LUMINAIRES 2022 finalists: Product innovation – Organization

Alliant Credit Union: Last year, Alliant Credit Union ($16.4 billion in assets; 694,474 members) became one of the largest financial institutions to eliminate overdraft and insufficient funds fees on all checking and savings accounts after management determined that these fees put an additional financial burden on people who already have financial worries. To accomplish this task in a short period of time, the Alliant team created a robotic processing application that automatically identified transactions that would trigger overdraft fees, then refunded those fees to members the same day. This bot mechanism gave the Alliant team time to create a permanent solution that provides the overdraft fee service without triggering any fees or refunds. Since September 2021, Alliant has waived nearly $2 million in NSF fees, and while it still offers the overdraft service, it has waived fees for nearly 100,000 $3 million overdraft transactions. millions of dollars.

Amplify Credit Union: As a former credit union for IBM employees, data-driven innovation is part of the philosophy of Amplify Credit Union ($1.5 billion in assets; 57,079 members ). That’s why earlier this year the credit union introduced fee-free banking, removing 40 fees from its deposit accounts, including overdraft and wire transfer fees, and putting $2 million back in their pockets. members. Amplify based its decision on research that shows an outsized impact of fees on younger, more diverse communities. The initiative included several key changes to existing platforms as well as working with vendors to update their reporting and automation, adding the ClickSWITCH account switching service to enable simple account transfers, and rebuilding its overdraft protection program from scratch. With no-fee banking, Amplify said new accounts grew by 67%, resulting in nearly $10 million in new dollars being brought into the credit union.

Commonwealth Credit Union: With COVID-19 raging, the Commonwealth Credit Union ($2 billion in assets; 115,645 members) knew its members would need help. To ensure members have uninterrupted access to their money during the pandemic, the credit union launched a new checking account product designed to give members with a history of financial trouble another shot at financial redemption. The 20/20 Checking product provides a checking account with no minimum balance, a free debit card, and mobile and online banking for a monthly fee of $10. After a year in good standing, members are allowed to switch to the credit union’s standard checking account or its Round UP checking account, which rounds up purchases and deposits spare change into a savings account. So far, Commonwealth has 347 active 20/20 users and has upgraded 40 accounts to standard verification.

Workers Credit Union: Workers Credit Union ($2.5 billion in assets; 119,578 members) was driven by the statistic that nearly 40% of Americans struggle to afford a $400 emergency expense when she developed Workers Way, an individual solution without judgement. financial coaching experience offered at no additional cost to its members. The tool helps members increase their savings, improve their credit scores, pay off debt and qualify for first homes. In 2021, coaches hosted 3,000 financial wellness appointments with members, and over the past year, Workers has expanded the program in a new direction with Workers Way at Work, which allows employers to access the tool as a social benefit. All employees of the Workers branch are trained and certified financial coaches, which gives them the ability to help members make sound financial decisions and protects them from the threat of automation by providing them with soft skills and a marketable financial training.

Community Credit Union: Community Credit Union ($90.9 million in assets; 11,641 members) received its Community Development Financial Institution designation in 2020 and received $1.8 million in Response Program grants fast in 2021. With these funds, the credit union expanded its Ready, Set, Yes! loan program, loan program for first time automobile buyers, career advancement loans in partnership with the New England School of Metalworks (NESM), rental security deposit loans and emergency loan programs, which , according to him, will create lifetime members. The partnership with NESM offers flexible underwriting for students with no credit or damaged credit, applicants not currently employed, and deferred payments until the end of its 12-week welding program. In addition, NESM has added financial education workshops to its program. The first cohort of 2022 had two students using the Career Advancement Loans program for a total loan balance of $17,564, and all 12 students completed the financial education workshops.

