Building the Foundations - The 1970sThe Credit Union had a Membership of 28 on 31st December 1970. On this, a levy of $23.80 (28 x $0.85) was paid to the New South Wales Credit Union League. In March 1971 it was necessary to draw on the League's loan facility, and Chairman Bill Ussher and Director Norm Kelsey attended the half-yearly meeting of the League. By 30th June 1971 the Credit Union had made 18 loans totalling $6,685.00, and most of the initial loans had almost been repaid. Savings had averaged $1000.00 per month, and Membership had grown to 58. Its assets stood at $6,809.00, and the Credit Union posted a net loss of $47.00 for the eight months it had existed. The first Annual General Meeting of Members was held at the Macksville Ex-servicemen's Club on the 30th August 1971. Addressing the meeting, Mr. J. Coyne (Senior Vice President of the NSW Credit Union League) promoted the virtues and services of the League, while admonishing those present that the apparent potential Membership of 200 would not be enough. New directors Mr. Fred Bond and Mr. A. J. Russell were elected to the Board in place of retiring directors Mr. A. Hanstock and Mr. F.G. Hughes, who were acclaimed a vote of thanks by those present. Bill Ussher was re-elected for a further term as Chairman. The First Balance Sheet was as follows:
The unsecured loan limit was raised to $500 per Member and interest rates were increased to 5% for Budget Deposits and 6% for General Deposits. In September 1971 the management of BGF gave permission for the Credit Union to occupy the Macksville office of Mr. Frank A. Matthews, their Manager, for half a day per week. Friday afternoon was chosen. Mrs. Beatrice F. Spear (wife of the Secretary) looked after this service, working as an unpaid volunteer. Soon it became a full day every Friday, with Mrs. Spear travelling to and from Macksville on the school bus. Without this early support by the BGF, its employees and other volunteers, our Credit Union would not have flourished. At the October board meeting, a Credit Committee consisting of H. M. Ussher, N. E. Kelsey and A. J. Russell were elected. Mr. L. L. Kesterton was appointed the Credit Union Auditor for the 1971-72 year. By December 1971, the Board was confident to increase the loan limit to $750, while reserving the right to provide up to $2000 if secured. Through its affiliation with the Credit Union League of NSW, the Credit Union was able to subscribe to a Savings Protection Fund, which was designed to guarantee the security of Members savings. The cost of joining this fund was $61.54 at the end of December. A Central Banking mechanism was also available which could make surplus funds of the League's Member Credit Unions available to other Member Credit Unions that were seeking additional funds to lend to their Members. The Credit Union was to derive a lot of benefit from both of these facilities. At this time, the League's six-monthly affiliation fee for our Credit Union was $80.00. For the 12 months to 30th June 1972 the Credit Union made loans to the value of $29,915, and made a profit of $33.73. Membership stood at 108, assets at $27,557.54, and outstanding loans $27,351.30, with savings increasing by 29% to $21,842. The next few months saw the Board making some of the most important decisions to affect the future expansion of the Credit Union. In July they decided to approach the Coffs Harbour District Council of the BGF with a view to extending the services of the Credit Union to their Members. By August they had replied to pressure of externally mounting interest rates by setting the rate for a 12 month fixed term deposit at 6.5%, and had given consideration to a number of other recommendations to put forward for the approval of the Members. One of the recommendations was for the Credit Union's bond to be extended to include BGF shareholders within the Coffs Harbour and Nambucca District Council areas. Consequent to this being approved by the Second Annual General Meeting, the Board would be expanded to ten directors, with five to retire at the Third Annual General Meeting, and a board representation maintained consisting of five directors being elected from each of the District Council areas. With our perspective of hindsight, their approval of the purchase of an adding machine seems mundane compared to this important strategic move, but it brings into close relief the shoestring nature of the infrastructure that these early Credit Union volunteers were coping with. At the Second Annual General Meeting, Mr. Stephen Birt reported to the Members on the benefits of the NSW Credit Union League's Fidelity Bond Insurance and the Savings Protection Fund. Mr. Birt also emphasised that the Credit Union books must be externally audited. Arthur J. Kerr of Coffs Harbour was appointed as the Credit Union's Auditor. Also at that meeting, a new director, Mr. R. A. [Ron] Stone, was elected to the vacancy created on the Board by the resignation of Malcolm McPhail, who was acclaimed a vote of thanks by those present. In addition, it was resolved that the name of the Credit Union would be the Coffs Harbour, Nambucca B.G.F Members Credit Union Ltd. Previous