Top-Level Takeaways

• A new approach to mortgages at 7 17 Credit Union includes no fees, low rates, and refinance incentives.
• Data and regional challenges shaped the strategy, with programs addressing specific community needs rather than broad national trends.
• Partnering with employers and targeting underserved urban markets helped 7 17 make the connection between stable homeownership, employee wellbeing, and long-term community growth.

The national conversation about housing affordability tends to focus on inventory, home prices, and mortgage rates. But for many would‑be buyers, the upfront costs that make a mortgage possible in the first place present an insurmountable hurdle to homeownership.

At 7 17 Credit Union ($2B, Warren, OH), addressing affordability started with questioning whether many traditional mortgage costs needed to exist at all. In response to feedback from some of its workplace partners, the cooperative launched a series of mortgage-related initiatives in 2025 aimed at supporting broader regional housing needs, including zero-fee home financing and refinancing and rate reductions. But rather than simply introducing a competitive cost structure, the new approach underscores how a credit union approach can look fundamentally different.

“It’s not enough just to talk about the difference between credit unions and banks,” says John Demmler, CEO of 7 17 Credit Union. “We wanted to create a suite of products that give clear examples of the differences. We started with the idea of housing affordability because that was a major issue in our region.”

A Mismatch In The Market

The need for more affordable housing emerged against a backdrop of broader economic pressures shaping Northeast Ohio. Demmler says household incomes in many communities the credit union serves lag state averages, leaving families particularly vulnerable to inflation, higher energy costs, and other rising expenses. At the same time, many local housing markets face aging inventory and limited availability.

The Eastgate Council of Regional Governments commissioned a housing study conducted by the Greater Ohio Policy Center to better understand housing needs in Mahoning and Trumbull counties. The study identified two significant trends.

First, demand was concentrated around one- and two-bedroom units, whereas excess capacity existed in four-bedroom homes, reflecting a shift in demographics toward smaller household sizes. Researchers also identified substantial need for housing in the $500 to $1,000 per month range, aligning with what households earning approximately $25,000 to $35,000 annually could reasonably afford.

The findings revealed another notable tension — families were increasingly seeking homes in the $300,000 to $500,000 range with access to safe neighborhoods, quality schools, and newer housing stock.

“There’s a need for attainable housing, but there’s also a need for quality housing,” Demmler says.

The housing study reinforced what 7 17 had already discovered through conversations with employers and community partners and hinted that its previous investments might not go as far as planned.

“We had made a $100 million commitment to affordable housing starting around November 2024,” Demmler says. “We thought that commitment would carry through 2030. I think we’ll blow through that $100 million several years before 2030.”

“Your Keys, No Fees”

The need for affordable housing isn’t just a family issue; it shows up in the workplace, too. Demmler says employers are starting to connect a stable home life with workforce performance, turning housing affordability into an employee financial wellbeing issue.

“Owners want employees with a financially secure home life,” he says. “When they’re not worried and stressed, they’re more productive at work.”

Armed with this understanding, the credit union considered how it could meaningfully address regional housing needs, household budgets, and homeownership barriers. The answer was a mortgage with no out-of-pocket closing costs, available exclusively to workplace partner employees.

7 17 launched “Your Keys, No Fees,” roughly a year ago. Although eliminating many traditional mortgage fees sounds counterintuitive to ensuring sustainability and long-term financial health, the math tells a different story.

“We earn all of the fees back in about three months through normal interest income,” he says. “If we’re holding a mortgage for 10 years, it’s not too much to ask to give up three months of interest income to break down barriers to homeownership.”

The CEO takes the argument a step further.

“I would challenge every bank, every mortgage company, every financial institution to realize they don’t need to charge these fees either,” Demmler says. “If anyone is getting a mortgage, they should demand they pay zero closing costs, because it’s not needed.”

A Broader Play On Affordability

Interest spread quickly, bringing new energy to the cooperative’s SEG program and allowing it to recruit larger workplace partners.

“Our average workplace partner has maybe 75 employees,” Demmler says. “But recently we’ve brought on some really large ones: Akron Children’s Hospital, Stark State College, Youngstown State University, and Kent State University.”

And, today, 7 17 has expanded its strategy beyond eliminating fees.

“In Northeast Ohio, a lot of urban markets were supported by industries that don’t exist today,” Demmler says. “These cities have been hollowed out over several decades, but we know cities represent the lifeblood of the region. We wanted to do something to strengthen our cities.”

