is using rural counties to create a bridge from one metro area to another metro area.

In fact, Black Hills FCU does not have a branch in truly rural counties, such as Haakon, Buffalo, Butte, Jerauld, Hyde, Miner, and Sanborn. However, according to its current profile, the credit union has already opened a branch in Minnehaha County, which it just added.

This gerrymandered rural district is rural in name only. NCUA’s decision to approve this rural district is arbitrary and capricious.”

Read more in the article from Credit Union Watch.

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