ECU's Story: Reflecting on 90 Years

The financial crisis that caused the Great Depression fueled the credit union movement across the country. Credit unions promoted thrift, and their cooperative structure allowed communities of workers to save together and to loan funds to one another.  

Understanding that credit union membership would foster good habits and build community among workers at Tennessee Eastman Company (TEC), James C. White, the president of Tennessee Eastman, and nine other company officials sought to establish the Tennessee Eastman Credit Union (TECU). The idea came in 1934, soon after the Federal Credit Union Act was signed into law by Franklin D. Roosevelt. On September 10, 1934, White received the official charter for the Tennessee Eastman Credit Union. The other officials listed on the original charter were J.R. Brandon, B.M. Brown, R.C. Caldwell, A.J. Carter, N.D. Grills, A.M. Moore, H.G. Stone, J.C. Stone, and R.L. Vaughn.

Starting in a makeshift office in Building 75 on the Kingsport plant site, TECU officially opened its books on October 1, 1934. News of the credit union spread quickly, and it ended the first month with 138 members, $795.00 in shares, and $716.60 in loans. 

White was an avid supporter of the TECU and encouraged employees to start saving at reasonable amounts to boost morale when economic certainty was lacking across most of the nation. 

It worked. In 1936, TECU needed additional space and moved to Building 1 on the Tennessee plant site. TECU was completely self-sufficient by 1941. With World War II in full swing, the TECU board voted to invest in surplus war bonds. Members were faithful with their deposits and loyal to paying back their loans. By 1945, TECU had more than 2,600 members, and the credit union reached $1 million in assets the following year. 

In the 1960s, TECU outgrew its space again, moved to Building 215, and included the Holston Defense Corporation and other Eastman subsidiaries within its membership. TECU continued to grow, offering more products and services. In 1978, TECU dropped "Tennessee" from its name and prepared for expansion to Eastman plant sites in Longview, Texas, Batesville, Arkansas, and Columbia, South Carolina, where credit union offices opened in 1979. 

The eighties brought growth, and ECU began to offer mortgage loans, followed by share drafts (checking accounts), and ECU Money Tree ATMs were introduced in 1986. The decade closed out with the opening of its first free-standing branch office on Wilcox Drive and launched ECU's first call center, known as the ECU Express Line. The cooperative credit union spirit was more vital than ever, and members enjoyed the benefits of the distinctive structure. It led to the tagline "It's Your Money," which continues to resonate with an entire generation of its membership.  

ECU's leadership saw opportunities ahead. The following year, ECU began offering Visa Credit Cards. In 1995, ECU topped $500 million in assets, and a season of expansion lay ahead. 

With the growth of Texas Eastman, the first free-standing branch was opened in 1996 in Longview, Texas. While it was on the plant site, retirees and family members of Eastman workers could access the credit union without entering the Eastman gates. The same year, ECU opened a branch in Johnson City, Tennessee. During this time, ECU's leadership recognized opportunities ahead that would forever change the credit union's course. In 1998, ECU announced its first Extraordinary Dividend.  

"This was and still is a unique offering that emphasizes our cooperative structure.  Once the credit union meets all financial provisions, ECU's board of directors votes on returning the remaining funds to our members for their loyalty.  We've given back $193 million since 1998 to members. That's significant," said Price. 

In 2001, ECU reached $1 billion in assets and, the following year, became independent from Eastman Chemical Company with 200 employees. In 2003, ECU merged with Sullivan County Credit Union, growing the ECU family and providing more opportunities for Sullivan County members and employees.  Based on an independent study, ECU was named the nation's #1 Peak-Performing Credit Union that year. 

"I was an ECU branch manager in the early part of the 2000s, and it was certainly a decade of positive change and growth," said Price.

With more branches opening, more community members wanted to have the opportunity to have accounts with Eastman Credit Union. Their wish was granted in 2005 when ECU expanded its Field of Membership to include several counties in Northeast Tennessee, Southwest Virginia, and East Texas.  

"Helping members, expanding service opportunities, and establishing ourselves as a community partner was simple because we had a culture that focused on providing a better way.  We always placed people over profits. We were making significant contributions to impactful community projects and improving the financial well-being of the communities we serve, and that's still a priority," said Price. 

Growth led to more jobs. By 2009, ECU had 400 employees and 100,000 members. The community expansion and company growth transformed ECU from a financial service offered to only a select group of employees to one helping communities, individuals, and families in ways they'd never imagined. Free checking accounts, low-dollar loan options, and various mortgage options have created loyalty among ECU members. Many members referred to ECU as part of their family.

In 2011, ECU BESIDE YOU appropriately became the organization's new motto.  In 2017, membership exceeded 200,000. During that decade, branches opened across the service area, attracting more and more members to the credit union difference. As a result, ECU's employee count exceeded 800 in 2019. 

In January 2020, Kelly Price was named president and CEO after a lengthy tenure on ECU's executive team.  Price was well-prepared to launch another generation of change. Little did she know that soon after her appointment, the world would experience a global pandemic. 

"Our top priority was the same as it's always been. We focused on serving people. We kept our employees and members informed and provided the best possible service we could offer as we charted new territory," said Price.   

In 2020, ECU opened three branches in Tennessee and Virginia, and a new mortgage lending center opened in Texas. Members knew they could rely on ECU as a trusted partner, and the credit union continued to grow.

"Covid was obviously unlike anything we’d ever encountered. Our employees were amazing through it all, but it was emotionally and physically difficult. We realized that our employees needed a boost, something positive to focus on, and non-profit organizations needed funds. We started Casual for a Cause about mid-year, which brought us together and gave us a unified project.  Almost every employee participated," said Price.

Through Casual for a Cause, which started the summer of 2020, ECU employees have raised $164,000 for local charities. On payday Thursdays, they wear t-shirts recognizing the organizations they support, jeans, and tennis shoes. Participating ECU employees donate one dollar per paycheck, and ECU matches their donation 100%. 

"Our focus is always the same, no matter how many members or employees we have. We are here to help every member with whatever brings them to ECU, and we're here to support our communities," said Price. 

Community giving and financial education are fundamental building blocks of credit unions. Over the years, ECU has donated millions to support the communities within its membership area.  

By late 2021, ECU partnered with Banzai, an education company, and agreed to supply financial education curricula and workbooks to schools throughout its service areas. To date, ECU has provided free educational curricula to 199 schools and 45,000 workbooks to students.  

"We're committed to improving financial well-being for our communities and members," said Price.

Under Price's leadership, ECU is thriving as its employee and membership base continues to grow. ECU focuses on offering members services that meet them physically and digitally. 

"We're adapting to serve our membership in new ways. Whether it's a curbside branch that offers drive-up service for member service needs or our digital offerings, members are busy, and our goal is to find the best way to help. We want to make banking convenient because focusing on the needs of our members comes first," said Price. 

Today, ECU has 30 branches and over 337,000 members, and its assets have grown to $8.7 billion. The Extraordinary Dividend has paid out $193 million since its inception, and this year, S&P Global Market Intelligence named ECU the best-performing credit union in the nation.  

"It's an honor to serve our communities. It's a story of hard work, trust, dedication, loyalty, and placing the interest of our members first in everything we do," said Price.

The most recent branch opened in Elizabethton, Tennessee, and it is an example of the forward-thinking and transformation that embraces ECU's approach to service.

"It shows that there's a bright future ahead, and we'll never stop looking for a better way," said Price.