Posted by Peggy Olson on 30 Apr 2020
Credit unions have increased indirect lending to grow their loan portfolios and membership bases while looking for ways to deepen the relationship. However, converting indirect members into true direct members is no easy task. A plethora of products and services are available for indirect members to benefit from, but why are so few taking advantage of what credit unions have to offer? It may have something to do with the member experience.
Today’s consumers want flexible, convenient, simple, and innovative ways to pay, and they want the places where they shop and bank to provide new payment options and technologies, a MasterCard study revealed. Indirect members typically already have relationships with traditional banks that have more money to invest in the latest and greatest technologies offering ease and convenience. So, what can, and should credit unions do to tackle this problem head-on?
Digital EBPP Capabilities to the Rescue
An electronic bill presentment and payment (EBPP) solution can deliver bills faster and encourage on-time payments. Some key digital EBPP features providing flexibility, convenience, and frictionless simplicity to indirect credit union members, include:
And, of course, these experiences can be made available to direct credit union members as well.
The Bottom Line: Besides accelerating cash flow and streamlining operations, credit unions that offer robust and innovative EBPP capabilities have a tremendous opportunity to deepen member relationships. Turning indirect, one-and-done members into long-term, direct members.
20 Jul 2020 Blog Billing and Payments for Credit Unions: 7 Questions to Consider Credit unions offer financial products with favorable terms and interest rates, including loans. Learn what Credit unions should consider in an electronic bill presentment and payment solution (EBPP) for servicing these loans.