The cooperative expanded its housing initiative, offering a 1% reduction on qualifying mortgage rates to borrowers purchasing homes within the city limits of Warren, Youngstown, Canton, or Akron.

It also expanded into refis to give families more room in their household budgets.

“Mortgage rates went from below 3% to closer to 7%,” Demmler says. “If you bought anytime from 2022 to today, that’s a more challenging monthly payment.”

Homeowners refinancing with 7 17 today can take advantage of a 1% reduction from their existing mortgage rate, down to a floor of 4.99%.

“And we’re not going to charge you a nickel to do it,” the CEO adds.

For Demmler, these offerings are less about growing mortgage volume and more about changing expectations.

“If we can make every bank in Ohio stop charging fees to get a mortgage, then that would be an incredible accomplishment,” he says.

A Holistic Approach

Housing affordability served as 7 17’s starting point, but Demmler says the credit union never intended the strategy to operate in isolation. Instead, it became part of a broader “Ohio Strong” campaign, which includes products that help members navigate household pressures, from auto expenses to savings behaviors. The common thread is less about individual products and more about designing solutions around the financial realities members face every day.

“It’s not enough to have one gimmick product out there,” Demmler says. “You have to look at the whole need of your membership and make sure what you’re offering is relevant and meaningful.”

That philosophy influences how the cooperative thinks about success. Traditional metrics such as loan growth and membership expansion still matter, but Demmler says the credit union’s larger objective is to create products that change the conversation about what financial institutions should provide.

“When the products and services that we put out fundamentally change the expectations of what people want out of banking and moves the needle for other financial institutions to offer better products, then we know we’ve had meaningful change,” the CEO says.

Ultimately, 7 17 built this mortgage initiative to solve a public need first and allow business growth to follow. For credit unions considering similar efforts, Demmler suggests starting somewhere other than product design.

“Seek out first the public need that you’re trying to address,” he says. “Seek that first, and all the rest is stumbled on.”

Member engagement begins with employee empowerment. When employees feel financially secure at home, they show up differently at work — and credit unions like 7 17 are building products designed around that reality. The Member Engagement & Financial Wellbeing Consortium helps credit unions activate the internal shift that turns mission-aligned strategy into measurable member outcomes. Learn more.

The post Keep The Mortgage. Ditch The Fees. appeared first on CreditUnions.com.

Top-Level Takeaways

• Outcomes, not good intentions, better determine where work belongs in an institution.
• Narrowing focus areas can help a foundation gain clarity without sacrificing purpose.
• Financial education has a greater impact when people have access to tools and real-world application.

Financial education initiatives aren’t neutral. The credit union industry rarely talks about it this way, but balance sheets and data do.

At Wright-Patt Credit Union ($9.6B, Beavercreek, OH), leaders identified a clear pattern across its financial learning programs. Members who participated in that learning engaged more with the credit union. Deposits grew, loan balances shifted, and relationships deepened.

“Intentionally or unintentionally, financial learning became a pipeline into the credit union,” says Ivy Glover, director of community impact and development and executive director of the WPCU Sunshine Community Fund.

This created an opportunity for additional clarity and cohesion. Foundations are designed to give without expectation of a return. Credit unions, on the other hand, want to responsibly grow. So, what happens when a product or service does both? To answer that, Wright-Patt examined what it offers as developmental and what it offers as philanthropy.

“There’s overlap that should exist,” Glover says. “But there’s also overlap where we can provide more clarity.”

3 Questions To Rethink

Internally, the WPCU Sunshine Community Fund Board, senior leadership team and community development staff began examining the credit union foundation through a new lens.

“We started talking in terms of swim lanes rather than driving lanes, meaning there’s some fluidity,” Glover says. “Where does it make sense for the foundation to operate in a way that flows into the credit union and vice versa?”

To build cohesion and clarity as well as make a greater community impact, the credit union considered three essential questions:

1. 1. What do we want the foundation to represent or achieve over the next five years?
   2. Why would the foundation need to be a passthrough for nonprofit partners and neighbors?
   3. How can the foundation support execution of the mission and purpose for the credit union?

Ultimately, the group settled on a shared outlook.

“Programming should live under the credit union, and giving should live under the foundation,” Glover says.

