Marketplace Newsletter

In this issue:

Happy New Year!

Swift Response Helps Credit Unions’ Road to Recovery After Natural Disasters 

Submit Your 2018 Marketing Documentation – TODAY!

Get a Greater Return on Your Marketing Investment

Debit Card Study Offered by CO-OP Financials Services Highlights Debit Trends to Watch in 2019

Time to Start Marketing the TurboTax Program Discounts to Your Members

5 Ways to Increase Account Holder Loyalty in 2019

Need a Super Smart Way to Use Your Tax Refund?

Sprint Device Promotions for Your Members Plus a Clean Slate℠

Upcoming Webinars

Subscribe to Marketplace


 

Happy New Year!

With every new year comes new opportunities and I am so excited for my new role at the League. Over the next few months, you’ll see me out and about in your credit unions because I want to get to know you, your staff, and find out more about how you serve your members so that we can work together to find the best products and services to help you grow your credit union. 

2019 is going to be a great year… I can’t wait to see all of the great things we will accomplish together!

Laura Parrish, VP of Association Services
(502) 855-8203 | (800) 333-5285
[email protected]

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Swift Response Helps Credit Unions’ Road to Recovery After Natural Disasters

The United States experienced catastrophic natural disasters during the Fall of 2018. From Hurricane Florence that hit the Carolinas and East Coast in September, Hurricane Michael a month later hitting the Florida panhandle, and the California wildfires in November, many Americans lost their homes and are faced with starting over. As images, videos and stories came out of the affected areas, Americans felt compelled to help, and the credit union industry was no exception.

To support recovery efforts for the many credit unions affected, CUNA Mutual Group’s disaster response teams were deployed quickly to credit unions throughout hurricane-impacted areas to provide a strategic and coordinated response. Once there, they evaluated initial assessments and delivered informed, expert decisions to guide credit unions through recovery efforts—and start the process of resuming operations. Despite the complexities, teams brought relief, trust, and clarity to a chaotic situation.

The CUNA Mutual Group claims team was laser-focused and responded with immediate resolution and security for its customers, who were reassured the team was there for them. The claims team walks customers through the entire claim process until they are fully up and running; it will be a long road ahead for many credit unions.

Despite nearly 20,000 buildings destroyed across 250,000 acres by Camp Fire, Woolsey Fire and Hill Fire combined1, there were few credit union structures affected by these fires. However, it was important to the CUNA Mutual Group Foundation to support recovery efforts in the areas, so it committed $50,000 to The National Credit Union Foundation's CUAid relief fund, which provides additional resources and financial aid to credit unions during disaster recovery efforts. The foundation also committed $50,000 to help rebuild after the destruction caused by Hurricane Florence and Hurricane Michael.

How to Help
Here are some ways you can make an immediate impact, helping credit unions and the many people affected by these devastating events:

  • Donate now through CUAid. Any amount helps and 100 percent of donations received go directly to credit union disaster relief.
  • Spread the word through social media. Share natural disaster relief options with others you know.

CUNA Mutual Group is committed to providing support now and in the months to come as recovery efforts move forward. It is times like these that the credit union philosophy of “people helping people” comes to life—and we are proud to serve and be a part of it.

Together we can make a difference. 

1 Incident Information, California Department of Forestry and Fire Protection, Dec. 2, 2018

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Submit Your 2018 Marketing Documentation – TODAY!

The deadline for 2018 marketing documentation is Friday, January 18.  Please submit all 2018 marketing documentation to Client Support at [email protected].

The final 2018 audit is complete, so be sure to review the information we currently have on file for your credit union by checking your Marketing Audit Report located in Your Dashboard. Please forward any missing documentation, including the date it was sent to your members to [email protected]Fourth quarter 2018 payouts will be sent in February. 

If you have any questions, contact Client Support at [email protected] or 866-348-2887.