Dora Financial: Approximately 50 million Americans are negatively affected by a lack of access to inclusive financial services. Dora Financial, a marketing and innovation CUSO, set out to change that. Dora has created an innovative, digital, bilingual experience designed to engage the underserved, help them establish a foundational transaction account, begin their journey to financial wellness, and transition from a Dora Everyday account to a credit membership full service at a participating credit union. The account is designed to promote saving and saving, preserve income, build assets and provide an alternative to alternative and predatory banking. Since launching Dora in late fall 2021, she has created over 4,400 daily Dora accounts.

eGain Corporation: eGain recently partnered with nonprofit financial advisory firm GreenPath Financial Wellness to create a virtual financial coach that engages members to improve their financial well-being by reducing expenses, saving more, repaying their debts and strengthening credit. Using conversational artificial intelligence in a chat format, the virtual coach develops bespoke financial action plans, delivered in small, easy-to-digest chunks. This year, eGain integrated the tool with TransUnion’s soft-pull data to provide even more personalized and actionable advice by retrieving the member’s credit score and accompanying drivers and reinforcing what improves their credit score. . The tool includes free access to a GreenPath counselor when the coach detects stress or frustration. The Virtual Financial Coach is on track to have over 52,000 member engagements in 2022, and 86% of users report maintaining or improving their credit enhancement confidence after a credit-focused engagement.

Experian: With core values ​​that include innovation and financial inclusion, fintech Experian invested $781 million through acquisitions and $32 million to support its strategic initiatives last year. One of Experian’s recent product innovations is Experian Lift Premium, which is designed to help credit-blind, thin-file consumers access fair and affordable credit while helping credit unions find new opportunities. lending and strengthen financial inclusion. Lift Premium leverages expanded FCRA-regulated data, advanced analytics, and machine learning to improve visibility into previously unassessable consumers and provide deeper insight that improves predictive performance across the credit spectrum . With Lift Premium, 96% of candidates can be rated, including around 65% of the credit-unseen population and the entire non-assessable population. Experian builds many of its innovations through its DataLabs division, which drives the creation of innovative products from experimentation using artificial intelligence, machine learning, advanced analytics and data assets across all of its businesses. activities.

KeyPoint Credit Union: KeyPoint Credit Union ($1.7 billion in assets; 60,416 members) recently launched a program designed to help those without credit grow it. The Credit Starter Program helps those with no or limited credit history build credit, build savings, and get started on the path to financial success while avoiding predatory lending risks. . The program features a 0% loan with funds backed by KeyPoint, low monthly payments, and no co-signers required. The credit union also provides the member with a FICO tracker in its online and mobile banking services as well as educational resources to guide them. Following the successful launch of the Credit Starter program in the second half of 2021, KeyPoint pledged $10 million to the program.

Patelco Credit Union: When Patelco Credit Union ($8.8 billion in assets; 445,895 members) reviewed its membership base, it acknowledged that it had turned down 11,825 loans with no alternative to help those members. Recognizing this shortcoming, Patelco launched the ScoreUp Credit Builder Loan designed to support people with bad credit, little credit or no credit. Members can choose the duration that suits them and an amount that fits their budget. Loan proceeds are placed in a secure savings account where the member earns interest while the loan is repaid. Patelco’s initial goal was to offer 50 ScoreUp Credit Builder Loans per month to members who would otherwise not be eligible for a loan. In the first three months of product launch, more than 1,200 members took advantage of the ScoreUp Credit Builder Loan, and in 2021, 64.5% of members taking the loan increased their FICO score.

We are pleased to continue our presentation of the LIGHTING Class of 2022 finalistswho are recognized this year for the many dynamic and inclusive ways in which they advance the credit union industry.

Finalists were selected by our editorial team from stellar entries submitted in four main award categories: Diversity, Equity & Inclusion, Executive Leadership, Technology Innovation, and Product Innovation.

This slideshow highlights the 10 finalists in our Product Innovation: Organization category. This is a group of organizations that strive to push the boundaries of innovation to develop solutions that benefit the credit union system.

The LUMINAIRES Class of 2022 finalists were recently vetted by a diverse panel of judges from across the credit union industry, and a selected group of winners will be announced on stage at the first awards dinner and gala. program price – which should take place November 9 at the Four Seasons Hotel in Washington, DC

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