Innovation Lending Product CreationCredit Unions Are Building Stronger Member Relations by Ubiquitous Lending
Capturing Lost RevenuesCredit Unions Are Building Stronger Member Relations by Ubiquitous Lending
CU Direct Credits Unions Provide More Lending Opportunities to Members, Merchants, Service Providers.+ Provides a Conduit of Financial Lending Systems to Credit Unions and Merchants and Service Providers. Builds Relationships and Public Good Add Members to Credit Unions Captures Lost Revenue Opportunities from Banks
Need: A system or process to allow Merchants of different specialties (such as Auto repair, Medical, furniture, etc) to do on site lending for products and services the customer would normally would have to go to their bank or credit union branch for a loan.
Reason:Allow the credit unions to stay competitive in the market place. Outside banks or financial institutions already have this type system in place using the revolving credit (also known as charge cards).
Effect: Maintain the relationship with the member by allowing them to get fast service at the merchant and streamline the process. Less hassle, for the member and the merchant can maintain the customer in house and they don’t leave with the concern they will purchase somewhere else.
Previous homework: Determine what merchants the credit unions already may have relationships with or merchants the credit unions would like to foster and build relationships with. Gather information on if this merchant uses their credit union frequently for these types of loans, etc. Do they use another source to offer on-site financing to the customers? Interview merchants to see if they are in need or would be interest in this type of service. Do they currently use a source for financing, who and how does it work?
Process: Merchant will submit the information through the CUDL system, get approvals or counter offers through CUDL. Once approved, merchant will have the customer sign the contract and gather any other type of information the credit union requires. Merchant sends the signed paperwork to the credit union for funding. The credit unions funds the loan within 24 hours (providing all paperwork has met the credit unions standards) straight to the merchants account via EFT/ACH.
Why Recreate The Wheel Re-engineering, re-packaging, and re-position existing and emerging products will increase revenues, market share, and services to your constituents.
I’m Shelley Facos…… I teach Credit Unions, Merchants, Service Providers and Credit Union Members how to fully engage in the Credit Union Business Market Place by creating useful, convenient, easy to use, affordable and community based resources for people to have the lifestyle they deserve. If you have questions about how you can re-create your organization’s financial products please call: 802 839 8791 – Sichauvin@aol.com