Today, the credit union is figuring out how to make that outlook a reality.
Don’t stop here. While Wright-Patt Credit Union works to clarify the line between philanthropy and development, Marine Credit Union is intentionally blending the two. Read more in “How Marine Credit Union Shifted Its Foundation From Siloed To Symbiotic.”

From Strategy To Operational Changes

New strategies tend to take time to come to fruition. After WPCU clarified its outlook for the credit union and the foundation, however, it made some immediate changes. It narrowed the Sunshine Community Fund’s eight wellbeing focus areas to four and stopped pursuing major external funding to avoid competing against the very community partners it seeks to support.

“Our primary revenue resources come from are our employees, our members, and the credit union itself,” Glover says.

Today, a new model is emerging where the foundation functions as a funder, whereas the credit union increasingly handles delivery and engagement.

In three years, Glover envisions the credit union’s community development specialists and coordinators engaging with community partners, SEG organizations, and business partners while the foundation focuses on providing grants, investments, and funding for nonprofit partners. It could also support scholarships, housing initiatives, and, potentially, cover the costs to develop and distribute tools like the Pocket Money Mentor, a self‑paced workbook that helps build practical money habits around spending, saving, borrowing, and planning.

The Effect On Financial Education

The new approach means neither Wright-Patt Credit Union nor the WPCU Sunshine Community Fund has to eliminate programs. However, programs might evolve or move.

This is especially true when it comes to financial education.

In the past, the foundation handled WPCU’s Money Magnifier curriculum, a K-12 financial literacy program that aligns with state standards. After the credit union hired a community development coordinator to work directly with schools to manage student educational engagement, it blended the model. Today the foundation funds the development and provision of the curriculum and resources in community, and the credit union partner-employees use the resource to teach students directly.  The new structure takes into account the increased likelihood students will want to access WPCU products, such as checking accounts or auto loans, and provides an environment in which the coordinator can talk about it.

“We want to have the flexibility to pair the educational tools with real-world application and resources,” Glover says.

A Little Gray Is A-OK

Balancing purpose and impact for the credit union versus its foundation can be difficult, but this duo views the work as just another way to serve their community more effectively and efficiently while giving each organization a clearer role.

WPCU’s shift remains a work in progress, and given the diversity of missions and intended outcomes among credit unions and their foundations, Glover says there’s no one single structure that translates cleanly across institutions.

“No matter what structure you choose, there’s always going to be some gray area,” Glover says.

Glover doesn’t see that as a problem, however, because the core of the movement doesn’t change.

“At the end of the day, both entities exist to fulfill WPCU’s purpose and mission,” she continues. “The approach to making impact might look different, but helping people and the community live financially well and being there for them at every step is what we’re all here to do.”

The post The Line Between Growth And Impact Was Blurry. Wright-Patt Decided To Redraw It. appeared first on CreditUnions.com.

Those developments come as the industry’s average member age remains in the mid-40s, and credit unions of all sizes search for ways to attract young members and hold them over the long haul.

From First Account To Adulthood

In 2025, SchoolsFirst Federal Credit Union ($36.7B, Tustin, CA) had more than 139,000 members who were age 17 or younger. That’s a triple-digit increase of 142% since 2010. Even better, the credit union has tracked that cohort’s engagement upon reaching adulthood and has noted a steady uptick in participation and engagement that rivals its average adult member.

SCHOOLSFIRST FCU MEMBERS WITH 4 TO 7 PRODUCTS
FOR SCHOOLSFIRST FCU | DATA AS OF 2025
SOURCE: SCHOOLSFIRST FCU

Young members of SchoolsFirst FCU have two youth account options, depending on their age. Those up to 12 years old may join the credit union’s Junior Varsity Club, whereas 13- to 17-year-olds may join the Varsity Club.

Parents generally open youth accounts when children are approximately 6 years old, although enrollment is balanced across all age groups. Regardless of age, the credit union offers age-appropriate products and services for each cohort, such as the College Saver Share Certificates and a Youth Debit Mastercard with spending and withdrawal limits. A whopping 69% of Varsity memberships carry the youth debit card, with 53% of those members actively using it.

A full 87% of youth memberships are opened in the branch, but the credit union notes a growing number of youth membership application coming in across digital channels, including online and mobile. To bolster that growth and highlight its youth offerings, the cooperative is producing web content, print materials, educational workshops, and more.

