HFS Federal Credit Union

What HFS Federal Credit Union does

HFS Federal Credit Union is a federally chartered, not-for-profit cooperative credit union founded on January 4, 1937 and headquartered at 632 Kino'ole Street in Hilo, Hawai'i. Operating under a community credit union field-of-membership restricted to individuals who live, work, worship, attend school, volunteer, or participate in associations headquartered on the island of Hawai'i, HFS serves approximately 49,000-50,000+ members across six physical branch locations (Hilo x2, Honoka'a, Kea'au, Kailua-Kona x2, Waimea, and Prince Kuhio Plaza) supplemented by online banking, a mobile banking app with mobile deposit, online account opening, text banking, and a Bank of Hawai'i ATM network partnership. HFS is the largest credit union on the Big Island and has been consecutively named Forbes Best-In-State Credit Union in Hawai'i for 2025 and 2026.

The product set is a full-service consumer banking portfolio: deposit products include free checking, savings, Money Manager, share certificates (up to 4.33% APY on 36-month terms), and Traditional/Roth IRAs; lending products include 1st and 2nd mortgages, construction-to-permanent loans, HELOC, auto loans (up to 84 months), personal loans up to $25,000 (from 5.75% APR), personal line of credit, vacant land loans (interest-only up to 36 months), secured loans, and the Kumu Kāko'o financial wellness program; card products include Visa Platinum, Visa Signature (2% rewards), Visa debit, and share cards; and ancillary services span accident/life/credit-disability insurance, safe deposit boxes, notary, official checks, and coin counting. Core technology is a standard digital banking stack (SSL-secured online banking, mobile deposit, online account opening at applyonline.hfsfcu.org, and Zogo gamified financial education integration) rather than a proprietary or AI-native platform.

Revenue mechanics are typical of a cooperative credit union: net interest income from loans (mortgages, auto, personal, land, solar) and share certificate/savings dividends (HFS pays up to 4.33% APY, earning a spread on deposits), supplemented by Visa card interchange and transaction-related fees, service fees (late, returned payment, emergency card replacement, rush, statement copy), and insurance commissions. Pricing is publicly disclosed, with rates set by product, creditworthiness, and term; the Visa Platinum APR is variable at Prime + 5.50%, and the Visa Signature offers 30,000 bonus points for $3,000 spend in 90 days. GTM is community-led, emphasizing member referrals, branch relationships, financial education, and local sponsorships, with no commercial or enterprise member segment.

Name

HFS Federal Credit Union

Legal name

HFS Federal Credit Union

Website

https://hfsfcu.org

Company type

Private

Founded year

1937

Operating status

Operating

Headcount range

101–250 employees

Short description

HFS Federal Credit Union is a not-for-profit, federally chartered cooperative founded in 1937, serving approximately 49,000-50,000+ members on the Big Island of Hawai'i through six branches and digital banking, offering deposits, Visa cards, mortgages, auto/personal/land loans, and insurance.

Ownership category

akta.pro rank

Headquarters

HQ city

Hilo

HQ country

United States

HQ region

North America

Offices8 records

Markets served

GTM type

B2C

Offering type

Services

Cost components

Personnel, Operations, Infrastructure, Technology or R&D, Marketing or Sales

Revenue model

1. Interest Income from Loans: As a not-for-profit credit union, HFS generates revenue primarily through interest earned on loans including mortgages, auto loans, personal loans, credit cards, and land loans. Interest rates vary by product with competitive APRs such as personal loans starting at 5.75% APR and Visa Platinum credit cards at 12.25% APR.
2. Share Certificate and Savings Dividends: Members earn dividends on savings accounts, money manager accounts, and share certificates. The credit union offers competitive APYs including 4.33% APY on 36-month share certificates and 4.07% APY on 24-month share certificates.
3. Credit Card Transaction Fees: Revenue generated from credit card transaction processing, balance transfer fees (though promotional offers waive fees), and foreign transaction fees (though HFS cards have no foreign transaction fees).
4. Service Fees and Charges: Various fees including late payment fees (up to $25 or 10% of minimum payment), returned payment fees ($25), emergency card replacement fees ($100 domestic, $165 international), rush fees ($80), statement copy fees ($5), and account research fees.
5. Insurance Products: Commission-based revenue from insurance products including accident insurance, credit life and disability insurance, and life insurance offered to members.

Pricing tiers

Go-to-market motion1 record

Distribution channels7 records

Marketing channels7 records

Core offering

HFS Federal Credit Union is a federally chartered, member-owned, not-for-profit cooperative financial institution headquartered in Hilo, Hawai'i, serving approximately 50,000 members across the Big Island of Hawai'i. The credit union provides retail banking products including deposit accounts (checking, savings, money manager accounts, share certificates, IRAs), consumer and mortgage loans, Visa credit cards, insurance products, and digital banking services through six branch locations and online/mobile channels.

Product overview

HFS Federal Credit Union is a full-service financial institution offering a comprehensive suite of banking products and services. The credit union operates as a single-platform offering with multiple account types, loan products, credit cards, and digital banking services. Core products include checking and savings deposit accounts (with specialized accounts like Kids Club Youth Savings and Money Manager), share certificates with rates up to 4.33% APY, and IRA retirement accounts. The credit union provides various loan products including auto loans (up to 84 months), mortgages (1st and 2nd), construction-to-permanent loans, HELOC, vacant land loans (including interest-only options), solar water heating loans at 0.00% APR, personal loans up to $25,000, and the Kumu Kāko'o Initiative for financial wellness. Two Visa credit cards are offered: the Visa Platinum (1 point/$1, no annual fee) and Visa Signature (2 points/$1, premium perks). Digital banking includes online, mobile, and text banking with mobile deposit capability. Additional services encompass insurance products (accident, credit life/disability, life), safe deposit boxes, notary services, and coin counting.

