Posted on January 24, 2022
Compared to their larger competitors, credit unions do not have the same capital and infrastructure to leverage against providing the latest mobile and online banking technology. That fact does not temper the digital expectations of CU members, regardless of the size of their CU.
To ensure all CUs have the tools they need, PSCU has partnered with FinTech enablement company ENACOMM to create white-label solutions for CUs seeking prepaid online and mobile app banking tools. CUs can brand the prepaid mobile app and website platforms to present a unified user experience that matches the deploying CU. The tools enable credit unions to provide the latest digital banking solutions without the cost of the time and money spent developing those solutions from scratch.
Just 12% of small to mid-sized businesses (SMBs) receive financial services from a credit union, offering significant room for CUs, with their strengths in providing personalized service to individual members, to grow their share of the sector. SMBs are in regular need of operating capital, and 89% of small businesses rely on loans and lines of credit to keep their doors open. During the pandemic, with SMBs in need of emergency capital, most looked to CU competitors for financial services, including 49% that went with large banks and 45% that went with small banks. Even financial services firms scooped up 23% of the SMB banking sector.
For more on these stories and other credit union developments, check out the Tracker’s News and Trends section.