MADISON, Wis. – Fred Johnson’s wish for the new year – credit unions keep pace with all the members Bank Transfer Day is bringing in.
“I hope credit unions realize that these people who are transferring their money over to credit unions are going to put them to the task,” said the CUES president. “I think the new members are going to say, ‘Can you deliver on your marketing?’”
Johnson emphasized the huge opportunity credit unions now have, noting that the recent migration of bank customers is the largest he has seen in his credit union career. But there can be a downside to all the business, he cautioned, if credit unions are not ready to provide their same high-level of service to a larger member base and make loans.
“If you don’t have the economies of scale this could overwhelm you,” said Johnson. “And what happens when you have money you can’t lend out? That kills your ratios. Credit unions have to turn these people into loans.”
