Boosting Fee Income Can Lead to Increased Market Share
October 5, 2011
October 6, 2011
By: John M. Floyd & Associates
As financial institutions across the country continue to deal with a challenging economy and increased regulatory expectations, many are looking for a strategy to provide increased revenue. As a result, some larger institutions have begun charging their account holders for checking and other services. At the same time, consumers continue to face rising prices on food, fuel and other necessities. While this new economic reality is unlike anything most of us can remember, it presents an opportunity for credit unions to boost their income and acquire new members.
An account acquisition strategy that includes a proven revenue source, along with the tools needed to reach your targeted market in a short amount of time, will give your credit union a profitable way to grow your account-holder base.
A fully-disclosed overdraft program can increase your non-interest income from 50 to 300 percent while providing a valuable service to informed members should they make a mistake on their account or experience a financial emergency. Moreover, a top-performing program will give your credit union the much-needed revenue that allows you to continue offering free checking. This, in turn, gives you a competitive edge to grab market share from those institutions that have returned to “service charge” checking.
Are you ready to experience account growth?
As free checking services start to disappear and consumers see the impact of fees on their account, transition rates have the potential to skyrocket. The credit unions that have a well-planned account acquisition plan in place will be the ones to leverage those potential transitions to their advantage.
The JMFA Account AcquisitionSM program provides all the tools and support you need to access a larger percentage of these consumers—who are most likely currently doing business with your competitors. If you combine this program with our 100 percent compliant, fully-disclosed JMFA Overdraft Privilege® program, you will generate the revenue you need to provide valuable services at no charge, further strengthening your member relationships.
Now is an opportune time to refocus on building primary relationships around checking accounts. For more information on JMFA Account AcquisitionSM Analysis of free checking in your market, call 800.809.2307.
If you are looking for ways to grow revenue in order to maintain a healthy bottom line in these tough economic times, the Northwest Credit Union Association and JMFA can help. Register below for a free webcast on Tuesday, Oct. 25, at 10 a.m. PST to learn how you can chart a course to financial stability. JMFA is a preferred provider for the Northwest Credit Union Association. Please visit the link below to register for our free webcast. Upon registration, you will receive phone dialing instructions.
Questions? Contact Sales & Marketing Associate Craig Reed: 206.340.4789, firstname.lastname@example.org.
Posted in Advocacy News.