Credit union CEO faces backlash over ‘Lake America’ post.
Family First Credit Union’s Janie Smith said the image was created with ChatGPT as a joke; the institution’s board has rejected the post and is reviewing what to do next.
The chief executive of Family First Credit Union is facing public criticism after sharing an AI-generated image that appeared to show her and family members wearing “Lake America” sweatshirts while preparing to travel to Canada.
Janie Smith, who leads the $97 million credit union in Saginaw, said the image was a poorly judged joke created with ChatGPT and shared on her personal Facebook page. In a statement to ABC12 News, she apologized and acknowledged that the post was insensitive and offensive.
“Last week, when traveling with my family we decided to take a photo in the Detroit airport and used ChatGPT to generate an image to show what we would look like if we were all wearing ‘Lake America’ sweatshirts,” Smith said in the statement, according to ABC12.
The image was not a photograph of an actual event, Smith said. But she said she understood that distinction did not erase the impact of the post.
“I made a mistake,” Smith said. “I own that mistake, and I am committed to learning from it.”
The episode has drawn attention in Saginaw, where Family First has 5,326 members and is one of the area’s smaller financial institutions. The credit union earned $122,000 in the first six months of 2026, compared with $163,000 in the same period a year earlier, according to NCUA call report data.
ABC12 reported that the image appeared to show Smith and family members wearing the sweatshirts before boarding a flight to Halifax, Canada. The station also spoke with Zachary McDaniel, a customer who said he disagreed with the post and questioned whether executives of financial institutions should use their public platforms for political or controversial material.
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“I do not agree with that,” McDaniel told ABC12.
McDaniel said the post made him uncomfortable with the idea of business leaders sharing political content without involving the communities they serve, according to the station’s report.
Family First’s board has drawn a clear line between Smith’s personal post and the credit union itself.
“Family First Credit Union unequivocally disapproves and rejects the content of the social media post involving our CEO, Jane Smith,” the board said in a statement to ABC12. The board said the post was made by Smith in her personal capacity and without the credit union’s authorization or knowledge, but called the conduct unacceptable.
The board also said the post did not reflect the credit union’s values, mission or culture and that it supports and respects its Canadian neighbors. It said it was determining the “next appropriate steps” regarding Smith.
The situation is unfolding in a city less than 100 miles from the Canadian border, giving the post a particularly local dimension even though Smith said it was created as a joke involving her family.
Smith said she did not intend to insult or harm anyone.
“I want to sincerely apologize to everyone,” she said. “I never intended to insult, mock, or harm anyone, but I recognize that my intent does not erase the impact. I take full responsibility for creating and sharing the image.”
The controversy also highlights a more complicated reality for executives whose personal social media accounts can become intertwined with the institutions they lead, particularly at community-based organizations where a chief executive may be closely identified with the organization.
Family First is a member-owned credit union headquartered in Saginaw. With 5,326 members, it is far smaller than the large regional and national financial institutions that dominate the banking industry.
The board said its focus remains on serving members and the community with integrity. It did not announce any change to Smith’s position in its statement to ABC12.
For now, the credit union is reviewing the situation while Smith has publicly acknowledged the backlash and apologized for the post.
“I take full responsibility for creating and sharing the image.”
Janie Smith
CEO
Family First Credit Union
Ken McCarthy is manager of marketing communications at Tyfone, where he monitors the credit union industry and contributes to conversations shaping its future. He previously covered credit unions and community banking for American Banker and S&P Global Market Intelligence. He holds a journalism degree from Point Park University and has more than 15 years of experience covering financial services. He is also the author of three literary fiction novels.
