First Federal Credit Union completing Eaton merger

First Federal Credit Union in Cedar Rapids is completing a merger with the Eaton Employees Credit Union in Spencer, accepting its 478 members.

The deal, approved by the National Credit Union Administration and the Iowa Division of Credit Unions, was effective Nov. 6.

Tom Chalstrom, president and CEO of First Federal Credit Union, said plans include moving Eaton to a new location.

'With this merger, First Federal is able to provide its products and services to all residents in Clay, Dickinson and Buena Vista counties,” Chalstrom said.

In a letter to members of Eaton, First Federal said that all accounts will have the same terms, rates and balances. All accounts will continue to be insured by the National Credit Union Administration.

Eaton employee Cathy McKibben has agreed to remain in a similar position with First Federal.

Eaton served employees of Eaton Manufacturing, once the largest employer in Spencer. In November 2016, Eaton announced plans to close the 337,000-square-foot plant, which made hydraulic pumps and motors, primarily for agricultural equipment.

The plant closing ended employment for the remaining 140 employees. The company attributed the plant closing to a sharp decline in agricultural equipment production.

First Federal is a nearly 10,000-member community credit union with offices in Cedar Rapids and Hiawatha. Chartered in 1926, First Federal is the second-oldest credit union in the state of Iowa.

First Federal recently opened a branch office on the corner of Williams Boulevard SW and the entrance to Westdale Drive.