CheckAlt, which provides payment and item processing to banks and credit unions (CU), announced it has formed an alliance with the credit union services organization (CUSO) CU Prodigy to advance digital transformations of CU.
The company said the arrangement was specifically designed to handle loan payment processing services.
CheckAlt’s LoanPay payment processing platform enables credit unions to meet the needs of their members. CU Prodigy sought to work with them to help credit unions streamline their operations, enabling payments from any location or anytime, whether in person, over the phone at a call center, or by interactive voice response, online or by SMS.
âCredit unions continue to seek opportunities to serve their members wherever they are,â said Amber Harsin, CUDE and CEO of CU Prodigy. âWe are excited to enhance our suite of credit union services through our partnership with CheckAlt to support all of our credit unions in their commitment to provide service anytime, anywhere. “
CheckAlt CIO Ram Bajaj spoke about the challenge facing financial institutions – tackling innovation while balancing consumer demands with the needs of regulators – in an interview with PYMNTS earlier this month.
And while this tension may hamper their progress, Bajaj says the modern payments world does not allow a âdo nothingâ option, as the dual demands of consumers and regulators simply cut off that possibility.
âA lot of the big banks are going to miss out,â Bajaj said, noting that once they can get products into the hands of consumers, they have built-in benefits with their large customer base and confidence reserves. of consumers.
Credit unions are increasingly partnering with other providers to provide end-to-end services to their members. The PYMNTS Credit Union Tracker found that more than half of all CU members use credit products from their competitors.
And all of this is happening as interest in credit unions grows. The National Credit Union Administration (NCUA) estimated that 378,000 new members joined U.S. credit unions in January, up 2% from the previous year, with at least some of the growth due to people seeking financial advice.