2020 was a tough year for credit unions and other businesses around the country. Many were forced to make fast and difficult changes to satisfy their member and customer needs. As the future of brick-and-mortar remains uncertain, credit unions must take advantage of all the opportunities and resources that are available to them.

In 2020, the pandemic forced many of us to change how we do business and to do it fast. As state-issued lockdowns caused brick-and-mortar businesses to close their doors and people turned to digital solutions, such as e-commerce and digital wallets for everyday transactions, many credit unions around the country were forced to enhance their digital services and make big changes to how they operate.

The rise of competition in the finance space is unprecedented. Fintech companies like Venmo and Paypal have been attracting younger users with social components to their apps, while tech giants such as Google and Apple have altered consumer behaviors with digital wallets. Even apps like Uber and Amazon are reshaping customer expectations with one-click ride sharing and shopping. The services these tech companies offer have a few things in common—they’re fast, efficient, and digital. They also encroach on traditional banking spaces, posing a potential threat to credit unions.

One of the most important components of running a successful credit union is maintaining healthy relationships with your members. Credit unions that nurture relationships through two-way communication, and by providing members with the services they want and need, tend to thrive.

“Would you like fries with that?” If you’ve ever been to a fast-food restaurant in America, you’ve probably heard this question before and think little of it. But this is the art of cross-selling—selling or pitching an additional product to an existing customer based on their needs. And while it’s a commonplace practice, it’s not always as simple as it seems. Cross-selling involves knowing what your members want and need, and during these uncertain economic times, it’s become as important for credit unions as it’s always been for fast-food chains.

This Summer, a change to checking regulations, set in motion almost ten years ago, came into effect. Here is a little history of Regulation CC along with its impacts on credit union compliance and members that your credit union needs to be aware of. 

When a new relationship begins, it's often the result of some shared interest, a commonality. To strengthen the relationship, you then take great care in learning about the other person - what they like to eat, where they like to travel, what movies they enjoy watching, etc. You develop a personal connection and familiarity that makes you feel close and known, bringing you comfort and happiness. Your member relationships are no different. Members come to your credit union because you have something in common, perhaps they are teachers and your credit union is for teachers. But, they stay because you spend the time to learn about them. It's that credit union difference. APIs can help your credit union build better member relationships than ever before.

Great technology alone will not make a successful credit union. Storing every piece of transactional data won't either. Nor will having the most courteous member services representatives in the entire country. The truly successful credit unions are those that arm their staff with useful data and teach them how to leverage it, ultimately enabling them to not just serve their members, but add value for them. It's a formula for success.

Around the world, people are choosing to keep their distance from each other. They're foregoing family visits and hangouts with friends. They're cancelling parties, skipping inessential shopping, and delaying trips. In any other situation, it could be seen as selfish and probably rude. But in this time of crisis, it's really an act of great care. While there is no actual law forcing them to stay home, they're doing it because they are helping protect those that are more likely to suffer from this disease. It's an act of love. It's a way to show each other that we care, that we have each others back.

Businesses are showing support too. Stylists are sharing videos to help clients cut their own hair. Gyms are streaming popular classes so members can keep up with their fitness routines. Restaurants are sharing their secret recipes so patrons can cook their favorite dishes from the safety of their homes. Businesses are finding ways to help their customers because it's the right thing to do--to support each other. So what can your credit union do to show your members you are there for them, even when you can't actually be there for them? We have a few ideas.

A credit union executive is always looking for ways to strengthen member relationships, through extending product and service offerings, ensuring the best talent is on staff, and providing members special benefits and events.  One service  that is becoming more common with credit unions is to offer members free access to their FICO^® Score.  By doing so, it establishes trust, loyalty and growth with its members, while at the same time increasing profitability.  It’s a win-win!