to the name change, the Credit Union served the residents of the Shires of Bellingen, Nambucca and the Parish of Yarrahapinni. The rule change added the Shire of Coffs Harbour. A meeting of interested parties was held the following night. Mr. E. N. Robinson immediately became the face of the Credit Union for Members visiting the BGF in Coffs Harbour, and BGF employees, Mrs. Margaret R. Hughes and Ms. Neroli R. Wallace attended to the office work involved. The first meeting of the expanded Board of the Credit Union was held on 14th November 1972, with Mr. E. N. Robinson, Mr. H. C. Ward and Mr. B. E. King being elected to represent the Coffs Harbour area. The Coffs Harbour Credit Committee of E. N. Robinson, B. E. King and H. C. Ward was elected, and the purchase of a Credit Union Lightning Loan Computer [Ready Reckoner] for their use was authorised at this meeting. This and subsequent board meetings were held in Urunga, because it was considered more central for directors' travel than the previous Macksville venue. The new director, Mr. Ron Stone, regularly brought deposits from the Bellingen/Urunga area to the Macksville office each Friday to be deposited to Members' accounts. As well as requesting Ron to call at their homes, Members would often call at his home, or sheader him as he drove by to give him funds to be deposited to their accounts. No doubt most of the other directors also found their private lives disrupted in this way, such was their sacrifice to the success of the Credit Union. In December 1972, Mr. J. Kaywood was nominated as the Credit Union's solicitor. The Cooperative Dairy Society was approached regarding payroll deductions as a further extension of service to Members. By the end of the month, an affiliation fee of $173.00 was due to the New South Wales Credit Union League, and $280.59 was paid into the Savings Protection Fund, bringing the Credit Union's total contribution to $343.83. An initial contribution of $121.70 was also made to the League's Development Fund. All these contributions were set to grow exponentially over the next two decades from hundreds of dollars to hundreds of thousands of dollars. Consequent to further negotiations, the Cooperative Dairy Society (CDS) Credit Committee was appointed at the board meeting on 12th February 1973. This comprised of R. A. Stone (Chairman), F. J. Wiley and R. R. Pearce. A Special Half Yearly Meeting was held on 19th February, in the Cavanbah Hall, Coffs Harbour to effect some minor rule changes required to meet the conditions of the Credit Union Act. The Board took this opportunity to have Mr. B. Calverley, a Director and Past President of the Credit Union League, address the meeting. An expert on the Credit Union Movement, Mr. Calverley's address sought to strengthen the knowledge and resolve of the Members of the Credit Union. To increase service to Members, F. A. Matthews, M. R. Hughes and B. F. Spear were authorised as signatories to the Credit Union's bank account, and a $70 Royal Typewriter was purchased. Around this time in 1973, one of the great motivating forces for the foundation of the Credit Union, Mr. Arthur Hanstock, died. Mr. Hanstock had been very ill for a long time, both while striving to bring the Credit Union into existence, and later when he accepted a Directorship at its foundation meeting. Even though he knew he would not derive any benefit directly for himself from the Credit Union, he worked assiduously and unselfishly to ensure it would bring benefits to future generations. Quoting Bill Ussher, the Chairman at that time, 'His commitment, dedication and unselfishness epitomises the spirit of the Credit Union Movement.' No doubt the same could be rightly said of each and every person who has served as a director of the Credit Union throughout its history. After paying tribute to Arthur Hanstock, at their May 1973 meeting, the board Members pressed on with business, setting a loan limit of $2000, with applications exceeding this amount to be referred to the Board. For the 12 months to 30th June 1973 the Credit Union made loans to the value of $96,910, and a profit of $185. Membership stood at 257, assets at $109,238, and outstanding loans $102,518. The Annual General Meeting on 17th September was preceded by a dinner provided at a nominal cost of $1.00 per person. Bill Ussher, the Chairman, was able to report that the amalgamation of the Coffs Harbour District Council area into the one Credit Union was working very well, and consequently Membership had increased by 138%, while savings had increased by 383% and loans by 275%. The Chairman also announced that the Credit Union planned to set up permanent offices in Coffs Harbour and Macksville. Guest Speaker at the meeting was Mr. Noel Robinson, Manager of the Tweed BGF Members Credit Union Ltd., who congratulated the Credit Union on its growth, and encouraged Members to increase their savings. New directors Mr. A. B. Nelson and Mr. W. H. Appleby were elected to the Board in place of retiring directors Mr. S. L. McCudden and Mr. A. J. Russell, who were acclaimed a vote of thanks by those present. This was emphasised by a Letter of Appreciation from the Board