One day over breakfast in the late 1930s, a small group
of telephone company workers led by Mr. Ted Baer
discussed the growing credit union movement. The idea
that people united by common employment could form a lending society appealed to the workers who had witnessed the stock market crash of 1929 and the resulting bank failures. On May 23, 1938 Seattle Telco became the 60th credit union in Washington State. The organization was originally called Seattle Telco Federal Credit Union because
it was established to serve employees of Pacific Telephone & Telegraph of King County.

The credit union opened with 178 members and Mr. Ted Baer as the first elected treasurer. The first loan was made on June 6, 1938 for a set of $65 golf clubs. Each credit union director contributed extra cash to the treasury in order to make the loan.

Through the years, the credit union continued to grow in assets, membership, and stature. In the 1980's, AT&T was disbanded and the telecommunications industry became regionalized, with US West becoming the telephone company for this area. Around the same time, the National Credit Union Administration (a federal regulatory organization) announced that federal credit unions could serve employees of more than one company. In 1985, the credit union expanded beyond the telephone company and began serving employees of other local companies that wanted to offer credit union membership as an employee benefit.

In 2001, the State of Washington granted the credit union a statewide community charter. This means anyone who lives, works, worships or goes to school in Washington State is eligible to open an account here. In 2003, the name was changed from Seattle Telco to Watermark Credit Union, a reflection of the fact that it had grown to serve a wider membership base. In 2006, the credit union expanded its range of products and services to include accounts for businesses.

Although much has changed over the decades, the most important factors remain the same: Watermark Credit Union is a member-owned, not-for-profit financial institution led by an unpaid, volunteer Board of Directors who are elected by and from the membership. It embodies the philosophy from which the credit union movement began - people banding together to have access to the very best service, rates, and products.