Once the credit union signs up a young member, it offers financial workshops as well as online and mobile services to serve them as they grow into adulthood. It also leans on modern communication platforms, including social media video, to connect with young members on channels they prefer.

SchoolsFirst FCU builds its youth-to-adult engagement model around four key areas:

• Early Financial Education And Workshops — This includes money management, in-school events, digital and print resources, and more.
• Youth Products — From youth debit cards to savings accounts and beyond, SchoolsFirst FCU supports all its youth products with education, resources, and guardrails like ATM usage limits to encourage responsible use.
• Parental Engagement — Those overseeing the accounts have guidance on different product tools and features, best practices to support youth financial development, and more.
• Automatic Transition To Adult Membership — This step at age 18 ensures continuity and minimizes friction to preserve member relationships. It also provides immediate access to checking and debit products, savings tools, credit-building opportunities, and more, with no new onboarding required.

No Substitute For School

Jeanne D’Arc Credit Union ($2.2B, Lowell, MA) has operated in-school branches since 1997 and currently runs three, the newest of which has been in place for a decade. The credit union tracks member engagement for those who start their accounts as students and reports 80% are still active 15 years later.

What does that engagement look like? The cohort holds more than a single savings account, and credit union leaders are digging into whether those members have taken out loans and how their participation has changed over time.

“We build their trust and get them at the start of their banking relationship,” says Robin Lorenzen, chief marketing officer. “They trust us because we were there when they were growing up.”

Jeanne D’Arc recruits high school branch managers to engage with the students, teaching the basics of banking and writing scholarship recommendation letters. It also offers student interns class credit for working the in-school branch. Those interns also help spread the word about the credit union.

Even with modern digital banking and financial education tools, Lorenzen says there’s no replacement for the in-school branch experience and classroom-based financial education.

“They’re engaged on multiple levels because we’ve come to them instead of trying to get them to come to us,” she says. “We’re meeting them where they are, and those high school branches create a unique relationship with the students.”

“This generation wants to do it themselves, but they want somebody there when they need help,” she says.

But branches alone aren’t enough, Lorenzen adds. The credit union also has a six-person financial education team that supplements the in-school branches and teaches in the classroom. Those multiple touch points reinforce themselves over time, building a relationship with the students that leads to trust and long-term engagement.

The credit union provides in-person support and builds relationships through high school branches. As those members age out, they know they can still turn to a branch when they need help, but they also know how to navigate online banking and self-service resources.

The growth of self-service channels in the past 15 years has been instrumental in forging long-term engagement, Lorenzen says, because graduating students know they don’t need to find another bank or credit union after high school.

“They know they can still bank with us,” the CMO says. “That trust is there, so they take us with them.”

Lessons Learned

To replicate the success of SchoolsFirst FCU and Jeann D’Arc, both credit unions say it’s important to understand this a long-term commitment to member development, not short-term product growth.

SchoolsFirst FCU also says its crucial to empower front-line staff to act as advocates for members. Thoughtful questions paired with the right solutions, not a focus on pushing products, builds trust early and establishes the foundation for a durable relationship.

For Jeanne D’Arc, maintaining touchpoints with students is key. This includes the in-school branch as well as the classroom, student activities, Reality Fairs, and more.

Equally important? Try to keep it light.

“In high school it’s not all about selling and teaching,” Lorenzen says. “There are ways to bring in the kids to interact, whether it’s trivia or giveaways or something like that. It’s not always about banking; it’s about connection.”

The post 2 Tactics To Increase Young Member Engagement appeared first on CreditUnions.com.

Top-Level Takeaways

• Differentiation comes from thinking beyond traditional banking norms.
• Credit unions can systematically create “wow” moments, but it must be part of the cultural.
• AI and engagement data is changing how credit unions measure emotional experience.

It’s a typical day at the office for Mike Dobbins when he picks up the phone to make a call.

“My name’s Mike Dobbins,” he says. “I’m the CEO of Alliant Credit Union, and I just wanted to call and wish you a happy birthday today.”

A voice on the other end pauses for a moment then replies, “Are you serious?”

“I am serious,” Dobbins assures.

“Are you really the CEO?”

“I am really the CEO.”

What follows is a brief conversation between the cooperative’s leader and one of its nearly 1 million members. At its conclusion, Dobbins is sure to tell the member that their relationship with Alliant Credit Union ($20.3B, Chicago, IL) matters to him and wishes them well.

