Trusted News for Credit Union Leaders
Credit Union Times
APRIL 22, 2020 | VOL. 31 | NO. 8 | CUTIMES.COM
THE STATE OF CUBRANCHES
With the COVID- 19 crisis forcing many CUs to shutter branch lobbiesnationwide, connecting with members via remote banking tools is moreimportant than ever before. Learn how CUs are ensuring continuous, qualitymember service in the new world of social distancing in this Focus Report. Y6
Embrace new waysof thinking. Y14
Be open-mindedabout digitalinteractions. Y12
Crisis Brings Opportunities
The coronavirus crisis has created an unprecedented worst-case scenario, abruptly endingthe longest economic expansionin U.S. history and quickly morphing it into an uncertain economic morass. With innumerable business closures and nearly17 million job losses in just threeweeks, nobody knows when itwill be safe enough for companies to reopen so people can return to their jobs.
How credit unions adapt tothis new Twilight Zone realitywill be critical for their survival.The key to credit union growthand even expanding marketshare during the coronavirus crisis is to uncover realistic opportunities that will appeal to members and attract non-members intheir time of financial need.
What do major market disruptions like the Great Recession,9/11 and Superstorm Sandy havein common with the currentcoronavirus crisis?
Although the catalysts are dif-
Why Do It?
ferent, those past crises provide
valuable insights and lessons for
credit unions on
how to manage
through the CO-
VID- 19 disruption
to not just survive
but thrive for mil-
lions of members
ties that are de-
pending on their
financial cooperatives, accord-
ing to Kirk Kordeleski, Y16
frenzyofnamechang- es has inundated the credit union industry in the last two years,
and it’s a trend that doesn’t seem
to be slowing down. Two credit
union name-change consultants
explained why so many credit
unions are changing their names
these days, how those new names
are created and what it really
takes to pull off a successful name
There are four big reasons, accord-
ing to Brian Wring-
er, a web products
manager and “big
idea guy” at the In-
iDiz, which does
and websites for
Mergers are a big one, but creditunions also change their namesto avoid confusion with similarlynamed entities, and to fight perceptions of being old-fashionedor out of date, Wringer said.
But one of the biggest reasonscredit unions have been changingtheir names is that segment-basedmonikers – usually ones that include company names or specificgeographic areas – are turning offprospective members.
What’s in a (New) Credit Union Name?
argaret CrewsBaddour bought a2017 Honda CRVin New OrleansBaddour spent weeks researching cars, prices and lending options. But she had thought littleabout the “outbreak” – not yetlabeled a pandemic – when shewalked into a dealership March 9.
She recalled no one there wiping down a car, saw no special precautions and heard no mention ofthe coronavirus. She test drovethe car, negotiated a $21,800 priceand financed $15,676 through TDAuto for 48 months at 3.34%.
She flipped on NPR as she wasdriving home from the dealership.The first news to come across herradio was that the stock marketwas plunging.
“I was like, ‘Oh ... what haveI done?’ I just put down all thismoney, and I have this new bill,”she said.
Since then, credit unions havehad their own moments of swiftlychanging outlooks. Several peopleinterviewed said auto lending,
which had been healthy throughmid-March, dove afterwards asstay-at-home orders wereLENDING