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Get a Greater Return on Your Marketing Investment

Case Study: Multi-Wave Household Acquisition Campaign Results in 340% ROMI


A 19-branch financial institution serving more than 120,000 account holders with assets of $1.4 billion sought to obtain new checking households and improve the value of accounts through the use of customized, targeted direct mail. A year-long, seven-wave campaign, using Harland Clarke’s household acquisition solution, Acquisition Accelerator®, resulted in five waves with ROMIs of 300 percent or greater, with the highest reaching 400 percent.
 
Download the case study and visit Harland Clarke’s solution page to learn more about how Acquisition Accelerator can help your financial institution attract new account holders.

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Debit Card Study Offered by CO-OP Financials Services Highlights Debit Trends to Watch in 2019

CO-OP, Mastercard and Mercator Analyze Credit Union Experiences in Debit Card Program Management

Credit unions are bullish on their debit card programs heading into 2019, driven by rising instant issuance capabilities and increases in PIN debit transactions, according to a free, in-depth report now available from CO-OP Financial Services. 

Findings from the report highlight several key trends for credit union issuers, including: 

  • Profitability: Many credit unions surveyed are predicting growth and profitability in the next 12 months for their debit card programs. 
  • Instant Issuance: The prevalence of instant issue capabilities is driving a high ratio of debit cards to checking accounts. Nearly 40 percent of respondents indicate their credit unions have achieved a 70 percent or greater debit card-to-checking account ratio. In addition, 63 percent of the respondents in this study offer or are planning to offer instant issuance. 
  • EFT Network: In-store purchases with PIN and withdrawing cash from an ATM are the two most popular transactions among U.S. debit cardholders. As transactions conducted on the PIN debit networks are increasing, they are having a material impact on several fronts, including revenue, rewards and fraud management. 

In addition to exploring trends like those above, the Debit Benchmark Report includes a comprehensive collection of pragmatic approaches to portfolio management for credit unions looking to improve the overall performance of their debit programs. 

“Although the debit card is just one of a growing list of payment mechanisms available to credit union members today, it remains a consumer favorite,” said Todd Clark, CO-OP President/CEO. In fact, Debit card payments made up nearly 67 percent of card payments in 2017, according to Federal Reserve Board data reported last month.

“Debit card portfolio management, like every facet of financial services today, is only successful when it’s iterative,” said Clark. “As the leading debit card transaction processor in the industry, we believe it is incumbent on CO-OP to provide our credit union partners with valuable insights into the evolving channel – not only from a strategic standpoint, but also from a programmatic one.” 

The Debit Benchmark Report was prepared by CO-OP in partnership with Mastercard and Mercator Advisory Group. The study analyzed survey responses from 240 U.S. credit union participants related to debit card usage, issuance and management. 

Additional takeaways from the Debit Benchmark Report include: 

  • Rewards: When it comes to incentivizing debit card usage, 55 percent of credit unions are considering or actively offering loyalty rewards programs.
  • Digital Wallets: A total of 55 percent of survey respondents have experienced increases in the number of debit cards enrolled in a mobile wallet like Apple Pay, Google Pay or Samsung Pay. Also, 53 percent have experienced increases in the number of debit cards transactions coming from the mobile wallet channel.
  • Mobile Banking: A full 80 percent of survey respondents believe the ability to check balances and transaction details is extremely important in the mobile banking channel. Roughly 50 percent believe debit card alerts and bill payments are extremely important to debit cardholders who use a mobile app to access their debit card features.
  • Fraud: Most executives surveyed believe debit card fraud through card-not-present channels will continue to grow and require attention, but they are confident their organizations are currently well positioned to protect their cardholders. An overwhelming number, 91 percent, currently rely on a neural network to detect and stop fraud; while 34 percent have invested more in fraud tools at the processor level in the last 12 months.

Executives, debit card product managers and staff from all areas of the credit union industry are invited to download the debit report at CO-OP’s website.

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Time to Start Marketing the TurboTax Program Discounts to Your Members

Tax season is here and it’s time to start marketing the TurboTax discount to your members. In fact, many of your members will be starting their taxes soon; 70% of online filers start their taxes before February 10. 

