Stop the Slow Leak in Your Auto Loan Portfolio

 By John Blom and Margie Church  Originally published on CUinsight.com.

Vehicle purchases frequently are impulse buys, and auto loans have become serious bread and butter to many credit unions. The wise marketer knows that getting a member's repeat business can't be an assumption. It must be earned as part of a strategic effort. 

"Hail Mary Marketing" has its place as a solid prospecting strategy. Use it to target members without auto loans and to create awareness in the communities the credit union serves. It works. However, this strategy isn't the best way to retain the valuable auto loan business the credit union already has. You need to have a more focused effort.

Stop-Leak Retention Strategies

We recommend developing a solid retention program today to keep millions of dollars in auto loans from leaving your credit union tomorrow. How? Bi-annually, append to your data with vehicle values to provide a good guide to how much equity a member has.  Sort the data, and create targeted messages depending on where this member is in their auto loan lifecycle. 

Here are the important markers to look for:

      The vehicle's trade-in value is higher than the loan balance. This is an open artery for an impulsive purchase. These loans are most vulnerable right now. These members must be hearing from you very regularly to ensure you're not forgotten. Pre-approval and special financing incentives via direct mail and email are good tactics to use. Perhaps a personal call from member services or the loan department can be made, too. 

     The vehicle's retail value is higher than the loan balance. Obviously these members can sell their vehicle outright, and use the money for a down payment on something new. The loan is vulnerable if the mood strikes. Increase your communication frequency to these members. Remind them about the benefits of pre-qualification, low rates, additional discounts, and any services that might steer them back to the credit union when they make a move. A refinancing offer to access the cash equity is something to consider, too.

     The member has no equity. Contact them a few times a year to illustrate their equity progress. Communicate sound financial practices and other credit union services to deepen the relationship with you.

Budgets are still very tight in America, and people save money by financing through a credit union. Help members avoid the costly mistake of choosing dealer or bank financing.  A strong retention program throughout the loan lifecycle reminds them their credit union is the best place to come for their vehicle (and all) financing needs. It strengthens your auto loan portfolio and other credit union products and services, too.

 

Pinpoint Direct Marketing creates data-driven, electronic and print marketing campaigns for the financial industry. Its customized campaigns achieve excellent results without premium costs. Learn more about Pinpoint Direct Marketing at www.PDMKT.com or call Kerry Blom, owner, 866-784-7555.

Use Credit Reports to Score?

By John Blom and Margie Church

What if you started using credit report inquiries to reach members and prospects who are on the hunt for new loans and refis outside your financial institution? Tapping into credit inquiries for auto loans and mortgages (first and second) could have a pretty good payoff. Consumers are still spending conservatively, so anything your credit union can do to help them save cash is potentially worth the effort.

What about the expense of doing this? 

There's the potential sticking point.  

There are two costs to consider: lead acquisition and fulfillment. Ask your service provider for some historical information about the kinds of data you're seeking. The lead volume may be quite low, but if you're confident about the quality, that could diminish or negate the acquisition cost concern. 

Managing a program such as this in-house, requires a real commitment. Leads must be checked and pursued every day. Many credit unions don't have a large staff, and for that reason, using a direct marketing firm for fulfillment probably makes more sense. They have the systems set up to handle projects like these automatically.

What's the right response?

This is a 100-percent prospecting activity, so keep your costs low, and make wise choices. Using cross-channel marketing helps to maximize your success. Start with tried-and-true direct mail. Timing is everything, so send a postcard, via first class mail, to any prospect.   

Do you have the member's email address? Use it for a fast and very cost-efficient way to reach them.  Is the member using mobile banking? Send an alert or text message! A combination of these tactics lets your credit union strike while the iron is hot.

As the economy's knees stop knocking, other opportunities are knocking. Mining credit inquiries could open a new door.

Pinpoint Direct Marketing exclusively serves the U.S. credit union market. We provide excellent, turnkey or a' la carte creative services at a great value. Click to learn more about us.

