TALLAHASSEE, Fla.-With second-half revenue streams threatened by Reg E and proposed interchange legislation, CU24 is developing programs to persuade members to use their ATM card more.
Jim Gowan, EVP and COO, told Credit Union Journal that CU24 is assembling a program to encourage debit card activation and movement of that credit union card to top of wallet. "We will be introducing a program that has a proven track record of influencing member behavior and getting them to do these things."
Fifth Third Processing is the CU24 switch, and the debit program CU24 will introduce has been run by Fifth Third successfully for four years and will be rolled out under the CU 24 umbrella. "Not only did the program get consumers to activate their debit card, but to continue to use it," said Gowan, without disclosing program details.
CU24 has announced its second interchange increase for the year to help boost credit union revenue. It will be introducing mobile payment, remote deposit, bill pay, and pin-less debit.
"The good news is that all indications are that PIN point of sale and debit in general are continuing to grow," said Gowan. "ATM volumes continue to be flat. But that is not necessarily a bad thing for credit unions because a lot of CUs are paying foreign transactions fees on their members' use of other proprietary ATMs."