FREE marketing materials are available in the Partner Center to assist you in communicating the TurboTax discounts to your members. Marketing at key times during the tax season is essential to building member awareness about the TurboTax discount.

Marketing Recommendations for Tax Season

  • Send additional emails to your members
  • Recommended dates: February 6 and April 10
  • Include a TurboTax banner or messaging on Mortgage Statements, E-Statements and 1099/1098 forms.
  • Add a mobile banner to your credit union mobile banking app
  • Promote TurboTax in your branches via lobby video
  • Keep members in the know about the TurboTax discount through your social media accounts 

If you have any questions or need assistance, please contact client support at [email protected] or by phone at 866-348-2887.

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5 Ways to Increase Account Holder Loyalty in 2019

How a full-service relationship outshines transaction-only solutions 

As you close the books on 2018, it’s time to hit the restart button and look forward to the year ahead. Hopefully, part of that vision includes ways to more fully engage your account holders and help them embrace increased financial security. 

After a holiday season of strong spending, many consumers are shifting their focus to paying off debt and getting their budgets back in line. For some, this can be tough. According to a recent Bankrate survey, nearly half of all Americans have felt pressured to spend more on holiday gifts than they can comfortably afford. As a result, at this time of year far too many families and individuals find themselves in a position to make another kind of transaction — with a payday lender or the local check-cashing store — to make ends meet. 

Granted, this provides a quick, temporary solution when funds become short. But this type of transactional event — which is all a payday lender or check cashing business provides — can be an awkward, costly experience that does nothing to help consumers build long-term financial stability as they look to the new year. 

As you kick off your strategy for 2019, here are five things you can do to ensure you are providing reliable advice and the resources your account holders need to maintain their financial well-being. 

1) Focus on building relationships
By utilizing the services and financial guidance that are part and parcel to an affiliation with a credit union members can connect to professional financial advice, along with more affordable, less risky services that will set them on a more stable financial path. Something they definitely won’t get from a quick cash, transaction-based alternative. 

All it takes is a little bit of awareness and a commitment to developing long-term account holder relationships.

2) Make a good first impression
Engaging with consumers when they make initial contact with your credit union is a first step toward establishing a long-term connection. It’s important to learn if they are planning for some major life event that will require financial assistance, or if they are looking for advice or services that will provide more peace of mind when it comes to managing their finances better.

Once you know their needs, be prepared to make a case right away for how you provide a variety of solutions that can help them reach their financial goals. If they leave without realizing what you have to offer, they will likely end up doing business somewhere else.

3) Know your stuff
Make sure your employees can accurately explain how all of your products and services address account holder needs, using terms they understand. Showing empathy to someone’s financial situation can go a long way in determining the quality of an account holder’s experience and establish your credit union as a trusted resource and financial partner.

4) Maintain fair and transparent fees
Recent holiday spending estimates are proof that consumers are willing to pay for things that are important to them. But when they find themselves up against a wall due to an occasional shortfall or account oversight, the high fees and short payment terms of a pay day loan or quick-cash solution can result in a cycle of debt that may cost them more than the amount they needed initially to make ends meet.

On the other hand, a fully disclosed, reasonably priced overdraft program provides account holders with a long-term solution that they can access  — with full knowledge of their costs and responsibilities — when they have a short-term financial need.

5) Offer more than transactional service
Effective account monitoring allows you to see when someone is experiencing financial difficulties. That’s when you can counsel account holders about the service alternatives that are available to help them manage their account more effectively and perhaps set aside funds in a savings account for future emergencies. Plus, keeping them informed about their account activity through automatically distributed communications shows you are committed to their long-term financial health. 

Sometimes when people find themselves in financial situations that demand quick action, the solution they choose can unfortunately lead to more financial hardship, if they aren’t aware of less costly and less risky options. Don’t miss out on opportunities to set your institution apart from the transaction-only solutions that are available today. Not only can you help your account holders start the new year with a reliable, reasonably priced resource and more financial peace of mind, you can establish and maintain stronger account holder loyalty.

