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Total Member Care proves popular

ST. PETERSBURG, Fla. (9/7/10)--More than 270 credit unions use PSCU Financial Services' Total Member Care Contact Centers. Fifty-four of those credit unions deploy the contact centers to obtain member opt-ins as required by Regulation E, which deals with overdraft services.

Regulation E requires financial institutions, including credit unions, to obtain their members' consent before charging them fees for overdraft services. The regulation was effective Aug. 15.

In addition to opt-ins, 24 credit unions use the service for lending and new member enrollment, and 18 have the service for after-hours and overflow support.

Contact centers are open 24 /7 and handle 17.4 million inquiries each year. Credit unions that outsource calls to the centers increase staff productivity, PSCU Financial Services said. Contact center staff handles account inquiries, balance transfers, password resets, loan applications, new member enrollment and account initiation.

PSCU Financial Services is a credit union service organization in St. Petersburg, Fla.

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Covera Card Solutions offers marketing materials sets

ALBANY, N.Y. (9/7/10)--Covera Card Solutions, a subsidiary of the Credit Union Association of New York, is offering a marketing materials online ordering site. With the new tool, client credit unions can receive immediate pricing, order customized materials, view proofs and download or print pieces for ATM, credit, debit and FlexDebit campaigns.

The site can be accessed through the Member Resource section of Covera's website. The site was created by and is serviced through PBR Graphics, based in Albany, N.Y.

"This new site makes the ordering process easier and more efficient," said Kimberly McCumber Ploof, chief operating officer.

Covera provides debit, credit and ATM programs to more than 300 credit unions.

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ACUMA conference to help CUs seize mortgage share

LAS VEGAS (9/3/10)--The American Credit Union Mortgage Association (ACUMA) will host a conference Sept. 15-18 in Las Vegas on mortgage lending. The conference also will be open to virtual attendees through a live telecast on the ACUMA website at a reduced rate.

Conference speakers will tell credit unions what consumers' needs are regarding mortgages and how credit unions can meet those needs. Speakers include: Jim Gillespie, Coldwell Banker Real Estate Corp. president/CEO; Larry Platt, K&L Gates practice leader; Ann Clurman, The Futures Co. executive vice president; and Tom Millon, Capital Markets Cooperative president/CEO.

Sessions will cover:

  • The state of capital markets, including government and conventional loans;
  • The state of the mortgage and real estate brokerage market;
  • Adoption of new secondary market strategies;
  • Compliance with new regulations, including the Secure and Fair Enforcement Act;
  • Effective loss-mitigation strategies; and
  • Emerging trends in generational marketing, social media and technology.

Credit unions had a record $90 billion in mortgage loans outstanding in 2009, and the numbers will likely grow, according to ACUMA.

"In the consumer space, credit unions are the best-kept secret," said Bob Dorsa, ACUMA president.

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SE Corporate creates HELOC/wire fraud role-playing resources

TALLAHASSEE, Fla. (9/2/10)--Southeast Corporate's member services team has created a series of fraud prevention role-playing scenarios to help member credit unions prevent fraud. The scenarios use real-life credit union situations and demonstrate some methods criminals use for fraudulent account access, and how it can lead to Home Equity Lines of Credit (HELOC)/wire fraud.

The corporate also built a Fraud Resource Area with tip sheets on fraud, links to prevention resources, news stories and a repository of all recent fraud alerts.

"We asked our members if they would use such a resource, and they jumped at the opportunity," said Steve Wildes, Southeast member services manager.

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Resource Links
Security and Fraud Institute
Southeast Corporate
Member Financial Literacy: Fraud and Security

Fiserv revenue expansion program to fill overdraft gaps

BROOKFIELD, Wis. (9/1/10)--Fiserv Monday unveiled its Revenue Expansion program, which aims to help credit unions and banks impacted by Regulation E. The regulation prohibits financial institutions from charging overdraft fees for ATM or one-time debit card transactions unless a consumer opts in to the overdraft service.

Under Regulation E, consumers had until Aug. 15 to opt-in for overdraft protection offered by their financial institutions.

Fiserv said it urges credit unions and banks to "create a strategy to comply, and use it as an opportunity to deepen their consumer relationships, develop innovative product offerings and create a competitive advantage." The Brookfield, Wis.-based company created Revenue Expansion because some financial institutions don't have the resources to create such a strategy.

Fiserv has identified three areas of focus for the Revenue Expansion roadmap: new deposit products, consumer liquidity products, and cross-sell, loyalty and retention products.

New deposit products provide financial institutions with the ability to present creative new offerings to consumers. The products include alternatives to free checking such as incentive or rewards-based checking; relationship or activity-based pricing; card-based initiatives such as consolidating personal identification number networks.

They also include increasing debit card penetration, activation and use; and new consumer payments alternatives such as expedited electronic bill payment and person-to-person payments. Short-term consumer liquidity solutions address the potential impact from Reg E.

For consumers who opt in, financial institutions can implement dynamic overdraft threshold strategies determined on an account-by-account basis that provide consumers with overdraft limits matching their capability to repay.

For consumers who opt out, financial institutions may offer a small dollar, short-term loan for which qualification is based on deposit history rather than credit score. Cross-sell, loyalty and retention products, including card rewards, relationship rewards, incentive-checking products and relationship pricing, can drive consumer behavior and encourage long-term retention and greater product usage, Fiserv said. Implementing predictive analytical technologies can help financial institutions predict what product or service a consumer will want next, which can increase revenues significantly increase consumer loyalty and reduce attrition, Fiserv added.

The Credit Union National Association (CUNA) has closely monitored Regulation E and its impact on credit unions. CUNA said it supports the ability for credit unions to offer overdraft protection plans to help members resolve short-term financial programs, in contrast to other institutions who may market such programs in a misleading manner.

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Resource Links
CUNA Regulations and Compliance