In today’s shifting mortgage landscape, one thing remains clear: credit unions are uniquely positioned to lead with purpose. During iEmergent’s April 30 webinar, “Not Sold on Diversity? Fine. Let’s Talk About Your Bottom Line,” John Harpst of Lake Michigan Credit Union emphasized that mission-driven lending doesn’t just endure disruption—it thrives on it.
Credit Union DNA: Member-First, Mission-Always
Recent rollbacks in DEI policies and changes to GSE support for special purpose credit programs (SPCPs) have left many lenders questioning the long-term viability of equitable lending efforts. But credit unions like LMCU aren’t backing down. When regulatory shifts forced changes to one of LMCU’s most successful SPCPs, the credit union didn’t shutter the program. It simply adjusted the program to remove race/ethnicity qualifiers while maintaining its commitment to closing gaps for first-time buyers.
“Just because we changed the words doesn’t mean we changed our mission,” Harpst said. “As a credit union, although we’re not under CRA oversight, we are subject to fair lending and fair housing. And quite honestly, it’s the right thing to do.”
That "right thing to do" ethos is embedded in the credit union model. With strong local ties and community accountability, credit unions are inherently positioned to prioritize equity, long-term relationship-building, and sustainable homeownership.
Internal Communication Fuels External Impact
Harpst also emphasized the importance of internal alignment. When he asked certain LMCU teams why they weren’t utilizing a particular community lending program, they said they simply hadn’t heard about it. Realizing that sustainable community impact starts from within, he brought together teams across departments—from servicing to retail to marketing—to build shared awareness. Staff began sharing the program with family, friends, and local organizations. That grassroots visibility sparked new community partnerships, more qualified referrals, and ultimately, more members on the path to homeownership.
Action Over Acronyms
In an era when even the words we use, like “DEI” or “SPCP,” can become flashpoints, credit unions are doubling down on what matters: outcomes. Harpst noted that while terminology may evolve, the work doesn’t stop. LMCU continues to invest in down payment assistance, collaborate with housing nonprofits, and consistently show up in communities that need support—not to check a regulatory box, but because these are the communities its members call home.
A Blueprint for Sustainable Growth
As market dynamics shift, credit unions must focus on where opportunity lies. Harpst’s example reminds us that sustainable growth comes from authenticity, consistency, and a clear-eyed understanding of both data and people. By rooting outreach in local insights and empowering staff across the organization, credit unions can continue to deliver real solutions—regardless of what regulations or headlines may change.
It’s a model that only works when lenders bring both credibility and care to the table. As Harpst put it, “You better know your stuff when you get there and you better be sincere.”
Learn how iEmergent’s data can help you uncover untapped opportunities in your markets and build outreach strategies to close the gaps.