SIDEBARTUKWILA, Wash.-Among the most interesting trends in the volume of new memberships being experienced by BECU is that more accounts are being opened online than in-branch.
In addition to reduced expenses, the online sign-ups offer another advantage. "Our online platform always remembers to cross-sell, as opposed to a consultant in a branch who might be in a busy environment with a large queue waiting for them," noted Howie Wu, VP of virtual banking for BECU.
BECU uses Harland's uOpen solution for online membership applications. Wu described it as a "full" online enrollment process that works in the same manner as a paper application, "except it is digital." Potential new members answer a series of questions, then they are prompted to choose the types of accounts they want.
"It has our risk system in there to ensure a person is not a high-risk member," Wu said. "It cross-sells loans based on scoring and the data we get from new members. A Visa card and a line of credit are two of the big sellers, but what is generating a lot of relationships is a bundled product with checking, savings, bill pay, direct deposit and e-statements. It is known as 'Member Advantage.'"
Those who enroll in Member Advantage receive an attractive 6.17% APY on the first $500 deposited on both the checking and savings accounts. Wu said BECU leads with the Member Advantage product in large part because it encourages new members to sign up for checking right away.
"We want them to think of BECU as their primary financial institution," he said.
Wu said that BECU has been using uOpen since 2004 and updated the solution in 2007. Wu said the credit union averages 1,000 new members through the online channel each month, which is the equivalent to the monthly output of 10 of its neighborhood financial centers.
"The biggest thing is building a good workflow in the online space that allows ease of enrollment," Wu explained. "Leading with the bundled product attracts the new members, but making it easy makes is really successful. We market the online product and tell people they can enroll online rather than come into the branches. The transaction is significantly cheaper than if they come into the branch."
