SLEEPY EYE, Minn.-SouthPoint FCU here may have won a Crystal Performance Award from Raddon and been recognized for its sales and service by CUNA's OpSS Council, but one area the CU could improve is its switch kit for new members.
That's the word from CEO Dick Nesvold, who admitted that the switch process is unorganized and could use some tweaking. As such, the $223-million, 11,300-member credit union is looking at outsourcing the task to a vendor, possibly Deluxe, which recently launched its SwitchAgent product (
For now, rather than any sort of automated process, SouthPoint works with members to make sure they have the information they need about who to contact to switch over direct deposit and automatic bill pay, and the credit union monitors the process, notifying members once everything has been completed so the old account can be closed down.
Nesvold pointed out that because of electronic and mobile channels, SouthPoint may only have one face-to-face interaction with a new member. But he doesn't put the premium on that one interaction that other CUs might. "Personally, I believe we can talk until we're blue in the face [about the CU difference] and for the most part members don't really care," he said. "They care about service and products and the benefits to them. We preach to our staff that these are our owners; do what's in the best interest for them. They're our top priority. That message itself is what makes the difference rather than that member recognizing that we're a cooperative."
'A Marathon, Not A Sprint'
Nesvold added that "especially if they're a new member, our focus is on building a relationship with them," including relationship pricing on loans. "It's a continual process," he said. "It's a marathon, not a sprint."
While many CUs have seen their membership numbers rise as consumers defect from the big banks, SouthPoint FCU is in a rural area, and its competition comes more from independent banks, many of which have similar community-minded attitudes as CUs.
"To be honest, a lot of our competition here is good competition," said Nesvold. "They're difficult in that they're still profit-oriented, but they're there to serve the community."
He said that SouthPoint continues to focus on differentiating itself through its high level of service. "If we had a Bank of America across the street and more Wells Fargos then my job would be a hell of a lot easier."