Seven Ways to Change Your 2012 Business Landscape

By John Blom and Margie Church

At this time last year, many CUs were idled back, waiting for the New Year to reveal which direction to take. Many CUs wouldn't put a stake in the ground and chart their own course. They had their budgets and ideas under lock and key. In a down economy, we can understand a conservative approach, but doing nothing puts a business in perpetual reactionary mode.

If your credit union is still navigating without a rudder, we offer seven suggestions to get you moving in a forward direction right now.

1.  Do a post-mortem on 2011. Take out the white board and write down successes and failures. In simple terms, try to understand what made each item your list fall where it did. Then, try to figure out which are worth pursuing further/again in 2012.

2.  If you haven't already, create a new member program to deepen your relationship with these people. Many of them may have joined because of the November Bank Transfer Day. They could already be disillusioned if they haven't been hearing from you. Correct this now by convincing them that your friendly staff and comprehensive services are perfect for all their financial needs. Time is running short. The first six months of membership are crucial.

3.  What's your new idea for 2012? According to Callahan & Associates, credit unions that increased their marketing budgets in the second quarter of 2011 noted substantial increases in member growth and balance sheets. U.S. credit union marketing expenses increased 3.8% to reach $483 million. This was the fifth straight quarter of annual increases. Profitability will remain a key issue for CUs in 2012. Take a look at your promotions calendar and compare it to your membership profile. What can you do to make promotions fresh and more effective?

4.  Reposition specific products and services to answer a need. Are you trying to reach people aged 22 to 35? Did you know:

• Sixty-five percent access their account information through the Internet, while 28% use a mobile application from their bank or credit union. 
• Six percent use mobile devices to remotely deposit checks. Among those using the service, 54% use it at least once a month; 39% use it weekly. 
• Sixty-four percent said that tracking account balances is the most important feature they currently use while banking online, followed by paying bills (34%), and transferring funds (28%). 
• Seventy percent wish they could see their entire financial picture, and manage all of their finances in one place, regardless of the information source. 

5.  Stop talking about Gen Y and Gen X and start talking with them. They are highly connected with social media and the Internet. Be yourself. Be authentic. Give them reasons to engage with you by providing information they can use and easy ways for them to respond.

6.  Get to know your members better this year. Do something proactive to keep them, and foster younger members into becoming your most profitable members. Invite them to quarterly events, put polls on your Facebook page, or make a commitment to collect and use membership data.

7.  Identify one bad habit you're going to kick this year. Maybe it's overcoming a resistance to using email marketing. Maybe you'll start asking your member services staff for input at the front end of a campaign so more leads are converted to sales. Perhaps you'll study the performance reports from your campaigns, and finally be able to justify the expense (or not) because you know what is working and what is not. Maybe you'll stop being reactive or passive and get out in the marketplace acting and sounding like the winner you are.

The economy is improving, and interest in credit unions has never been higher. Make the best of your marketing landscape. We'd love to hear how you plan to meet 2012 head on.

Pinpoint Direct Marketing exclusively serves the U.S. credit union market. We provide excellent, turnkey or a' la carte creative services at a great value. Click to learn more.

No fee? Still flee?

by Margie Church

Bank of America's decision to drop its proposed debit card user fee has me wondering how credit unions will respond. The tremendous amount of negative national press has given Bank of America a black eye, yet it's given credit unions invaluable positive press. For free.  Some credit unions rushed to the unique opportunities presented by the user fee boondoggle and the Bank Transfer Day. They're communicating with members and rattling the chains of banks in their communities. 

Is your credit union going to take its "ball" and go home now, feeling the game is over? Or will you keep the pressure on to deepen relationships with your members and increase rolls because you're a better alternative?

