How Credit Unions must adapt to win new digital customers

7 min read

Credit Unions were founded with the promise of “people helping people”.  This is mainly what differentiates them from Banks, Credit Unions will always work for the benefit of the people with humanized and tailored services. 

In a digital era, where technology is taking over it might seem difficult to keep a humanized experience when it comes to banking. But it is quite the opposite, humanized technologies will enable credit Unions to overcome obstacles and build platforms that bring the much-loved idea of “people helping people” to a new generation of customers. 

credit unions business saw 10% of increase in revenue

Although the number of credit unions in the US from 2012 to 2020 slowly decreased, they gradually began to grow during and after the pandemic. The Credit Unions business saw a 10% rise in revenue between 2021 and 2022, going from $93 billion to $103.3 billion.

Even as their competitors adopt credit unions' traditional differentiators, credit unions can retake the advantage they once had over banks and fintech in terms of customer involvement by helping people improve their financial well-being and become more tech-savvy.

Credit Unions are now faced with the challenge of winning new digital customers, delighting already existing ones and building services that fit the changing needs of their users. To win over and keep those digital customers, credit unions must provide cutting-edge services that not only match the sophistication of banking platforms but compete with new entrants to the market.

credit unions report on digital transformation


Solutions to transform Credit Union’s financial services 

Credit unions digital presence and digital strategy


86% of credit unions believe that their digital presence is essential to their competing strategy while only 14% of credit unions report that they have the necessary flexible, iterative, and collaborative approach to implement such a strategy, indicating that the majority are not adequately prepared to capitalize on digital banking.

If credit unions want to remain competitive in the market and draw in clients from younger groups, they must invest in a digital banking platform and put their efforts into creating a humanized digital banking experience.

ebankIT omnichannel digital banking platform allows Credit Unions to provide accessible, customized, and seamless digital end-to-end services. They can provide humanized services that go far beyond what was previously offered by branches and give digital customers the same experience as in-person, in-branch banking thanks to a number of important technologies. Credit unions that implement digital banking correctly today have a much better chance of succeeding in the future.

Contrary to what one might believe, technology does not make human contact obsolete, but rather gives credit unions new avenues and methods to interact with their members. Technology also allows financial Institutions to reduce expenses, enhance client service, and build strong foundations for future growth. ebankIT is here to assist them in providing the best financial services of the future, enhancing both the customer and staff experience.




Strategic technological benefits that Credit Unions should take advantage of:

1. Mobile Banking

87% of adult mobile banking users have said that mobile is their primary banking channel. Indeed, users expect to be able to carry out onboarding effortlessly in a digital environment and upload all the documents required for AML and other ID checks inside a seamless, end-to-end journey.

Financial institutions are increasingly competing – against one another, FinTechs, and big tech companies – to attract customers with mobile features.

- Insider Intelligence. 

2. Wearable gadgets 

Global wearable payment devices such as smartwatches are also growing in popularity. According to estimates, the market for wearable payment devices will increase from $43.0 billion in 2021 to $82.0 billion in 2026, with a CAGR of 13.6%. Credit unions should definitely keep an eye on this type of digital banking. 

3. Personal financial management 2.0

Nowadays, all financial institutions have the opportunity to satisfy customer demand for digital-first services which are not bound to physical locations without losing the personal connection. The challenge for credit unions lies in delivering services through branches and digital channels that suit the needs of all customers. 61% of millennials expect their bank or credit union to “provide tools that monitor spending behaviors and budgeting.

ebankIT provides Personal financial management (PFM) tools to meet this need, leveraging data to provide insights about clients’ current financial context as well as predictions and actionable recommendations in real-time based on their specific financial behaviors. Thanks to open banking and API gateways it is also possible to connect all their financial accounts in one app for a complete picture of their finances.

It is imperative for Credit Unions to adopt a digital omnichannel banking platform if they desire to win and retain a new digital array of customers.

credit union and open banking: they key for a successful banking strategy

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