Posts By: Denise Wymore

The Next-Gen Tech CUSO

By Mickey Goldwasser, VP of Marketing, Payrailz

The term fintech has been around for decades, simply short for financial technology. However, during the Great Fintech Scare of 2017, the term suddenly took on a different, narrower meaning. Specifically, that was the term applied to new, aggressive, modern, nimble fintech startups that, so it was feared, had the potential to out-credit union credit unions.

To the best of my knowledge, no credit union has had to shutter its doors due to a fintech startup. Even if they find some money, a couple of guys working in their dad’s garage still lack one important ingredient that credit unions have in abundance: members. More to the point, fintech startups lack the massive amount of member data that’s been stored in every credit union data processing system since the beginning of time.

Don’t rest too easy just yet, though. At the other end of that spectrum, we have the Apples and Googles and Amazons and Rocket Mortgages and Lending Trees – companies that, like credit unions, have massive amounts of consumer data, but unlike credit unions (and just about anyone else), have a virtually unlimited amount of money to throw at creating and promoting their fintech products and services.… Read more

NACUSO Commercial Lending CUSOs Urge Caution with new Appraisal Rules

The Business Services Advisory Group of the National Association of Credit Union Service Organizations consists of commercial lending credit unions and CUSOs throughout the country.  The Group recently discussed the new appraisal rule.  Bill Beardsley, CEO of the commercial lending CUSO Michigan Business Connection, and the Group’s Chair, summarized the discussion.  “There is a lot of appreciation for the flexibility that the new rule provides, and the confidence that is being placed on credit unions by the NCUA.  Our group consists of very experienced commercial lending professionals, who have seen the ups and downs of many economic cycles.  As a result, the consensus of our group is to recommend careful restraint in applying the full extent of new rule”.

The new appraisal rule, slated to take effect October 22, 2019, increases the threshold above which appraisals are required for commercial real estate transactions from $250,000 to $1,000,000.  Instead of requiring an appraisal, the rule allows reliance on a less formal valuation called simply a “written estimate of market value”. … Read more

Great Meadow FCU chooses eDOC Innovations

Great Meadow Federal Credit Union, based in Granville, NY, has selected eDOC Innovations to be their full document imaging provider. With eDOC’s comprehensive digital transaction management solution Great Meadow FCU will not only be taking advantage of the robust eDOC platform, they will also be utilizing a recently enhanced integration built between eDOC and the credit union’s core provider, CUProdigy.

“I’m pleased to see the collaborative work between eDOC and CUProdigy come to market and provide a tightly integrated workflow with our direct, API integration. It’s an elegant solution for our credit union users and the members they serve,” commented Bret Weekes, CEO at CUProdigy.

“Great Meadow FCU is the first credit union to take advantage of the deepened eDOC and CUProdigy integration,” explained Tim Wright, AVP at eDOC. “They will be using the system to bring their CU into the paperless space, digitizing their forms and automating the flow of documents, both forms from core as well as outside of core.” Existing paper files will be digitally imaged to put everything in one central location for storage and management.… Read more

eDOC Innovations and Rate Reset announce CUSO-to-CUSO partnership

eDOC Innovations, a CUSO specializing in mobile enterprise digital transaction management solutions, is pleased to announce their new partnership with Rate Reset, the industry’s leading provider of award winning, reset, recapture, pre-approval new loan and CD digital solutions, known as KNOCK KNOCK. A two-time winner of NACUSO Next Big Idea Contest, Rate Reset, provides credit unions with the tools they need to compete with the big FinTech companies.

“With the changing landscape of mobile members, eDOCSignature creates a new generation of opportunities for credit unions and their members. Our CUSO-to-CUSO collaboration is important to the industry by bringing greater value to credit unions and their members by empowering them to do business digitally in a mobile environment,” commented Mark Fierro, CEO of eDOC Innovations. “I’m pleased to be partnering with a such a quality CUSO that is committed to, and living, the cooperative principles.”

“eDOC’s eSignature paired with our Knock Knock solutions will expand the remote services that credit unions can provide to their members,” said Keith Kelly, CEO of Rate Reset.… Read more

MILLENNIALS VALUE TRUST AND WANT IT ALL WHEN IT COMES TO CREDIT CARDS

A new CO-OP Financial Services white paper finds the attitudes and access of Millennials to credit cards are changing, just as they are approaching their prime spending years and credit cards remain a favorite way to transact.

For credit union issuers, the convergence of these trends presents several opportunities, chief among them to earn the trust and positively impact the financial health of America’s fastest-growing consumer segment.

To-date, Millennials have not found it easy to obtain credit. Many graduated college with record student loan debt. They were also denied the access to credit enjoyed by prior generations, due to Credit CARD Act regulations. In fact, the thin credit histories of the nation’s Millennials is often cited as one reason the segment has been faster to adopt digital payment apps.

The CO-OP whitepaper “What’s in the Cards for the Millennial Market” reports, “While their entry into the credit card market has been relatively slow, the Millennial generation is finally advancing financially – and as a result, many are opening credit card accounts.”

To help credit unions position their cards as the most attractive option, the white paper explores several macro themes while also providing key takeaways, including:

How Millennials view financial institutions: They expect credit unions and banks to provide leading-edge digital capabilities.… Read more