The economy is slowly stabilizing. Consumers are cautiously spending, but they are spending. A new Bloomberg report stated this year, debit card spending in the U.S. increased 23 percent to $97 billion, and worldwide, debit card spending increased 35 percent to $62 billion. Credit card spending worldwide rose 21 percent to $469 billion from $389 billion a year earlier.* Holiday promotions are everywhere. Auto manufacturers are offering fantastic incentives to clear out 2011 inventories and they're promoting their luxury new models. Interest rates are rock-bottom low on auto loans. Many of you are promoting amazing new HELOC programs. These are all perfect ways to bring your relevant, timely, and personal messages to members and prospects alike.  Email is an inexpensive, fast way to be in touch even at year-end when budgets are spent or nearly so.

Some credit union officials have been fretting that those leaving big banks might be unprofitable members. Perhaps credit unions shouldn't be too quick to embrace them. Huh? If these people really were unprofitable, Bank of America, and others like them, would have found a different, quieter way to get rid of them long before now.** And we don't perceive these banks as the good guys just because they decided not to stick it to their clients. They just cried "uncle." Their greed will drive them to find another, less public, way to get the cash sooner or later.

Keep the heat on. Be the financial hero your community needs.

*http://www.bloomberg.com/news/2011-11-02/mastercard-profit-climbs-38-as-card-spending-increases.html?cmpid=bit 

**http://thefinancialbrand.com/20268/thinking-bofa-debit-fee-refugees-are-unprofitable-is-a-mistake/

Pinpoint Direct Marketing exclusively serves the U.S. credit union market. We provide excellent, turnkey or a' la carte creative services at a great value.

6 Ways to Bring in Black Friday Gold

By Margie Church

Tie your next promotion to a current event to increase your credit union's year-end sales goals, membership, and visibility in the communities you serve.  I'm sure you've tried the following promotions before, but what if you remodeled one especially for Black Friday or Cyber Monday? Depending on your promotion, you could start a few days prior to Thanksgiving and extend the offer until Christmas.

Put a new spin on one of these timely promos.

1. Auto loans are very hot right now. Offer a very competitive rate. Capitalize on any manufacturer incentives available for new car loans. Consider offering discounted GAP insurance, holding a grand prize drawing for a substantial gift card, making their first month's payment (including the interest), 90-days-no pay to get through the holidays, or some combination of these.
2. Skip-a-Pay, personal loan, and credit card promotions. Help shoppers feel better about managing holiday expenses by offering a skip promo. These are incredibly popular. Offer a special, lower interest rate on personal loans. Reward new credit card accounts with a cash incentive to transfer higher interest balances and save. Provide payment/savings examples for instant appeal on any loan products.  
3. Increase the dividend rate on a CD or other investment product. Have a gift tree or prize box members can select from when they take advantage of your offer.
4. Using QR codes, hold a website scavenger hunt to get members to try electronic banking services.  Make sure landing pages are formatted for mobile viewing.
5. Hold a Help Our Neighbors project. Invite community members to drop off an item or cash for the local food shelf or other charitable organization your credit union supports. Provide materials to write holiday cards to deployed soldiers. Hold an adopt-a-family promo to help ease holiday/winter anxiety for a deserving family.
6. Hold a membership drive at the branches and online. Treat new members right by waiving or matching the membership fee and deposit the money into the new member's share account. Provide refreshments and plenty of enthusiasm to whoever comes by. Let children decorate ornaments or cookies while your staff talks to the adults.

Cross-channel marketing: a must-do

A combination of electronic marketing tools with print is the best way to get your brand and your offer in front of busy people. We recommend this strategy all year long, for every campaign. Shoppers especially look for holiday bargains on Black Friday, Cyber Monday, and during Christmas week. Online sales sometimes eclipse onsite sales on Black Friday. In a September 15, 2011 article, Google predicts 15% of Black Friday searches will to be made using mobile devices (smartphones and electronic tablets). The bottom line is you can't ignore the preferred method of shopping and information-gathering for Gen X and Y: it's electronic. Whether your campaign runs for a few hours or longer, we can help you can turn Black Friday into gold.

