Sept. 21, 2009


  • This is a great article. Our company recently conducted a survey that shows only 21% of the respondents actually used credit unions as PFI. Research also shows that over 60% of people prefer to bank both close to where they live and work. Although credit unions are not on every street corner I think the shared services network if marketed well would give credit unions that advantage. I worked at a credit union for years. Not until recently I had a chance to check out the shared service network. It was great! I was able to make my deposits in real time. However the holds on the checks are still two days at my credit union even if you deposit it right at the branch. My company is currently running member acquisition program for credit unions. This article provided some great insight. For more details on the member acquisition program visit
    Karlene Facey
  • It maybe a little extreme to request the writer switch her career due to her banking preference. I work for a credit union and continue to have accounts at banking institutions for various reasons as well. As a credit union executive, my personal opiinion is that we credit unions cannot be everything to everybody...we all have our niche, as does the PNC's and ING's of the world...and NO, we would not be able to live on that spread! In fact, I often wonder just how much us credit unions and banks are willing to pay for these so called "cheap" checking account deposits? Between paying these high rates of interest as suggested paying for ancillary services such as debit cards, home banking, bill pay, mobeile banking, shared branching, remote capture, etc., combined with all the recent fraud losses on checking accounts and debit cards, you have to start asking yourself are these deposits really worth it? Being a small country banker, I don't have a staff of accountants and CPA's to guide me on this, but I do know one thing, that we all need to identify our niche and stay within it.... I for one, would probably not want the writer's accounts, particularly if I had to pay that high rate of interest on the checking account, or savings account for that matter - good luck PNC!! No offense to anyone here withy regards to those comments...this is what makes America great - we all have choices on services that best fit our needs.
    Steve Bentley
  • Excellent inside view into reasons anyone will use for why they choose a PFI as they have. Credit Unions to the power of one can't offer the buffet of services as banks with branches across the U.S. - but Credit Unions who partner with a CUSO, such as CU*Answers, CU*South, and CU*Northwest have the power of well over 150 credit unions partnered with vendors who seamlessly provide innovative and stategic financial services. Networks are powerful conduits opening the path to shared services. In fact, Steven Covey would call this opportunity a Win-Win - I'm sure of it!
  • Great article, Lydia.

    Credit union leadership needs to step-up and meet the expectations of our future members. Isn't that the obligation we work under? Are we saying that we can't compete with banks? No? Let's stop pretending that we posses some kind of insulation from market forces.

    Matt Purvis
  • Although I can appreciate the convenience and rate issue there must be several CU's in your area that can meet or beat those services? There certainly are in our area. This article reminds me of a friend who is a senior exec for Toyota yets drives a german import as his personal car. When your paycheck comes from the work of a specific industry it seems only logical that you would want to support the people that help fund that income stream? No support - possibly no paycheck? Maybe you need to consider a career with American Banker?
    Richard Cooper