The deal aims to preserve local ties in Western Massachusetts while offering broader services and greater financial scale.

Alden Credit Union, a nearly century-old community lender based in Western Massachusetts, announced on Thursday that it plans to merge with Hanscom Federal Credit Union, a larger institution with operations spanning Massachusetts, Maryland and Virginia.

The move reflects a broader trend in the credit union industry toward consolidation as smaller institutions seek scale, technology investments and long-term stability.

Under the proposed merger, which is expected to be completed in the fourth quarter of 2026 pending regulatory approval, the combined organization will operate under the name Hanscom Federal Credit Union. Peter Rice, Hanscom’s president and chief executive, will lead the merged entity, while Adam Corcoran, Alden’s chief executive, will serve as regional president, maintaining local leadership and oversight in Western Massachusetts.

Together, the credit unions would serve roughly 128,000 members, manage about $2.3 billion in assets, and operate 25 branches across three states. Alden’s two branches, in Chicopee and Belchertown, Mass., will remain open, and all Alden employees will be retained, the institutions said.

“Our priority has always been our members,” Corcoran said in a statement. “They trust us to protect what makes Alden special — our relationships, our local service, and our commitment to their financial well-being.” After what he described as a comprehensive search for a partner, he said Hanscom emerged as the best fit to preserve those values while expanding access to technology, tools and educational resources.

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Founded in 1939, Alden Credit Union has approximately $200 million in assets and nearly 14,000 members. Hanscom Federal Credit Union, established in 1953 and headquartered at Hanscom Air Force Base in Massachusetts, is significantly larger, with more than $2.1 billion in assets, over 115,000 members, and more than 300 employees.

The merger would give Alden members access to a wider branch and ATM network, increased lending capacity for mortgages, auto loans and small business financing, and expanded digital banking capabilities. It would also broaden access to free certified financial coaching programs offered by Hanscom.

“This is a partnership grounded in shared purpose and a belief that credit unions exist to help people thrive,” Rice said. “Alden Credit Union has built a remarkable legacy of trust and service in its community, and we are honored to support and build upon that foundation.”

Financially, both institutions have remained profitable, though on different scales. Hanscom reported earnings of $2.3 million in 2025, essentially unchanged from the prior year, according to NCUA call report data. Alden posted earnings of $339,000 in 2025, up from $236,000 in 2024. The merger is intended to enhance operational resilience amid rising technology costs, regulatory pressures and competition from larger banks and fintech firms.

Hanscom has signaled a broader growth strategy. In late 2024, it announced plans to acquire Peoples Bank, a $300 million-asset institution in Chestertown, Md., further expanding its Mid-Atlantic footprint. That deal closed last month.

During the regulatory review period, both credit unions will continue to operate independently. Officials said members should expect no immediate changes to their accounts or services and will be kept informed as the process moves forward.

“This is a partnership grounded in shared purpose and a belief that credit unions exist to help people thrive.”

– Peter Rice
President & Chief Executive
Hanscom Federal Credit Union