During America’s Credit Union Conference, Credit Union National Association President/CEO Jim Nussle discussed future challenges credit unions are going to face.
Nussle described a “model attack.” How the credit union model is under attack, and how banks are coming after credit unions because they see their market share diminishing. As a result, banks look at taxing credit unions as a victory. “They are trying to divide us, pitting small credit unions against big credit unions,” said Nussle. “We need to be mindful of our tax status and can’t let them divide us.”
Nussle stressed an industry “market attack” and the need to protect our market and expand it. Studies show that banks outspend credit unions $43 to $1. Most Americans – 98% – already know about credit unions, but 72% wouldn’t consider joining one. CUNA’s new brand platform is helping to overcome credit union myths. So far 525 organizations have pledged more than $37 million. Early results also show 76 million impressions, and 5.1 million consumers exposed to the Open Your Eyes to a Credit Union advertising campaign. Starting in July, three new states will launch the campaign: North and South Dakota and Indiana.
He also characterized a “heart attack,” reminding credit unions that if we forget who we are, and why we do what we do, we will be lost. “Let’s stay different,” he continued. “When you sit down with a member, sit across the table, and say I can help you figure this out … that’s a differentiator … the heart of the credit union movement.”
So what actions can credit unions take to drive the movement forward?
– Take advocacy action: Tell Congress why credit unions are different;
– Increase consideration: Contribute to and engage with Open Your Eyes consumer campaign; and
– Fire up our superpowers: Teach, educate, share, and recommit to our powerful, differentiating cooperative principles.
