Check out this new article by Richard Gallagher, CEO of Oak Tree Business Systems, inc.! As controversial as stress testing may be to some it is an important aspect of the financial world for banks and credit unions alike. When looking at the risks entailed for any in the industry we have looked at some of the ways one can be prepared for stress testing.
”Credit unions need to evolve or risk getting lost in the crowd. While technology is a top trend, quality customer service continues to influence members both young and old. Big banks have large budgets to launch tech-heavy customer service tools, making it increasingly difficult for credit unions to be competitive. Currently, financial institutions with the highest customer satisfaction provide their users with intuitive mobile apps, 24/7 customer service, an extensive no-fee ATM network, and expanded payment options that include Zelle, Google Pay, and Apple Pay. To tackle the competition, credit unions must look past their lack of resources, staff, and budget and focus on what differentiates them from other financial institutions.”
Additionally, here's a little snippet of something that didn't end up being included in our article, but is still so relevant!
You can stay ahead of the game by continuing to implement small changes that make a big impact. Your credit union stress test exercise would benefit your senior-level staff and help to understand your credit union’s financial strength, so why not keep a clear vision and prevent a possible loss of growth? Leverage your potential and existing members by understanding their specific needs and determining the best way to engage with them. Consider big banking features that your members would benefit from, invest in AI, invest in proper lending documents, and improve your overall business plan by focusing on a personalized stress test. Laying the groundwork today can provide the time and money needed to exceed future goals. Here is an infographic about the final stress-testing rule to help your credit union stay informed and compliant.
In the ever-evolving world of fintech, stay on top might feel impossible. Let us give you a hand!
The full article is available here.