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Need a Super Smart Way to Use Your Tax Refund?

As tax time approaches help your members make smart financial decisions. Sometimes that tax refund feels like its burning a hole in their pockets. Initially, people think manicures and lobster dinners; though, we know we should use the money for a smarter purpose. Without any predetermined plan, it is gone before we know it. Help your members save and spend wisely with three super smart ways to use their tax refunds in 2019:

1) Get out of Debt

2) Create an Emergency Fund

3) Establish Predicted Spending Reserves 

Aside from being simply smarter uses of their tax refunds, these three financial planning heavy hitters will instill healthy spending and saving habits for your members.

  • Get Out of Debt Nearly 30% of people indicate paying off debt is a top financial priority for 2019.  The first step to cut debt out: pump the breaks on spending habits. Cut out non-essential spending like the daily latte, monthly unused memberships, and weekly dining out. Step two, track progress as the payments are made. Use a debt pay off calculator to determine a plan to pay off debt. Then check off each payment as they are made. Finally, a tax refund can be transferred into a reloadable everyday spend prepaid card, a product available from LSC. Storing the tax refund money in an everyday spend prepaid card allows members to make secure payments toward their debt.
  • Create an Emergency Fund Experts agree an emergency fund is critical for financial security.  Depending on member needs, the fund should be anywhere from three to nine months of expenses. Separating the emergency fund into its own account will prevent the money from being used for everyday expenses. Creating an emergency fund in a high yield credit union savings account is smart. Members can use tax refunds to jump start the emergency fund. Depending on their individual needs, establish a plan for how much and how frequently deposits to the account should be made to reach the goal.
  • Establish Predicted Spending Reserves.  Predicted spending reserves are designed for annual, reoccurring expenditures that should be planned for.  Unlike monthly living expenses, groceries and utilities, these are events that occur every year: birthdays, anniversaries, back-to-school and holiday shopping. Often, because these events sneak up, they can disturb the financial stability we want for our members.  Tax time is an awesome opportunity to establish predicted spending reserves. Tax refunds can be deposited into a credit union checking account so the money is easily accessible when Grandma’s birthday rolls around.

Bring these super smart ways to use a tax refund to the attention of your members before tax refunds begin to be dispersed. Suggest smart use of their tax refunds to get out of debt, create an emergency fund, or establish predicted spending reserves. Whether you suggest an everyday spend card, high-yield savings account, or checking account your members will feel confident that their credit union has their back.

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Sprint Device Promotions for Your Members Plus a Clean Slate℠

The brilliance of iPhone XR is meant to be shared. Right now, at Sprint, your members can get the iPhone Xr for $0 per month when they lease the latest iPhone*. Plus, for a limited time, Sprint will cover their switching fees up to $400 per line via Prepaid Mastercard® - it’s Sprint’s way of giving your members a Clean Slate**!

Plus, these offers can be stacked with the Sprint Credit Union Member Cash Rewards program. Your members can earn $100 in cash rewards per new line with Sprint — on unlimited lines for a limited time, a $100 annual loyalty reward per account every year and 25% off select accessories purchased in Sprint stores. 

A flyer to promote the iPhone XR offer is available in the Partner Center. 

There’s never been a better time for your members to switch to Sprint – be sure to promote these exciting offers so they can take advantage of them today.

*iPhone XS (64GB) $41.67/mo., iPhone XS Max (64GB) $45.84/mo., iPhone XR (64GB) $31.25/mo.
Second iPhone XR (64GB) $0/mo. after $31.25/mo. credit, applied within 2 bills. Req. 2 new lines or 1 new and 1 upgrade, 18-month leases with approved credit. If you cancel early, remaining balance due. Excludes tax.

**Up to $400 (less required phone trade-in credit provided) after online registration and new phone activation. Amount based on early termination fee charged or remaining phone balance. Card is issued by Metabank®. Member FDIC. Card terms, conditions and expiration apply. 