at the following board meeting. Mr. Neville Spear was appointed the Credit Union's first Manager at that meeting, and the following Credit Committees were designated in addition to the CDS Credit Committee: Midco Credit Committee: Nambucca Credit Committee: Coffs Harbour Credit Committee: Interest rates were increased to 7% for $1,000 term deposits over 6 months, and the newly appointed Credit Committee of E. N. Robinson and N. J. Spear were authorised to lend up to $500 to approved BGF customers. At the following month, this authority was quadrupled to $2,000 for all credit committees. Mr. Peter Wardman became the Credit Union's corporate Solicitor in 1973, a position he held until 2004. Business through the Coffs Harbour office of the BGF was expanding quickly, with another BGF employee, Jack Rudd, calling on shareholders and promoting the benefits of Credit Union Membership. 1974 saw increased pressure on interest rates, with a number of upward revisions in term deposit rates, and an increase in the loan rate to 1.2% reducible monthly. In April Mr. K. J. Scolari was appointed to the Cooperative Dairy Society Credit Committee. For the 12 months to 30th June 1974 the Credit Union made 203 loans to the value of $201,915, and made a profit of $1140. Membership stood at 438, assets at $218,096, and outstanding loans $213,163. The loan limit was increased to $4,000 at the start of the new financial year, and an F1500 Burroughs Accounting Machine was purchased from the Tweed BGF Members Credit Union for $664.32. On the 1st September 1974, the first full-time office was opened in the BGF store, Cooper Street, Macksville with Neville Spear as Manager, and the registered office was transferred to that address. Mrs. Eileen M Gaddes was employed part time in the office from October, and given authority to sign cheques from the following month. The Annual General Meeting on 23rd September 1974 was preceded by a dinner costing $3.50 a head, but provided to Members at the nominal cost of $1.50. Mr. B. Calverley, from the Credit Union League, spoke to the meeting about the history of the Credit Union Movement, and the services provided by the League. At their annual meeting, the Board re-elected all previous officers to their respective positions and committees, with the exception of the Midco Credit Committee, which was reduced to A. J. Russell and S. H. Hughes. The Mid-North Coast Credit Union, a local competitor, was experiencing difficulties about this time, but having a full-time manager had the opposite effect on our fledgling Credit Union, stimulating a spurt of growth. This increased workload triggered the need to purchase a $275.00 Sharp Compet 626 Calculator in February, and an electric typewriter in May. Being a BGF Members' Credit Union, it was necessary for one to become a shareholder of the BGF Cooperative before one could join. This created problems for the BGF. People were joining BGF so they could become Members of the Credit Union, while having no intention of doing any business with BGF. At their May meeting, the Board decided to investigate a suggestion from the State Registrar for Cooperatives, Mr. David Horton, that the bond and name of the Credit Union be changed to relieve the BGF of this unnecessary burden. They also discussed a report on a meeting with Mid-North Coast Credit Union. Months earlier, in an attempt to put a ceiling on consumer loan interest rates, the NSW State Government had introduced a loan tax of 1.5% where the interest rates were 14% and over, on loans $500 and over. Our Credit Union was able to avoid this impost until May, when interest on loans was increased to 1.3% monthly reducible. In June, a Credit Committee consisting of Clayton Beatty, Frank Tatton and Jenny Archbold were elected to scrutinise loan applications made by employees at Allen Taylor's Sawmill, Dorrigo. Amalgamation with the troubled Mid-North Coast Credit Union was considered not possible at this time, and the Board decided to make further investigations into new accommodation for the Coffs Harbour office. They also decided to recommend to Members that the bond be extended to residents of the current bond area, and that the name be changed to Bananacoast Community Credit Union Ltd. For the 12 months to 30th June 1975 the Credit Union made 376 loans to the value of $454,449, and made a loss of $3198. Membership stood at 814, assets at $533,005, and outstanding loans $481,073. In July a full-time office was opened in Fitzroy Chambers Park Avenue, Coffs Harbour, managed by Mrs. M. R. Hughes. In the same month, after many requests from our Members in Dorrigo, an office was established in Cudgery Street. It opened between 10.00 am and 5.00 pm each Friday. At the Fifth Annual General Meeting, held on the 15th September 1975, the bond was extended by replacing 'BGF Members' with 'residents', and the following motion was carried unanimously: 'The name of the Credit Union shall be Bananacoast Community Credit Union Ltd.' The name was duly registered in November 1975 and the Credit Union as it is known today came into being. (The charge to Members for the Annual Dinner was $2.00.) This was also the year when