Three Factors Every CU Should Be Watching
TAMPA-To hear Chuck Fagan tell it, there's no one strategy for enhancing the bottom line.
Rather, PSCU Financial Services' EVP explained, CUs need to keep a close eye on a trio of factors. As a starter, he said, it's important for CUs to pay attention to everything occurring in the debit card realm "and be prepared for whatever angle that may take. ...If it's a two-tiered system, credit unions need to be prepared for that if it does work."
In addition to debit, Fagan posited that credit cards, "based on what we've seen, are definitely presenting a new opportunity. I think that's a lending channel...that's going to begin to take shape again here over the next six months."
Fagan stressed CUs must maintain and improve their online and mobile presence. "I think at the end of the day it's one of those things that credit unions have to protect, because the consumer really does want to be there," he said. "Do credit unions want people to have to go on their mobile device and enter a URL? Or do they want to give them an app that sets it all up for them?"
It's an expense, but it's also a solid investment for the future by targeting young people. "They want apps. They want ease of use. ...I think that financial institutions have an opportunity there, and that's what they need to do to attract" those consumers.