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To register for any of these webinars, please go to https://www.cunamutual.com/resource-library/webinars

Tough Conversations

2/5/2019 3:00 PM (CST)
As a coach, you can often find yourself faced with a tough conversation. How you handle these conversations will ultimately impact employee performance. Implement a proven model that will both change employee behavior and maintain a good working relationship.
Lending Resource Centers/Live Events

 

Effective FeedForward

2/7/2019 8:00 AM (CST)
Do you enjoy giving or receiving feedback? Many people feel feedback is reactionary and negative. Revolutionize the way you coach by providing specific, actionable comments that are focused on enhancing future opportunities.
Lending Resource Centers/Live Events

 

Member Focused Conversations: Guide with Confidence, Part 1

2/12/2019 8:00 AM, 10:00 AM, & 3:00PM (CST)
Your members expect to be educated and guided through each step of their financial journey. There is no way to tell when an unexpected life event may occur, and it can have an immediate impact on their financial well-being. In Part 1, we’ll play The Money Game which allows you to see the impact of a disability or death on a member and their family and the difficult decisions they may need to make during an already tough time.
Lending Resource Centers/Live Events

 

Office Hours: Emerging Risks

2/13/2019 1:00PM (CST)
Join us for an opportunity to interact with our Risk Consultants. Ask a question, share a comment on risks or mitigation tips associated with a specific topic, or hear from your credit union peers.
Protection Resource Centers/Live Events

 

Member Focused Conversations: Guide with Confidence, Part 2

2/13/2019 8:00 AM, 10:00 AM, & 3:00PM (CST)
Go the extra mile. Member Focused Conversations, Part 2 focuses on using consultative questions and breaking down each part of a conversational process. It’s all about using the process consistently to provide your members with a customized, needs-based solution. Be committed to being your members' trusted financial consultant. If you don't take the opportunity to guide your members, they will look elsewhere for the guidance they need.*
Lending Resource Centers/Live Events

 

Member Focused Conversations: Guide with Confidence, Part 3

2/14/2019 8:00 AM, 10:00 AM, & 3:00PM (CST)
Part 3 of Member Focused Conversations takes the consultative conversation to a new level. In this session, we focus on personalizing benefits to the member and their unique situation. We will go beyond a generic benefit to pursue a richer more personalized benefit to the member. This will ensure your members see the value and why payment protection is so important. . .to them! Go the extra mile.*
Lending Resource Centers/Live Events

 

Addressing Concerns: Close the Case

2/21/2019 8:00 AM, 10:00 AM, & 3:00PM (CST)
What if the member asks a question or raises a concern? Don't let this question stop you any longer from educating your members on payment protection. Confidently address four common member questions and concerns related to payment protection.*
Lending Resource Centers/Live Events

 

Loyal Lending, Part 1

2/26/2019 10:00 AM (CST)
Part 1 of Loyal Lending - Dig deeper. Learn more. Don't be an order-taker. Use the credit report and consultative questions to go beyond the initial loan request and find additional opportunities to help members reach their financial goals and improve their financial well-being. Be sure to register for Part 2.*
Lending Resource Centers/Live Events

 

Loyal Lending, Part 2

2/27/2019 10:00 AM (CST)
Part 2 of Loyal Lending - Dig deeper. Learn more. Don't be an order-taker. User the credit report and consultative questions to go beyond the initial loan request and find additional opportunities to help members reach their financial goals and improve their financial well-being. Be sure to register for Part 1 also if you haven't already.* 
Lending Resource Centers/Live Events

 

Skills in Action: Beyond the Application

2/28/2019 10:00 AM (CST)
You’ve asked great consultative questions and gathered important information about your member. You satisfied their current need but was anything missed? This interactive, learner-driven session gives you the opportunity to dive into a member scenario and determine what opportunities exist for your member. You’ll be provided with a member’s background then work with your peers to build a customized loan package.
Lending Resource Centers/Live Events

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