the Board joined with the boards of Macleay Mutual, Hastings Rural and the Kempsey Postal Credit Unions to form the Mid North Coast Credit Union Chapter, to work cooperatively together and exchange experiences and knowledge. At their September meeting, the Board approved the purchase of an L613 Accounting Machine to a maximum cost of $10,500. Mrs. Janice Beatty was appointed in April 1976 to manage the Dorrigo office when it became the third full-time office after Macksville and Coffs Harbour. Later in the year, the Board decided to purchase a block of land in Macksville, and a building in Dorrigo. For the 12 months to 30th June, 1976 the Credit Union made 586 loans to the value of $750,395, and made a profit of $6698. Membership stood at 1268, assets at $933,800, and outstanding loans $853,379. At their July meeting, the Board elected Mr. J. R. Pullen as a director to fill the vacancy created by resignation of Mr. E. N. Robinson, who was voted a Letter of Appreciation. John Raymond Pullen and Delma Joan Borrell were authorised to sign cheques. The guest speaker at the Sixth Annual General Meeting was Dr. A. O'Gower, a marine biologist who ensured the gathering was well advised on sharks. (The charge to Members for the Annual Dinner remained at $2.00.) Mr. H. M. Ussher was acclaimed for his six years service as Chairman of the Credit Union when he retired at the directors' annual meeting in October, and Mr. B. E. King was elected to fill the position. Bill modestly referred to the exponential growth of the 'little' organisation he had been leading as 'daunting', and with its assets now headerping a million dollars, he felt that the duties of the Chairman might be more than he could handle at the moment. Others would say that Bill Ussher displayed great courage and determination in accepting the position as inaugural Chairman. At the time, it was not known how the community would react to a local cooperative financial institution being established and directed by people involved in the banana industry. [It is worth noting however, that the residents of the Nambucca District Council area were well informed about cooperative organisations. In the early days of settlement, dairying became the main industry, and producers established cooperatives to process and dispose of their products. During the 1930s, the banana industry began to expand in New South Wales. Banana growers united to form a cooperative to handle the transport and disposal of their produce to city markets throughout Australia. The cooperative also established stores to supply the needs of the growers. In the early 1940s, Nambucca valley beef producers formed a cooperative to process and dispose of their products. The local residents supported the venture, and a meatworks was established in the valley. With this background of cooperation, it is understandable why the Credit Union has succeeded, despite any instigator's reservations.] At their annual meeting, the Board re-elected all previous officers to their respective positions and committees; with the exception of the Midco Credit Committee, which was expanded to A. J. Russell, J. F. Ulrick and L. R. Shephard; and the Coffs Harbour Credit Committee, where J. R. Pullen replaced E. N. Robinson, who had retired. With assets headerping the million-dollar mark, the need for alternate office space in Coffs Harbour became pressing, and was raised at the September board meeting. By February a lease for a shop-front position on the corner of Park Avenue and Grafton Street had been agree upon. Separate proposals to acquire independent accommodation in Macksville, and to expand into Dorrigo were investigated in November. As a result, land and buildings in Cudgery Street, Dorrigo and a piece of land on the corner of Cooper and Winifred Streets, Macksville were later purchased. When the Board met in May, they elected a sub-committee comprising Bruce King, Bill Ussher and Fred Bond to compile plans for the proposed new building in Macksville. Council's approval for the development plan was received before the September board meeting. For the 12 months to 30th June 1977 the Credit Union made loans to the value of $872,094, and a profit of $15,788. Membership stood at 1616, assets at $1,226,499, and outstanding loans $1,131,724. At the Seventh Annual Meeting of the Credit Union, Mr. B. E. Pilgrim was elected to the Board in place of retiring director Mr. W. H. Appleby, who was afforded a vote of appreciation for his four years of service on the Board. The meeting also paid high tribute to the efforts of the foundation Chairman, Mr H. M. Ussher, in building a solid foundation for future growth of the Credit Union, which was fast becoming an institution that would have a big influence in the region in which it operated. With the exception of the Coffs Harbour Credit Committee, where B. E. Pilgrim replaced W. H. Appleby who had retired, the Board re-elected all previous officers to their respective positions and committees. When Director H. D. White tendered his resignation at the December board meeting, past Chairman Bill Ussher spoke very highly of his services to the Credit Union since its inception. Mr. F. C. Tatton