Credit Union Recession Strategies: Ideas to Differentiate and Propel

Credit Union Difference

Industry Experts: From American Public Media‚"Marketplace Money" radio program to Dave Ramsey, Suze Orman and beyond, financial experts have been raving about credit unions in the last year. Now's the time to ride the wave and promote your credit union difference as a not-for-profit financial institution and all of the features and benefits which come from such including your open, honest and non-price gouging structure.

Give Back Campaigns: Such campaigns are a way to tell your story, in addition to reinforcing your low loan rates and higher savings rates due to your not-for-profit core.

Overdraft Fees: Banks have really been under fire on this lately. What makes you different? Plus, we hear that some credit unions donate these funds (or a portion) to charity-that's different!

Beyond The Car Loan

Car loans and savings accounts may be the foundation from which your credit union was built. But, if you want to change your perception and be perceived as a full service financial institution, communicating your mortgage, investment/financial planning services division, and high-tech financial services during the downturn will help position you even more on the economic upswing.

Financial Literacy

Many credit unions have a history of embracing the philosophy of "people helping people." Much of this help has occurred informally during mini counseling sessions between members and your credit union's loan offers or member services representatives. Now's the time to develop more formal (yet engaging and relevant) financial education programs to provide proactive services and training for members of all ages (Note: We do recommend starting with one age group and then expanding to others- yougotta eat an elephant one bite at a time!).

Financial Checkup

Recently, some credit unions have been promoting quick 15-minute financial checkups. We love this idea! It's something your employees likely do anyway. Why not promote it as a service? During these one-on-one visits, individuals' credit reports are reviewed, questions and concerns are addressed, prudent financial advice is given to help bring peace-of-mind and lower cost financial services to the individual. Third party resources (such as Consumer Credit Counseling services) are also offered to help individuals head down the right path.

Internally Tell Your Story

Be sure employees understand what makes your credit union unique and special (F.Y.I. It should be more descriptive than "customer service" or "serving the member"). Communicate your credit union's story in language and images that reflect your internal core and resonate externally. Develop an "elevator speech" which employees can easily repeat to friends, family, members and prospects when asked, "What's your credit union all about?"

Payday Pow!

Prizes: During typical busy paydays at branches, offer prizes that help the average Joe or Jane. Offer drawings to win groceries, gas cards, etc.-prizes to help everyday people make it through the next pay period.

Bit by Bit: Small loans can make a big impact-just ask all of the people flocking to payday lenders. Please consider what makes the most sense for your credit union. But, just maybe, small is the new big when it comes to loan offerings!

Peer Power

Create your own peer network by forming alliances with credit union marketing or business development leaders in other states. Invite 6-8 people. Set monthly conference calls and topics for discussion-each member facilitates one monthly topic, shares a case study and/or brings in third party advisor as needed to the group to share a new concept, resource, etc.

Strut Your Stuff

Some credit unions' ultra casual dress codes and office environments may certainly reflect their "friendly" and "relaxed" corporate culture. But, are they also positioning themselves to be seen as financial experts? Now's the time to do a little spring cleaning--de-clutter the space and add a little crispness and professionalism to the wardrobe. This can be a low cost yet noticeable difference in reinforcing your expertise.

High-Interest Checking

We love this product mainly because banks seem to hate it. Most banks can't (or won't) compete with credit unions in this arena. And, as we all know, if we can get members to use our checking and online services, they're much more likely to stay attached.

Momma Always Said

So, your Baby Boomer members kids are growing up! When we interview credit union members, most were referred to the credit union from a family member or employer. Referral programs to encourage parents to refer their teen and young adult children are a must.