The financial services industry has a little secret: people don't really "trust" big banks. This sentiment has only grown stronger recently with the headline news of various bank failures. However, once they discover a more caring and personal alternative like credit unions, they quickly embrace them with enthusiasm.
Because of that, trust becomes a core pillar in the relationship your credit union is building with its members. But that trust must be earned, and it can be taken away in an instant. Carefully and consistently build trust over time with your members and unlock the benefits.
In This Post, We'll Cover
Mitigating Risk, Maximizing Success: FLEX and Alloy Empower Credit Unions Together
Benefits of Member Trust
Every credit union understands the importance of member trust, but it can be challenging to prioritize among the various competing demands for attention. Before you prioritize other aspects of your credit union, it is crucial to understand the benefits of gaining your members' trust. Take a moment to consider these advantages:
- Higher member engagement
- Positive word of mouth
- Lower marketing costs
- Higher deposit amount
- Increased borrowing
- Community support
How to Gain Member Trust
1. Provide Financial Education
One of the best steps you can take to reinforce your credit union's member bonds involves encouraging financial literacy as much as possible.
People want to know that their finances are safe with your organization. Financial security is a scary topic--one that causes a lot of people stress and anxiety. Part of how you can help with that, while also showing the steps you're taking to protect them, involves creating the types of materials they need to fully understand and contextualize what is going on in the world.
The more people understand where their money is going and how it is being protected, the more they'll trust your credit union. As that trust increases, so will their long-term loyalty.
2. Offer Convenience
Another way to gain the trust of your members is to provide them with convenience. Convenience not only allows them to have a more seamless experience, but it also helps them to feel like your credit union has their best interests in mind by valuing their time and being efficient.
By saving your members time, showcasing your advanced technology, and providing consistency, your members notice your member-centric approach in all that you do. With increased convenience, they see that their money is in the hands of your forward-thinking, savvy organization. This will build their confidence in your credit union.
3. Be Completely Honest
No financial institution is immune to the current economic conditions. Be honest with your members during easy and difficult times to ease their minds. This consistent honesty will help them trust your credit union in any circumstance.
Be honest by working to understand your members and learn about the topics that are causing them uncertainty. Acknowledge that the fears exist and do what you can to dispel them by offering more information. This realistic approach will again build confidence in their minds.
4. Train Your Frontline Staff
If you want to empower credit union member bonds, every touchpoint they have with your organization needs to be as strong as possible--which begins with your frontline staff. Yes, more people are relying on digital services these days, but there are matters where a member still needs to interact with a staff member.
Your staff members should strike the perfect balance of knowledgeable and friendly. They must be kind, caring, and compassionate. This will create a positive reputation for your credit union over time. Train your employees so they have the tools they need to succeed and help your members.
Training is not enough though. One huge mistake credit union leadership makes is prioritizing their members while forgetting about their staff's well-being. Happier staff create more satisfied members. Treat your staff with respect and value their opinions. There are many free or low-cost ways to show your staff that you appreciate them. Spend time caring for your employees so they can better care for your members.
5. Update Your Fraud Solution
With financial fraud increasing, an up-to-date fraud solution plays a pivotal role in fostering trust within your members. By implementing and maintaining a robust fraud prevention system, your credit union demonstrates its commitment to safeguarding the financial interests of its members. This dedication to security sends a powerful message, assuring members that their accounts and sensitive information are under constant care against fraudulent activities.
The consistency and reliability of your fraud solution showcase the credit union's determination to provide a safe and stable financial environment. Members can rely on your credit union's efforts to stop any threats, ensuring their financial well-being. This persistence in keeping fraud at bay not only strengthens member confidence but also creates a lasting reputation that member can depend on.
Being a Trusted Credit Union
Your credit union is not just a typical financial institution. It serves as a pillar of financial strength, exemplifies cooperation, and shines as a guiding light in your community. By earning the trust of your members and community, you can cultivate enduring loyalty, ensure sustainability, and gain a distinct competitive advantage. Being a trusted credit union means deserving, earning, and maintaining the trust of your members.
Enhance Trust Through the FLEX & Alloy Partnership
At FLEX, we understand how important trust is to your current and future success as a credit union. Organizations like yours are built on relationships, and if you don't have trust, that relationship is temporary at best. Because of the vital role that trust plays, we've recently partnered with Alloy to help you not only enhance your onboarding experience, but also mitigate risk so your members have complete confidence in your credit union. Click on the button below to learn more.
If you'd like to learn more about our other partnerships that can assist your credit union in delivering exceptional service to its members, take a look at our Integrations eGuide.