Dobbins says he makes these calls as often as possible, not just for birthdays, but for other life events, too.

“As someone who started my career as a branch manager, I always remember the power of that personal touch,” Dobbins says. “Standing there when people come to the door, shaking their hand, learning about them — those things are powerful. We are digital-only in the sense that we don’t have branches, but we want to have great humanity.”

Indeed, as an early adopter of a digital-only model, Alliant has learned that removing branches doesn’t remove the expectation for connection. It’s a challenge that has pushed the cooperative to rethink everything from product design to staff training to how it uses data. Ultimately, it aims to not only serve members but turn them into advocates.

“You’re probably not going to tell a friend, ‘Here’s my debit card.’ But you might tell your friend, ‘I bank somewhere where people call me on my birthday,’” Dobbins says.

Operationalizing “Wow”

According to Dobbins, to succeed as a digital-only institution, two things must be true.

“Your digital can’t just be good, it has to be pretty much everything,” he says. “But the most important piece is delivering ‘wows’ every time you get a chance. I use the term ‘beautiful’ in our strategy document because that’s what it has to feel like. You want that Tiffany bag experience.”

It starts with creating compelling products. The goal is to provide a seamless, visually appealing experience that consistently delivers quality.

“Customer expectations are shaped by experiences like opening an iPhone,” Dobbins says. “Everything is intuitive right out of the box. That’s the baseline. It has to be reliable.”

After onboarding, Alliant focuses on guiding members toward the ways they can use those products.

“Give members the tools and everything they need,” Dobbins says. “Then, use those high-value interactions, such as when you’re giving advice, to over-index on the wow factor.”

In fact, one of Alliant’s five strategic pillars is “Wow Servicing.”

“We have things like a Wow Lab with about 20 people in it every day experimenting with different ways to deliver high-touch experiences,” Dobbins says, “We experiment a lot, figure out what works, and when we come up with good ideas, we push them back out across the organization and encourage people to adopt them.”

For example, one employee who manages desktop computing suggested sending branded tennis balls with handwritten notes to members after hearing barking regularly in the background of calls. It’s exactly the kind of unexpected moment Alliant seeks to create. Employees also routinely make note of things like birthdays, anniversaries, illness, and other life events and then send physical greeting cards out to those members.

“If you walked into our contact center today, you’d find a mini Hallmark store,” Dobbins says.

For Dobbins, that kind of attention to detail must permeate the culture.

“You want people thinking about how to do things better and how to delight members,” the CEO says. “I’m just trying to lead by example.”

Data-Driven And Delightful

Of course, it’s not all just good vibes. A strong data architecture and a data insights team supports Alliant’s strategy.

“We measure everything,” Dobbins says. “If something doesn’t look right, we dig into it, figure out what’s wrong, and fix or improve it.”

Today’s advanced tools have only helped Alliant double down on insights. For example, it uses AI to examine contact center call transcripts.

“If we have 10,000 calls tomorrow, AI can analyze all of them, identify sentiment, determine how many were great or delightful interactions, and detect patterns or recurring issues,” Dobbins says. “We don’t have to wait to understand where we need to step in and improve.”

That discipline has helped Alliant turn insight into action. Today, net promoter scores are high, membership grew 2.48% from year-end 2024 to year-end 2025, and loans increased 4.11% during the same period.

“My objective for Alliant is to become one of the most recommended financial institutions,” Dobbins says. “Recommendations come from emotive experiences. I like to experiment. I’ll call people on their birthday to see if it creates a powerful reaction. I’ll call when someone opens a new account. If someone reaches out on LinkedIn or sends me an email, I respond to it myself because I want to learn.”

The CEO says the key is to look beyond financial services for inspiration and embrace unconventional thinking.

“Little things — things that bring joy and humanity — make a difference,” he says.

The post No Branches? No Problem! Alliant Delivers The Cooperative Difference Digitally. appeared first on CreditUnions.com.

That realization landed with force for Tracy Verner, community development manager at Alltru Federal Credit Union ($392.5M, Wentzville, MO). After years of watching members absorb financial education but remain boxed out of the system, she began pushing the cooperative to rethink what real progress looks like — what financial empowerment looks like.

“Financial empowerment is information combined with access,” she says. “Many financial institutions offer well-meaning financial literacy — workshops, gamified apps — but it’s still just information. We’re doing an injustice if we provide information without the tools to apply it.”

