UK Federal Credit Union merges with Cove Federal Credit Union

UK Federal Credit Union and Cove Federal Credit Union have completed their previously announced merger, effective April 1, 2026, with the combined credit union operating under the UK Federal Credit Union (UKFCU / “UK Credit Union”) name and leadership.

Key facts

• Legal effective date: The merger became effective April 1, 2026, following prior regulatory approval and a vote of Cove FCU’s membership.

• Surviving institution: The combined organization operates as UK Federal Credit Union (often branded as UK Credit Union), headquartered in Lexington, Kentucky.

• Size and footprint: Post‑merger, UKFCU has 8 branches, serves more than 118,000 members, and holds about 1.75 billion dollars in assets, with plans to open a new branch in the Florence, Kentucky area.

• Strategic rationale: Both boards cited long‑term sustainability, growth, scalability, and expanded in‑person access across Kentucky as primary reasons for combining.

Member impact

• Accounts and services: Cove FCU members see no immediate changes to their existing accounts or access channels; conversion to UKFCU systems is scheduled over roughly the first 60 days after the merger date.

• Staff and leadership: UKFCU has stated there will be no merger‑related staff reductions at either institution; Cove’s CEO Thomas Burns is retiring per his prior plans from late 2024.

• Dividends for Cove members: Cove FCU members are to receive a one‑time special dividend tied to their tenure, with the payment scheduled between the voting certification date (February 13, 2026) and the April 1, 2026 legal merger date.

• Product mapping: Cove accounts will be migrated to comparable or enhanced UKFCU products, with more details provided as conversion milestones approach.

Background on each credit union

Future plans

• UKFCU indicates it will continue to invest in expanded products and services, including enhanced digital banking and advisory offerings, leveraging the larger combined scale.

• The credit union plans to open a new branch near Florence, Kentucky (about 10 miles from Cove’s area) to strengthen coverage in Northern Kentucky.