In today’s fast-paced, technology-driven world, members have come to expect seamless, secure, and convenient access to their financial services, which means that using the best available credit union accounting software is more vital than ever. Without going the extra mile to offer the right software to your members, your retention may suffer.
Implementing and maintaining up-to-date credit union software systems allows financial institutions to enhance member experience and satisfaction, which in turn contributes to better overall member retention. In this blog, we’ll discuss software’s developing role, a few of the most important software options, and how you can implement them at your credit union.
How Credit Union Software Can Boost Member Retention
According to an article from Yahoo, an estimated 85% of Americans prefer to bank online or on an app. This represents a radical shift from the days when visiting a local branch to make deposits or speak to bankers was the only option. By offering easy-to-use and reliable credit union software, lenders can cater to the needs of their ever-growing member base who prefers to manage their finances digitally.
When using the right credit union software, lenders offer their members the ability to perform transactions, check balances, and access other services at their convenience. Software for credit unions can also go a long way in helping find and connect with qualified leads like dealership partners and individual borrowers who are more likely to become long-term members.
Let’s break down some of the most beneficial credit union software systems to consider.
Customer Relationship Management (CRM) Software
What can you do if you’re a bank or credit union looking to reach more potential members? The answer may be through a CRM for credit unions. CRM systems are critical for credit unions because they enable them to effectively manage interactions and relationships with their members, providing a 360-view of their customers. With the right credit union software system in place, your staff can access a comprehensive view of each member’s history and preferences, allowing them to provide tailored support, communications, and recommendations.
Let’s take a look at a couple of the best CRM credit union software options:
Salesforce
Salesforce is a leading CRM credit union software, as it allows detailed member profiles for tracking interactions, preferences, and financial behaviors. This information can be used to tailor products and services to individual member needs.
HubSpot
Another leading software for credit unions in the CRM industry, HubSpot gives credit unions and other lenders the ability to draw potential members to themselves rather than reaching out with traditional advertising. Credit unions can use HubSpot to attract new members through content marketing, SEO, and social media campaigns.
Online & Mobile Banking Apps
Allowing your credit union’s members to access their accounts and perform various transactions digitally is crucial to success in today’s competitive marketplace. Credit union software can help make that happen.
There are even software platforms designed to give banks and credit unions more analytics and insights into the behavior of their users. Q2, for example, offers a streamlined credit union software solution that can enhance member experiences and provide data that credit unions can use to make better decisions over time. So, how can banks and credit unions optimize their apps?
First, it’s important to make sure every user enjoys a unique experience. Through features like expense trackers, personalized financial dashboards, and even chatbots or AI assistants, your members will feel engaged and supported throughout their financial journey.
In addition, make sure you prioritize the overall security of your app. By requiring two-factor authentication, strong passwords, and payment blocking, you can help limit the threat of ransomware and fraud attacks on your platform while staying compliant. There are even software platforms designed to give banks and credit unions more analytics and insights into the behavior of their users:
Q2
Q2 offers a streamlined credit union software solution that can enhance member experiences and provide data that credit unions can use to make better decisions over time. The platform even gives WFD credit unions and banks the capability to gain 360-degree views of their members’ behavior while interacting with the platform.
Web Finance Direct Mobile App
Our latest mobile app gives loan applicants a more streamlined experience when interacting with WFD, credit unions, banks, and dealerships. With features such as fast loan document uploads and application status pages, it offers an easy-to-use and transparent way of applying for a loan.
Fraud Detection Software and Cybersecurity
t’s one thing to offer advanced software to your members, but is your credit union equipped to defend itself from fraud? Today, credit unions are as vulnerable as ever to various forms of fraud and financial crimes, which can have severe consequences, including financial losses, reputational damage, and legal penalties.
According to a recent study from Black Kite, a Boston-based cybersecurity firm that analyzed 250 credit unions, 86% had sensitive employee information available on the Dark Web. Of that 86%, 66% had not deployed the necessary credit union software to protect against cybersecurity attacks.
The moral of the story? The security of your credit union could change at any minute and you have to ensure your organization is prepared to combat vulnerability.
Companies like Fiserv and SAS offer fraud detection and prevention software for credit unions that are built on predictive analytics to stay on top of sophisticated money laundering and fraud schemes.
Additional Ways to Boost Credit Union Membership
Outside of credit union software, there are several other ways to potentially increase membership over time. Below, we look at the top two ways credit unions and banks can scale their membership and customers:
1. Expand Your Marketing Efforts
In today’s competitive marketplace, banks and credit unions alike must differentiate themselves from their competitors. A great way to do this is by offering engaging marketing materials like emails, commercials, and paid advertising to your target audience. When done right, marketing can build trust, raise brand awareness, and provide a better way to promote your key offerings.
2. Indirect Lending Platforms
Another major shift in how credit unions offer loans and attract new members is through indirect lending with trusted partners like Web Finance Direct. In today’s digital age, a lot of this process is moving online, as customers can browse the web for their desired purchases and apply for loans on their phone, laptop, or desktop.
Paired with the right credit union software, Web Finance Direct’s network allows credit unions to offer loans to a wider range of applicants across multiple industries, including auto, RV, Powersports, and marine dealerships. Our process is designed to match you with applicants who meet your lending requirements every time.
To learn more, contact our team to speak with an expert. To stay up-to-date on the hottest trends and topics in the financial industry, check out our blog to read more.
FAQs
What software do financial institutions use?
Software for credit unions and banks ranges from mobile banking apps to cybersecurity platforms to keep sensitive information safe. In today’s digital age, the importance of software cannot be understated.
Do banks and credit unions use CRM?
Yes. CRM is an important software and marketing tool for credit unions looking to maintain consistent communication with their members.
What are the key considerations when choosing third-party credit union software?
When credit unions choose third-party software, they should prioritize data security, integration capabilities, regulatory compliance, scalability, cost-effectiveness, and user-friendliness. Ensuring alignment with the credit union’s specific needs and goals is also vital.
What are the long-term benefits of investing in credit union software?
Investing in software offers credit unions a number of key long-term benefits. These can include enhanced operational efficiency, improved member experiences, data-driven decision-making, cost savings, and a competitive edge in today’s evolving financial landscape.
How to choose credit union software?
Choosing the right software for your credit union will depend on your organization’s preferences surrounding budget, CRM, and customer data capabilities.
What software do most credit unions use?
Most credit unions use software like Salesforce, HubSpot, and some use additional services for mobile banking like Q2 or Web Finance Direct’s Mobile Banking App.