Start your promotion with a personalized postcard, statement stuffer or letter. Include a QR code for mobile device users to respond. Follow up with an email. Use PURLs/GURLS to capture responses fast. (Did you know that when a person clicks on the PURL/GURL, their information is captured and you have a lead, even if they don't submit their information?) Landing pages must be formatted for mobile viewing. Many website and blog hosts provide this service already and with a click of a button, everything is reformatted for you.

At the branch, use banners, posters, counter cards, fliers, and buttons to grab attention from members and prospects. Use website banners to alert online bankers to your promotion.

Do you have a great campaign success story or an epic failure to share? We'd love to hear from you.

That New Car Smell

By Margie Church

The fourth quarter always has that new car smell to it. Auto manufacturers ramp up their holiday advertising schedules for luxury cars and then set their sites on Super Bowl mania. Last January, a record number of auto manufacturers spent record amounts of advertising dollars on the "game of the year." They included social media for a brilliant cross-channel mix that reached buyers of all ages and affluence.

Manufacturers are demonstrating their confidence in bold strokes. American automakers and foreign-based firms in the U.S. are putting billions of dollars into building and refurbishing plants. Ninety-thousand auto manufacturing jobs have been added in the past two years. Dealers are making more money per sale this year than they have in years.*

The holidays and the Super Bowl are going to arrive. Auto manufacturers are cuing up their ad schedules and offering incentives to clear out 2011 models to make room for 2012 beauties. Some are offering 90 days no pay options that'll take buyers through the holidays' financial stresses. TrueCar.com estimates incentives will rise 5% through year-end.

But low interest rates and manufacturer incentives aren't going to be the only hooks to get fence-sitters into your credit union.

Try a packaged offer using:

1. Appended MCIF or DP information with other sources, such as NADA data, to target the offer.
   
   We always recommend using data to make offers personal, relevant and timely. Consider reaching out to a slightly younger buyer, aged 25 through 45. These people are in their prime earning years, and new vehicles are necessary for their growing family. They want good value. A pre-approved offer will have better impact when combined with a payment example, but pre-approved or pre-qualified offers don't hold the same appeal they did when the economy was stronger.
   
   People older than this group are more inclined to resist adding new debt. Their earning years are waning, and the economy makes them consider whether the new vehicle is a necessity or a luxury. Since they are more interested in reducing their debt, target them with refinancing offers first.
2. A very competitive rate with flexible terms.
   
   The reality is that at any given time, a person could buy a car. They've been putting it off for any number of reasons, and today is that day. According to BankRate.com, average loan rates nationally are under 5% for new or used vehicles. Many credit unions are offering rates under 3%. A great rate for new, used, or refinanced from another lender, combined with excellent service will get their attention.
3. Offer additional discounts for automatic payments or another time/money-saving service your credit union offers.
4. Use branch-coding. The younger portion of this group may be buying a vehicle on their own for the first time. Reduce their anxiety by providing a name and contact information at the credit union. 

 What else can you do to bring loans in? 

   1.  Provide information they can use. Put it online. Remember this  generation is Web-savvy and uses mobile devices - smartphones and electronic tablets - with ease.

• Online application
• Electronic and mobile banking services
• Highlight the benefits of pre-approval before shopping
• Provide payment calculators
• Describe the benefits of GAP insurance
• If the credit union has a free car-buying service, promote that. These people are busy and if they can get a good deal in a stress-free way, that's appealing.
• Explain and promote CUDL financing if you have it.
• Provide information on refinancing benefits and savings.

2.       Offer a free car-buying seminar.

3.       Offer bi-weekly payments and show how much finance charges they could save.

4.       Offer 90-days no payment.

5.       Offer a prize or contest. Gas prices are still very high. If you decide to offer a gas gift card, it needs to be substantial and perhaps have only one winner. Consider a drawing for a payment holiday – the credit union makes the entire first payment.

We hope some of these ideas help you achieve your auto loan goals for Q4 and Q1.  

