Peer Pressure: How Do You Stack Up Against Other Credit Unions

By Preston Packer |

May

24

Many credit union executives use their bottom line profitability as the primary measure of their success. Other credit union boards solely focus on the financial performance of a given quarter or year as it compares against the prior term's figures. By putting the focus of your CU's success on past results, you lose the advantage of being a forward thinker; You ignore how well your key performance indicators (KPI's) measure against the results of credit unions in your asset group. Approaching your performance measurement this way is known as “benchmarking”.

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No Place for Complacency in Disaster Recovery Compliance

By Preston Packer |

May

22

From a pure business survivability standpoint, it's crucial to have Disaster Recovery Plans in place and test on a regular basis. Afterall, according to a recent study90% of businesses that do not have a Disaster Recovery Plan (DRP) fail. However, Credit unions are not immune to this threat due in part to tightening FFIEC scrutiny on Business Continuity Plans, thus they have a leg up over other sectors. The majority of businesses aren't faced with regulatory compliance that credit unions face, which is partly why the same study found that roughly 1 out of 3 businesses do not have a DRP in place, despite the inherent risks of neglecting this. The absence of DRP is simply not an option for credit unions. Compliance guidelines, examinations, and audits are in place to protect credit unions from meeting the same fate. 

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8 Credit Union Growth Stats You May Not Know

By Preston Packer |

May

17

There has been a great deal of discussion lately on the struggles of smaller to medium-sized credit unions. They face many challenges to remain on par with their peers, while not breaking the bank. However, the other side of the coin is the strength of the industry as a whole. Though 70% of the credit union population is composed of smaller credit unions, here are some numbers that illustrate basic performance facts of today's credit union industry:

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5 Must Have Mobile Banking Video Tutorials for Credit Union Websites

By Preston Packer |

May

15

Studies have found that 90% of information transmitted to the brain is visual. Additionally, visuals are processed by the brain 60,000 times faster than text and videos improve learning retention by up to 400% over text-based manuals. Understanding exactly how to use your mobile banking app is critical for your members and their digital experience. While some tools might seem self-explanatory, many features are not so easy to grasp. And while at times, on-screen instructions are sufficient, they often aren’t enough, especially when the task involves multiple steps.

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The Best Kept Secrets of Credit Union Executives

By Preston Packer |

May

10

Credit union presidents and CEO's come in many forms, all with a variety of backgrounds and interests. But they all share a few common bonds: a real passion for their credit union, their desire to provide excellent and inspired leadership, and a love of their jobs. Many could likely find a higher paying position, or opt to run a larger credit union, but choose not to because of their own feelings of loyalty, legacy and a strong belief in helping those in their community succeed and achieve good financial health. While they might not all have Masters in Finance or a degree in Business Management, many have created an atmosphere in their credit union that is engaging for members and employees alike, is personable, productive, efficient and overall, a great place to work. 

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The Top 5 Crutches that Create Performance Disparities Between Large and Small Credit Unions

By Preston Packer |

May

08

Many Small credit unions are fighting an uphill battle to compete in the financial marketplace and to gain a better foothold. With recent numbers illustrating their decline in membership, assets and loan growth, it seems small credit unions have a blurry future. However, with an estimated 70% (4000/5684) of total operational credit unions classified as small (having under $100M in assets,) they represent a huge portion of the industry, and their struggles shouldn’t be easily dismissed.

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Managing Credit Union Cybersecurity at Small & Medium Size CU's

By Preston Packer |

May

03

In 2017, the National Credit Union Administration developed a tool to help credit unions assess their level of credit union cybersecurity preparedness. Designed for the credit union industry, the Automated Cybersecurity Examination Tool is a great resource to help credit unions to evaluate their preparedness. However, in 2018 the NCUA is using it to review credit unions larger than $1 billion in assets and will be refining the tool to see if it will scale properly for small and medium-size credit unions. With this tool on the map for all credit unions, what should we know now?

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Are Large Credit Unions Monopolizing the Industry?

By Preston Packer |

May

01



Small credit unions have held their own in the marketplace for years, struggling at times to compete, but with extraordinary resourcefulness, have stayed viable.The latest report from the NCUA, however, provides some alarming data: Large credit unions are getting larger while smaller credit unions are, in fact, getting smaller. It's worth noting that while this is actually a long time industry trend, the strengthening economy has brought with it mounting challenges for smaller credit unions to stay competitive in the upcoming year.

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Tech Costs are Killing Small Credit Unions

By Preston Packer |

Apr

26

In order to stay relevant in today's fintech world, you must have all the latest member service features in your digital arsenal. Staying in touch with tech trends and being aware of what's being developed on the horizon is important, as is being able to implement it with the rest of your technology when it's market ready. It's imperative to find ways to stay one step ahead of your competition and differentiate yourself from the rest. However, in a monopolized financial industry where the principle of economies of scale is alive and well, it's difficult for small credit unions to meet the price tag of the tech that will make them competitive. 
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4 Reasons You're Losing Members from a Poor Digital Banking Experience

By Preston Packer |

Apr

24

Simply offering a mobile banking app to your members is not good enough anymore - it needs to perform well and quickly provide the information members are looking for in order to hold its own against the competition. The interaction should be seamless, and the app should respond easily with just a touch or screen swipe. It should offer a user interface that appeals in layout, is clearly understood and able to be followed. In short, their digital experience should leave your members satisfied, frustration-free and ready to come back for more. 
 
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