HOLLYWOOD, Fla. – A pilot program created by CUNA Mutual to address one of the most vexing issues in credit unions – turning “indirect” members into longer-term relationships – has started to show promising results.
One key, according to CUNA Mutual, is a dedicated, outbound call center that contacts members who joined via an indirect relationship to engage those members early.
According to CUNA Mutual, which discussed findings of the now four-month-old pilot program with Credit Union Journal during its Discovery Conference here, the most successful product offered indirect borrowers through the pilot was a line of credit, which had a 28% sales rate and an average size of $2,098. Credit cards netted a 17% sales rate with an average $5,005 line, and auto refinances had a 15% rate with an average line of $16,140.
The pilot currently is ongoing with 13 credit unions.
