It will come as no surprise that nearly ⅔ of members find their credit union through word of mouth recommendation, so why aren’t more people signing up for membership?
Whilst members value the ethical approach and personal touch, interest rates remain the most important factor when looking for a savings account or applying for a loan.
Over the summer MoneyCircles has been conducting surveys of members, non-members and credit union senior managers so we can better understand what people think of credit unions, the challenges facing the sector and how it can address the challenge of an ageing membership.
Members want quick, mobile application processes, but they’ve also been telling us how getting money out of a credit union can be a hassle. Excessive paperwork and clunky online processes get in the way of accessing money. A sector awash with cash is making it hard for members to get at their own money. This is an area that credit union CEOs are actively working to improve and something the MoneyCircles app will address.
We’ve also been trying to understand what push factors persuade people that they need to start saving or apply for a loan. Starting big projects, buying cars, travel and helping family members onto the property ladder are emerging as common themes. Understanding what can trigger an application will help credit union improve their marketing campaigns.
We will also use the seminar to review a prototype of our app which will provide a friction-free way to apply for a loan or a savings account from a credit union.
Our surveys show member dissatisfaction with their credit union’s online presence. That’s why we want to ensure that credit union people – and end users – are fundamentally involved in the design so the software stands the best chance of helping the sector boost membership and lending.
MoneyCircles helps potential members connect to financial co-operatives through social media. On-boarding is simplified and data provided to help you Know Your Customer and assess credit risk. If you’re running a credit union you can find out more here.