was nominated to fill the vacancy created by this resignation. Tenders for the erection of the Macksville building were tabled in February 1978, and the $143,496 contract for its erection was endorsed the following month. Also at their March meeting, the Board decided to increase the limit on loans not secured by mortgage to $6,000. With Membership approaching 2000 in May, the purchase of a Mita Copystar 500-D dry copier at a cost of $1,500 was deemed essential, and the limit for mortgage secured loans was increased from $8,000 to $15,000. The following month, the Board made plans for the official opening of the Macksville building. With consultants' fees, the overall cost was $198,607.82, but the builder's price came in $4,731.50 under his tender. The leases for the three additional tenants of the building (Department of Agriculture, Andrew B. Boyton, and Abernethy, Finlayson & Co.) were also endorsed at this time. For the 12 months to 30th June 1978 the Credit Union made loans to the value of $1,142,067, and a profit of $24,498. Membership stood at 2030, assets at $1,831,021, and outstanding loans $1,521,205. Mrs. Janice Beatty, who had commenced work with the Credit Union in 1976, resigned in July, and her position as the manager of the Dorrigo office was filled by Mrs. Jenny Archbold, who had served on the Allen Taylor's Mill, Dorrigo Credit Committee for three years. The Macksville building was occupied on 7th August, and was officially opened by Mr. S. D. Einfield (Minister for Consumer Affairs and Minister for Cooperative Societies) two days later. Also present at the opening were Mr. J. H. Brown MP (the Member for Raleigh), representatives the Credit Union League and neighbouring Credit Unions. The Credit Union was now recognised as a major economic force in the community. Moving into the Macksville building completed the foundation years of the Credit Union and marked the end of its close association with the BGF. The assistance given to this Credit Union in its formative years by the BGF Cooperative, and at no cost, contributed in no small way to its success. At the Eighth Annual General Meeting, the Chairman (Bruce King) reminded Members of the cooperation involved during this historic year. He praised the dedication of time and talents freely given by the Credit Union Directors, BGF Managers and others. Once again the dinner was made available to Members for $2, but the cost to the Credit Union had grown to $5. At their annual meeting, the Board re-elected all previous officers to their respective positions and committees, with the exception of the following: Coffs Harbour Credit Committee: B. E. King, J. R. Pullen, B. E. Pilgrim, A. B. Nelson, B. A. Addison and S. N. S. Grewal Nambucca Credit Committee: H. M. Ussher, N. E. Kelsey, F. D. Bond, F. C. Tatton and R. A. Stone. Dorrigo Credit Committee: H. Hickey, F. Tatton and J. Archbold. At the close of 1978 League affiliation fees were $1,617 (2156 Members @ $0.75). Interest payable on loans $10,000 and over had been lowered to 1.3% per month reducible, with On Call Savings paying 6% p.a. on minimum monthly balances. Fixed Term Deposits yielded 9% p.a. for $1,000 or more invested over 6 months, and 10% p.a. for $1,000 or more invested over 12 months. From June 1979 the minimum term deposit for 6 months was reduced to $500. In May 1979, the Credit Union reinforced its commitment to supporting community organisations. A prize of $100 was donated to the Nambucca River District Agricultural Association to be presented to the most successful exhibitor on the Hoof at the Beef Hoof and Hook competition. July saw a donation of $100 go to the Hunter Valley Steam Railway and Museum. At the Coffs Harbour & District Hospital, the additional service of a cheque cashing agency was provided for Members each payday. For the 12 months to 30th June 1979 the Credit Union made loans to the value of $1,606,787, and a profit of $32,514. Membership stood at 2541, assets at $2,600,907, outstanding loans $2,148,541, and savings were at $2,332,491. At the Ninth Annual General Meeting, Mr. Reg Elliott gave a very interesting address on Credit Unions and the functions of the NSW Credit Union League. Mr. K. B. Palmer was appointed as Manager of the Coffs Harbour District Area. Ken proved to be a most ardent supporter of the Credit Union philosophy, and served the organisation enthusiastically for two decades. On 16th January, the Coffs Harbour office was transferred to 69 Grafton Street, Coffs Harbour as the lease had run out on the premises in Park Avenue. A budget of $1,400 was appropriated for an advertising program and the official opening, which was conducted by the Member for Clarence, Mr. Matt Singleton, on 18th April 1980. The Credit Union continued with its program of community support with donations to a variety of worthwhile causes, including the Macksville Technical College, and the Hoof and Carcass competition in Dorrigo. The previous year's donation to the Beef Hoof and Hook competition was doubled, and the Credit Union also sponsored a quest entrant in the Nambucca Hibiscusland Festival. |
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