Background
Addition Financial Credit Union, a $2.9 billion community-based credit union headquartered in Lake Mary, Florida, serves over 180,000 members across the state and beyond. Originally founded to serve educators, Addition Financial has since expanded to serve a broad community base while still holding close to its roots. As the institution grew, so did its digital ambitions—particularly in enhancing self-service options for indirect loan members and offering modern payment solutions like instant payments.
The Need for Change
A growing indirect lending portfolio led to a surge in monthly calls from members who needed to make one-time payments on their auto loans. With no simple online option available, these members frequently contacted the call center to complete their transactions via ACH—averaging 15 minutes per call— which strained resources and added up to thousands of hours in agent time each year. Addition Financial sought a more efficient, member-friendly solution that aligned with its mission of service and innovation.
The decision to offer real-time payments wasn’t just about keeping pace with technology; it was about giving members faster access to their money, especially for those relying on timely deposits from gig work or disbursements.
Why Alacriti?
Addition Financial selected Alacriti’s Orbipay EBPP loan payment and Orbipay Payments Hub solutions after a deep evaluation and a strong philosophical alignment between the two organizations. Alacriti’s robust digital capabilities and deep understanding of the credit union space made them a natural fit.
Key benefits that influenced the decision included:
- Ease of Use for Members: Members can make one-time payments using ACH or debit cards without registering for online banking. They also have the option to receive payment reminders via text or email.
- Operational Efficiency: The EBPP platform immediately reduced call center traffic and saved significant staff time.
- Future-Ready Payments: Addition Financial also implemented Alacriti’s Payments Hub to connect to the FedNow® Service and RTP® network for instant payments.
- Trusted Partner: “We don’t align with vendors—we align with partners,” said Kevin Wright, CIO of Addition Financial. “Alacriti shares our values and understands our mission to serve.”
Implementation
The rollout of Orbipay EBPP was seamless. Alacriti’s implementation team handled the bulk of the technical work, simplifying the experience for Addition Financial’s IT staff. On the instant payments side (through Orbipay Payments Hub), Addition Financial went live with Send and Receive capabilities via the FedNow Service and Receive Only via the RTP network in order to support gig economy payments, account transfers, and long-term member needs.
Results
- Call Volume Reduction: The monthly payments processed via Alacriti’s platform would have previously tied up agents for over 500 hours, representing more than $10,000 in monthly call center labor cost savings.
- Self-Service Adoption: Indirect loan members rapidly embraced the ability to pay online, reducing dependence on the contact center.
- Increased Instant Payments Activity: Since going live with instant payments, Addition Financial has seen consistent growth in real-time transfers, including deposits from rideshare platforms and gig economy employers. In Q4 of 2024 alone, instant payments grew by more than 33% quarter-over-quarter, reflecting a strong member adoption and increasing demand for real-time access to funds.
Member Benefits
The new systems benefited Addition Financial members with:
- A No-Login Payment Option: Members can make payments online without creating an account, streamlining the experience.
- Reminders and Flexibility: Text and email reminders help members pay on time without having to log into online banking.
- Faster Access to Funds: Members in the gig economy can receive payments instantly, which is especially valuable for those depending on daily earnings.“With the implementation of FedNow and the Clearing House, being able to do instant payments and instant transfers has been a positive,” said Wright. “We’re able to transfer funds immediately, and that’s a definite benefit to the members.”
Operational Benefits
Before implementing Alacriti’s loan payment solution, Addition Financial’s contact center was overwhelmed with calls from indirect loan members looking to make one-time payments—a process that averaged 15 minutes per call. With roughly 2,000 to 4,700 of these payments occurring each month, the cost in agent hours was substantial, reaching up to 500 hours or $10,000 in labor monthly. By offering a self-service option through Orbipay EBPP, Addition Financial dramatically reduced this call volume and associated costs.
The reallocation of contact center resources allowed staff to focus on higher-value interactions, such as financial counseling and member support. “It frees my contact center agents up so they can take the calls that really require their time,” said Wright. “Ultimately, it provides better member service.”
The implementation of Alacriti’s Orbipay Payments Hub further streamlined operations by supporting instant payments via the FedNow Service and RTP network. This capability enabled real-time fund transfers for members and boosted deposit activity from gig economy platforms like Uber and Lyft. In addition, the ease of integration with Addition Financial’s core systems made rollout seamless and minimized internal IT lift.
Future Outlook
Addition Financial plans to expand its use of Alacriti’s solutions by adding Request for Payment (RFP) functionality and enhancing its offerings for business members. The credit union sees a major opportunity in providing earned wage access and faster disbursements to small business clients—particularly in gig-heavy sectors like landscaping.
“We’re all trying to become more efficient, and if a partner can help you become more efficient, then you owe it to your members to move forward. Addition Financial is constantly evaluating our strategic plan and making sure that we are aligning what our members need along with what is coming from the future. Alacriti helps us meet those member needs in the payments arena, and we’re definitely better off for using them,” Wright concluded.