*Star Tribune, August 30, 2011.

Targeting Gen Y?

By Margie Church, copywriter/editor

I read recently that Gen Y is set to inherit $30 trillion dollars in the next two decades. Baby Boomers have done very well, indeed.  I also continue reading about credit unions looking for ways to reach out to Gen Y members. 

The tricky question is, how?

A credit union must understand the behaviors of its Gen Y population and cater to them. Also known as the Millennial Generation or Millennials, they have birthdates from roughly the mid-1970s to 2000. Read about their social and professional behaviors on the Internet and research them in your service area. 

As a whole, they are a tech-dependent group that scours websites like bloodhounds on a scent trail. Creating web pages that appeal to their special interests and tastes is a good place to start. Mobile banking, Internet banking, email, QR Codes, Tag, podcasts, specially created videos, etc., are tools this group isn't afraid of. They talk to each other about finances. Could holding Gen Y chats on your website be a good idea? Having a blog, Facebook, and Twitter pages? Possibly, if you give them relevant reasons to interact with you. An app could be a very good thing since mobile banking use is skyrocketing. Use age-appealing graphics, copy, and offers. (If you're not doing this across the board, you need to start. Doing so makes you more personal and relevant with any member or prospect.)

While you're looking for ways to appeal to the Gen Y lifestyle, remember some of this is an investment in their future, but possibly not yours.

What, you say?

When you think of Gen Y, are you really imagining the older end of the spectrum (around 35 years-old) or are you thinking early 20s? Breaking things down in this manner might help you realize you're already marketing to portions of Gen Y.

The younger portion of this age group is likely years away from being a profitable member. They're in school or moving around, not settled in their careers or their lives. Do these people need financial services and education? Yes. Can your CU be a great source for those things? Again, yes. However, it's no surprise the majority of these people aren't in a financial position to qualify for credit cards and other loan products. Their lack of roots in your service area has obvious implications. You can retain some of these members over time. Others will move out of your service area. Ultimately, the greatest service you might provide is the knowledge that wherever they land, a credit union is the best place to bank.

The mid to upper end of this age group is likely to be settling down. Their income is stable enough to be better loan risks and they're buying cars and homes. In other words, they are moving into the most profitable years of membership. Your credit union needs to make them aware of the benefits of membership. That's not new news. 

The market is ripe for a change in banking attitudes. Credit unions' lower interest rates and fees, coupled with outstanding services, make them an excellent choice over banks in many cases. Creating awareness among the younger portion of this group puts you in contention for their business when the opportunity arises. 

Roll with the marketing challenges and opportunities to help you bring the next group of members to your credit union. Pinpoint Direct Marketing can help you do it successfully. Put us on your creative team and get started.

We're interested to learn whether you're marketing differently to Gen Y and how. What have you learned? 

You've Got Personality!

By Margie Church, copywriter/editor

A majority of our clients are tickling their members' funny bones this year. They're interested in adding some humor to their messages instead of continuing their usual conservative approaches. There's something to be said for having successful, happy looking people in your ads, because after all, your credit union is going to make them happier, more financially successful people.

Tossing your branding strategy out the window isn't something we usually advocate, but we always look for ways to make campaigns stand out in the market. If you're competing against big banks, it's likely they're running hot and heavy on their corporate logo. It's pretty rare to see a pink flamingo on a big bank ad. But your credit union possibly could use flamingos. Changes in the economic climate may finally be giving some CUs the opportunity to break out of the shadow of their competition and go after market share. In a big way.

What's Your Personality?

Marketing innovation balances brand equity with creativity. When a client asks for a fun campaign and we delve into their concept of the word, there is always a broad spectrum of answers. 

For a CU that usually uses iconic images with very straightforward, no-nonsense copy, using images of people having a good time and short, punchy sentences are dramatic, good changes. For others, we have the opportunity to pull out all the stops and use crazy animals, silly looking people, and a host of other concepts that deliver their messages in powerful, unique ways. Clever headlines make the reader smile or laugh out loud.

