Harland Clarke Shares Insights on the Technological Landscape of Mobile Banking

Small credit unions offering the same technology as large banks have the service advantage.

Harland Clarke Logo12/11/2018

You’ve likely seen the headlines: U.S. malls are disappearing. But retail isn’t dying, it’s simply been disrupted by technology and online shopping. Much in the same way online shopping disrupted traditional retail and brick-and-mortar stores, technology continues to disrupt the credit union industry. But that doesn’t necessarily spell doom for small credit unions.

According to Strategic Link partner, Harland Clarke, technology can actually “even the playing field” for credit unions, and letting account holders know about your credit union’s best-in-class mobile deposit technology is an initial step. Harland Clarke offers turnkey direct mail programs for credit unions looking to grow mobile banking usage and increase mobile deposits among members.

“Harland Clarke offers solutions that engage members at every stage and help grow credit union revenue,” said NWCUA VP of Strategic Resources, Jason Smith. “We’re proud to continue our ongoing partnership and are excited to see how Northwest credit unions will harness their services to even further boost operations.”

According to Harland Clarke Product Manager Marketing Solutions, Rachel Stephens, the rising popularity of mobile banking is primarily due to consumer demand of an “anytime, anywhere” technological experience. While 67 percent of consumers say having a branch nearby is the top priority, 43 percent state online capabilities as the most important, and this number is expected to grow as mobile usage rises.

Because of their membership-based structure, credit unions do not have to pass along fees to account holders for upkeep of many brick-and-mortar locations, said Stephens. Although large banks claim the largest portion of millennial users (half of those under 29 bank with a large national bank), the top four leading banks are among the top 10 least loved millennial brands.

With higher mobile adoption, locations and ATMs have less sway over consumers and that convenience takes on a new definition. Instead of convenient locations, consumers want convenient account terms – like no minimum balances, better interest rates, and zero fees.

As trends continue to shift into even higher mobile usage, this will benefit smaller credit unions who according to Stephens, can offer the same online convenience as large banks, but offer lower fees and additional incentives to new customers.

There is a huge upside to mobile banking for smaller credit unions because they can now offer the same tech as the large banks, but retain what has always made them special – outstanding service.

A smaller credit union likely won’t be able to compete with a large national bank in terms of branches and ATM locations, but as more consumers move to online only banking and develop relationships with credit unions, technology becomes the industry standard across institutions of all sizes, which is better for everyone.

For more information about Harland Clarke’s direct mail solutions, contact Jason Smith, NWCUA VP of Strategic Resources. To learn more about our Strategic Link business partner Harland Clarke, visit them online.