Growth for a credit union often means increasing membership and the value of each member account, but this requires planting the right seeds. According to Aite Group (aitegroup.com), Boston, prepaid cards have enjoyed a 20- year growth spurt that doesn’t show signs of slowing, making them a strategic offering for members. They can help nurture member growth as clearly as 1-2-3.
Prepaid cards lay the groundwork for new valuable memberships. Millennials and Gen Xers are the primary users of prepaid cards, according to research by The Pew Charitable Trusts (pewtrusts.org), Philadelphia. The cards are especially useful for college students and their parents as an easy way to budget and track school-related expenses. This also means prepaid cards can help your credit union build relationships with upcoming generations.
A prepaid program also appeals to current members, giving them room to grow. By offering these cards, your credit union expands the ways members can manage their money. Members can easily load and reload these cards as they budget for bills or special occasions. They enjoy the convenience of a debit or credit card without concerns about overdraft fees or missed payments hurting their credit scores. Unlike a debit card, a prepaid card isn’t connected to an account, giving members less to worry about if their card is lost or stolen. Prepaid cards with consumer protections in place are also safer than cash.
Reap fruitful member relationships and drive growth now and in the future by including prepaid card products among your offerings. Credit unions gain ongoing revenue as members reload their cards. Prepaid gift cards also give your team an opportunity to show the “credit union difference” and become part of your ‘members’ celebrations.
The best growth comes from using the right tools and knowledge. A knowledgeable, supportive partner makes the difference. Be sure to choose a prepaid program with full service—from set-up and processing to marketing assistance. Industry-leading fraud prevention services and quality customer support help your members feel secure, allowing them to better enjoy the benefits of their prepaid cards. Flexible fund loading and a free mobile app add to the overall convenience of these cards.
Are you ready to help your credit union grow with the best prepaid program available? As a trusted single source for payment services since 1969, for fifty years LSC has helped by providing a prepaid debit and gift card solution. Their comprehensive approach and five-star service give credit unions the power to compete and grow. To learn more, contact Dan Collins at dcollins@nebrcul.org
