According to the end-of-the-year Call Report data, no less than 981 of the federally insured credit unions had to report a loss during 2017. And, not only that but 50 percent also reported that they had fewer members last year than in 2016. Although the overall membership of credit unions had grown during 2017, that growth was concentrated largely among the bigger credit unions, with median growth in membership being negative across 20 states. New Jersey saw membership declining the most, closely followed by the District of Columbia and Pennsylvania. With a loss of assets and a loss of membership being the current trend, can better quality credit unions credit card services help to reverse the current position?
Why Are Credit Unions Losing Members?
One of the reasons why credit unions are losing members is because until very recently they did not offer the functionality that a standard bank could offer in terms of financial services that are fit for the 21st century. Younger people especially are looking for more convenience from their financial provider, and that means that better quality credit card services could make all the difference to the declining membership numbers.
Problems with Credit Unions Credit Card Services
Younger people especially are anxious to avail themselves of credit card services that give them the flexibility that they demand when making payments. However, credit unions credit card services often fail to offer the ease and convenience that consumers require. One of the greatest problems, for example, is failing to offer the ability to make payments online or over the telephone. Consumers today, and especially those from the Millennial generation, do not want the hassle of having to visit a branch to make a cash payment or having to write out a paper check and send it through the mail. When consumers are used to making payments for most of their purchases and financial transactions over the Internet, they expect to have those needs met by every organization with which they do business, including credit unions.
How Can Credit Unions Resolve This Problem?
One of the ways in which credit unions can resolve this problem is to offer the payment facilities that consumers demand. They can do this by harnessing the latest cutting-edge payment processing solutions that have been designed with the needs of credit unions in mind. BillingTree’s credit union payment processing services are flexible and allow members to make payments via any method of their choice, whether it is through a website or over the telephone, through an IVR solution. This meets the needs of today’s discerning consumers who want greater freedom over their finances and who want to be able to make payments at any time of their choice.
Why Use BillingTree?
BillingTree is a leading provider of credit union payment processing services, specializing in offering a best-in-class solution using the latest cutting-edge technology. Fully compliant with all of the relevant regulations, including HIPAA, SSAE-16 and PCI certification, BillingTree’s industry solutions have been developed by highly experienced leaders from within the industry and are tailored to meet the requirements of credit unions and their members. BillingTree is aware of the need to improve the relationship that credit unions have with their members, and it offers a comprehensive suite of payment options with centralized reporting, real-time authorizations, and flexible merchant service capability. These will make sure that a new generation of members will be encouraged to avail themselves of credit unions credit card services rather than turning to banks and other financial institutions to meet their banking needs.