Posted by Peggy Olson and Tiffany Taylor on 01 Feb 2022
The current car-buying market hasn’t been this hot for a long time. Fortunately, credit unions have been steadily increasing indirect lending through car dealers to grow their loan portfolios and membership bases. However, converting indirect members into engaged members with deeper banking relationships 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.
The payments arena presents a huge opportunity to gain competitive advantage. 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. Indirect members typically already have a “primary financial institution” (PFI) relationship with banks that may 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.
Updated from a blog originally published April 30, 2020.
When indirect members love the loan experience, it can lead to opening new accounts or loans as direct members. Learn about Maximizing the Member Experience Through Payments in the webinar featuring Alabama Credit Union.
Today’s legacy and siloed banking technology infrastructure limit financial institutions’ ability to rapidly innovate. It’s time to look at money movement in a new way. Alacriti’s Orbipay Unified Money Movement Services does just that. Whether it’s real-time payments, digital disbursements, or bill pay, our cloud-based platform enables banks and credit unions to quickly and seamlessly deliver modern digital payments and money movement experiences. To speak to an Alacriti payments expert, please call us at (908) 791-2916 or email email@example.com.
24 Mar 2022 Blog Everyday Automation: How Voice Payments Are Being Heard Our voices are becoming more powerful than ever thanks to advancements in AI, NLP, intelligent personal assistants, and smart home devices. Learn how voice commands can automate everyday tasks like making on-time bill payments.