Talking with us in the planning stages gives insight to a winning personality and a winning campaign. We're keen on incorporating a positive, provocative graphic and headline with key brand elements. Members get a unique promotion that grabs their attention like new tires on asphalt, and still recognize the brand they trust and respect.

Fresh or Canned?

You might be tempted to go to a one-size-fits-all, online vendor and pick something from their canned templates. Doing so accomplishes your goals of fast and cheap, but do you have the ability to personalize the piece so it resonates with your members? Does using the canned approach help you succeed in the biggest goal of all: closing the sale? I'll wager the answer is not a resounding yes.

Fresh approaches don't have to be expensive or take months to develop. We believe the ROI for a fresh approach is going to be better because you made the offer personal, relevant, and timely, not imitation vanilla.

Geek is a Good Thing

What do you think about QR Codes and Microsoft® Tag? Yes, these are the latest electronic crazes using a smartphone. The applications aren't going away. They're being refined and new ways to use them are being identified daily. In fact, according to a recent study done by Mobio Identity Systems, QR scanning
traffic in North America has increased a dramatic 4549% since the first quarter of 2010. It's no wonder a growing number of our clients are alreadyincorporating QR Codes and Tags.

Smartphones enable members of all ages to use mobile banking, QR Codes, and Tags. People aged 25 to 54 comprise 70 percent of smartphone users. Wow. That's likely to be a big chunk of your membership.  We can think of several easy, creative ways to incorporate QR Codes and Tags into your campaigns and strengthen your member relationships. That's bottom line talk. Being an early adapter could give your credit union a real boost in the perception of being on top of the latest changes—keeping ahead of the game. And when it comes to prospecting, that can't hurt at all. Your personality got a little more innovative and a lot more cool.

Freshening up your campaigns and going deeper with cross-channel marketing can help make you the kid everyone wants to be friends with. Then win them over with real value when you get them in the door. 

Click here for more info and let us know how Pinpoint can bring a little more personality to your next campaign.

Social Media Takes On the Website

By Margie Church, Copywriter/Editor

Years ago, when I first worked on websites, they were as stoic and devoid of humanity as could be. A company's website was the place to showcase your corporate wares. Personality be damned.

I am in the throes of revamping our company website, so I've been researching and thinking about the impact social media should have on the upgrade. I've concluded the "face" of Pinpoint Direct Marketing that friends and followers are experiencing in our blog, Facebook, and Twitter pages needs to better merge into our website. How to do it is the question, since the website is there to sell and the social media tools are there to engage.

The phrase "soft sell" comes to mind. It's not a new term, though a younger crowd might not be familiar with it. In essence, you're giving the reader credit for their intelligence by not hitting them over the head with the obvious, hard sell. And you provide solutions-based content. Resist the urge to have a brain dump and "talk at" the visitor. Make brevity a guide. Use a conversational tone similar to what you've been doing in social media conversations. Save some of your wisdom and experience for the conversation you expect to have with the member…where you're doing the listening.

Peak Their Interest 

Convince them you've got something they need and you're the best source to get it. The easiest way to do this is by negative comparison to the competition. That's also the surest way to turn off the reader. Consider that the member or prospect may have accounts and loans at a bank. By using negative advertising, you may be insulting their choices, not the bank's credibility. Take the extra time to put a positive spin on your message.

Quality Not Quantity

I continue to be fascinated by people following us who don’t even speak English. They do nothing remotely related to our business or industry. I can only conclude they're playing the numbers game - following and friending everyone suggested, without vetting them first. The real danger of this practice is simple, but perhaps not obvious. Your members' voices are being drowned out by everything else going on in your social media. Your messages are being gobbled up by the noise as well.

What has numbers got to do with your website? 