Differentiator

Problem solved

Functional benefit

Products and services

• Checking Accounts

Quantifiable outcome

• 4.33% APY available on 36-month share certificates (vs. typical bank rates of 0.5-2%)
• +4 more outcomes

Named customers5 records

Segments3 records

Ideal customer profiles3 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Integration1 record

Feature5 records

Partnerships

Four partnerships are on record, tiered core.

• Bank of Hawai'icoreChannel Partner/ Reseller/ DistributorHFS FCU partners with Bank of Hawai'i to provide members with access to a larger ATM network, allowing HFS debit and share cardholders to use Bank of Hawai'i ATMs surcharge-free across the state.
• Hawai'i Energy (Solar Water Heating Loan Interest Buy-Down Program)coreStrategic or Co-development PartnerHawai'i Energy program providing interest buy-down support for qualified HFS members financing solar water heating systems. Through this partnership, HFS offers promotional 0.00% APR loans for solar water heating installation via approved contractors.
• VisacoreTechnology or IntegrationHFS issues Visa-branded credit cards (Visa Platinum and Visa Signature) and debit cards through the Visa payment network, providing card processing, fraud protection, and premium cardholder benefits.
• NCUA (National Credit Union Administration)coreOthersFederal regulatory agency that insures member deposits up to $250,000 and oversees credit union operations and compliance.

Scale indicators6 records

Expansion highlights6 records

Direct peers

• Hawaii State Federal Credit Union: Hawaii State Federal Credit Union is the largest credit union in the State of Hawai'i, offering a comparable full-service retail banking and lending platform to members statewide. It is the most direct competitive peer to HFS FCU because it overlaps on product breadth (deposits, loans, cards), member type (broad community and public-sector affiliation), and the Hawaii market, though it operates across multiple islands rather than exclusively on the Big Island.
• Maui Federal Credit Union: Maui Federal Credit Union is a community credit union serving Maui County with deposits, consumer loans, mortgages, and digital banking. It is a direct peer because it operates the same community credit union model in a neighboring Hawaiian island market, targeting similar retail and public-sector member segments with comparable product offerings.
• University of Hawai'i Federal Credit Union: University of Hawai'i Federal Credit Union is a Hawaii-based community credit union serving university and broader community members with deposits, lending, and digital banking. It is a direct peer because of its Hawaii geographic focus, similar cooperative structure, and overlapping product suite (checking, savings, loans, credit cards) targeting consumer and community segments.
• Kauai Government Employees Federal Credit Union: Kauai Government Employees FCU is a community credit union on the island of Kauai providing full banking and lending services. It is a direct peer because it mirrors HFS's hybrid public-sector/community charter model in a neighboring Hawaiian island, competing for similar member demographics and offering comparable retail deposit and loan products.

Broad incumbents

• Bank of Hawai'i Corporation: Bank of Hawai'i is the largest commercial bank in the State of Hawai'i, offering deposits, mortgages, consumer loans, credit cards, and wealth management. It is a broad incumbent competitor on the Big Island, and also a strategic partner via the surcharge-free ATM network. Comparable to HFS in target market (Hawaii consumers) but much larger and broader in product scope.
• First Hawaiian Bank: First Hawaiian Bank is a major statewide commercial bank in Hawai'i offering consumer and commercial banking, mortgages, and credit cards. It is a broad incumbent competitor to HFS FCU on the Big Island, with broader geographic reach and a larger product portfolio, competing directly for the same consumer deposit and loan customers.
• Central Pacific Bank: Central Pacific Bank is a Hawaii-based commercial bank providing consumer banking, mortgages, and small business lending across the islands. It is a broad incumbent competing with HFS FCU for Big Island retail deposit, mortgage, and consumer loan customers, with a wider branch network but a less community/cooperative positioning.
• Navy Federal Credit Union: Navy Federal Credit Union is the largest credit union in the United States, serving military members, families, and now broader communities with a comprehensive digital and branch banking platform. It is a broad incumbent because it competes for the same consumer deposit, loan, and card relationships, especially digitally, with materially greater scale, technology investment, and product breadth than HFS FCU.
• Alliant Credit Union: Alliant Credit Union is a large national digital-first credit union serving broad community membership across the U.S. with competitive deposits, consumer loans, mortgages, and credit cards. It is a broad incumbent comparable to HFS FCU on the deposit, lending, and card product suite, with a much larger national digital footprint that could pull rate-sensitive members or employees away from the Big Island.
• PenFed Credit Union: PenFed is a large national credit union offering consumer deposits, mortgages, auto loans, and credit cards to a broad community membership. It is a broad incumbent comparable to HFS on full-service retail banking products, competing for the same consumer financial relationships but with national scale, a more aggressive rewards credit card portfolio, and stronger digital marketing reach.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat5 records

Key risks1 record

Key highlights7 records

Customer concentration

• Facebookfacebook.com/HFSFederalCreditUnion
• Instagraminstagram.com/hfsfcu

Compliance5 records

Revenue estimate

Valuation estimate

Number of profiles

Profiles1 record

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about HFS Federal Credit Union