Testimonials are timeless.  If you can get members excited about you, their endorsements are worth far more than any clever remarks you can write about yourself. If members can see you're focused on them and what's best for their interests, you'll engage them. They'll use your website to conduct business and communicate with you. 

When your site is packaged with all your social media tools, it'll feel like one big happy family.

Have you made changes to your website to reflect social media's impact on your business?

Another Option for Electronic Marketing

Microsoft® Tag is another bar code option for tying print advertising to your customers' mobile devices. With a click of a smartphone, the Tag provides a direct link to whatever landing page you choose. Like the QR Code, Tag eliminates the need for typing a URL or SMS message.

Choosing to use Tag instead of QR Codes is a personal choice.  Tags perform the same way as QR Codes, but have a few differences.

• Color can be used in the code design, which allows more creativity. Your logo or a photo, for example, could be incorporated in the Tag design.  There are options to create highly-custom Tag; however you must weigh that against the ability to read the code reliably.

•  The free Tag Reader is the only application that can read a Tag. There are a number of applications that will read QR Codes.

• Tag can be printed smaller in size than a QR Code, conserving space.

• Tag scanning is less light-sensitive. The reflective qualities of paper can sometimes make scanning QR Codes fickle.

• Reporting analytics for Tag are gathered at the click, whereas they are gathered at the landing page for a QR Code. Analytics at the click allows advertisers to know geographically, date, and/or time the Tag was scanned.
  
  

Global intelligence leader, the Nielson Company, says 25 to 54 year-olds comprise 70 percent of smartphone users. Many of the people in that age range have stable jobs and have put down community roots. In other words, they fit the profile of your credit union. Being an early adapter of these tools indicates your credit union is savvy about meeting customers on their turf. 

Pinpoint Direct Marketing can generate the free Tag and QR Code for you, but more importantly, we develop the appropriately-formatted landing pages for them. The landing page can be changed without affecting the Tag or QR Code. We also can help you create new promotions around the codes and implement them in existing campaigns.

Which appeals to you more? Tags or QR Codes? We'll help you decide. Contact us.

Will free checking thrive or die at your credit union?

By Margie Church, Copywriter/Editor

I spend a fair amount of my day reading about business practices, trends in the financial market, emerging technologies, and all kinds of other things that help us keep abreast of the credit union market and anticipate the next best move for our clients.

Some days are real head-scratchers, aren't they?

We have some great insights to national trends, but nothing beats feet on the street. The pulse of what's going on in your neighborhood credit union. We invite you to share some of your insights with us today. 

Specifically, we're interested in your perspectives on free checking. We all know how bottom line-driven banks are. They're yanking free checking and debit card rewards programs, and fees are piling up. These days, there seems to be two options for bank customers– take it or leave it. More and more, it feels like even the threadbare "services" a bank provides are an inconvenience to them.

Who's taking it? Who's leaving it?

A recent study conducted by ACTON Marketing Intelligence, revealed approximately 93% of Americans have one or more checking accounts, and 94% of those are free. When asked the big question, how important is free checking to you?, a whopping, but not surprising, 85% said free checking is critically or very important. What's more, 92% of female respondents, and 79% of the males said free checking is critically or very important.

Makes you think, doesn't it? 

Digging deeper into the report, one learns that affluence or lack thereof doesn't matter either. Americans have a deep love affair with free checking and they're not going to give it up quietly. Fifty-seven percent said they'd switch banks or credit unions if free checking was eliminated or if fees were imposed on previously free services. The respondents would be willing to modify some banking behaviors to keep free checking, but they're clearly stating they want the choice. 

Banks have revealed their Achilles heel once more, giving credit unions yet another chance to take market share. At least that's what we think. 

But we're wondering what your credit union is doing. Are you keeping free checking come heck or high water? How is your credit union planning to cope with the inevitable loss of debit card transaction fees? Help us understand the neighborhood perspective. Because that's really where it matters. Leave a comment, please. We look forward to hearing from you. 

"The mind is like a parachute. It doesn’t work unless it’s open."