The philosophy has changed the way the St. Louis cooperative operates, from product design to employee training. The result? Stronger culture, deeper partnerships, and helping more people who otherwise might have remained unbanked.

Gaps And Barriers

To truly empower members, it’s necessary to understand the barriers they face and examine who the credit union is not yet serving.

“If you’re truly committed to empowerment, it’s your responsibility to provide access,” Verner says. “Credit unions were built on inclusion, so ask: ‘Who’s being left out, and why?’”

An early experience in Verner’s credit union career underscored to her the importance of doing things differently. Speaking with a workshop attendee after an event, Verner learned the woman couldn’t open a checking account.

“I was floored,” Verner says. “She had steady income working for the city of St. Louis but couldn’t access a checking account. This was before fintech tools like Venmo or Cash App. She was receiving paper checks, and when the city stopped issuing them, she was forced onto a prepaid card with fees.”

Verner met with her boss and learned the woman had an incident in her ChexSystems report that barred access to checking. In these kinds of screening systems, even a single overdraft charge can easily turn a short-term issue into a multi-year obstacle. At the end of 2025, approximately 6% to 7% of U.S. households were unbanked, according to Bankrate, largely because of prior banking problems.

So, Alltru turned ChexSystems off.

“This was before the Bank On movement even reached St. Louis,” Verner says. “Altru was already questioning those barriers. Leadership was already asking why.”

Don’t stop here. The community development manager at Alltru FCU turned in her barbells for bank accounts and is building access one account at a time. Read more in “Tracy Verner Is Breaking Barriers In St. Louis Finance.”

Expanding Access Without Increasing Risk

Opening access at scale shifts responsibility inside the institution and can raise questions about risk management, making effective collaboration with finance and compliance teams essential.

“Our compliance manager tracks outcomes closely,” Verner says. “We’ve found people flagged in ChexSystems do not show higher fraud or delinquency rates. The data simply doesn’t support the perceived risk.”

Alltru regularly evaluates programs and purposefully keeps guardrails flexible. For example, the credit union noticed an issue involving fraud through ATM deposits among its youth workforce program. So, it pivoted.

“Instead of shutting it down, we increased our fraud education efforts, reduced ATM withdrawal limits, and added monitoring,” Verner says. “We didn’t stop the program. We refined it.”

Alltru takes the same creative approach to lending. Traditional secured loans tend to rely on upfront cash or collateral. That’s a barrier for members without savings. Alltru’s credit builder loan removes that requirement, although it doesn’t release funds immediately to reduce risk while still helping members build credit. In practice, however, early usage indicated Alltru needed to recalibrate the loan.

“Initially, it was $1,000 over 12 months,” Verner says. “We realized some members couldn’t handle that.”

Today, the Missouri cooperative offers loan options as low as $300 because even $30 every month can help members without creating excess financial strain. Alltru has also gradually leaned into relationship lending, and half of its first-time auto loan borrowers don’t have a credit score.

“You start with good intentions,” Verner says. “Then you refine based on real needs.”

Empowerment As An Organizational Mindset

Financial empowerment starts with understanding the consequences of credit union decisions. Verner spends time in the community working alongside nonprofits and listening to members outside the branch to identify where well‑intended policies still limit access.

“Being in the community, working with nonprofits, seeing real challenges brings up more questions,” she says. “It forces you to ask why.”

Of course, asking why only matters if it changes how people make decisions, which is why financial empowerment at Alltru also rests on a shared understanding of what it means to struggle, how strain shows up in everyday life, and who needs support.

“The rising costs of housing, groceries, and auto loans have impacted everyone,” she says. “This isn’t someone else’s problem. This is about our neighbors, families, and even our coworkers.”

That awareness changes decisions, from product design to flexibility at the margins. As a credit union focused on empowerment, Alltru is willing to look for ways to preserve access instead of restrict it.

Forward-thinking credit unions are leading with financial wellbeing. Alltru FCU’s evolution from education to true financial empowerment reflects a broader shift across the industry. The Member Engagement and Financial Wellbeing Consortium, led by Callahan & Associates in collaboration with Gallup, helps credit unions embed financial wellbeing into strategy, product decisions, and culture. Through shared insights and peer collaboration, participating credit unions are aligning around what drives real member confidence, engagement, and long-term growth. Learn how the Consortium is helping credit unions turn empowerment into measurable impact.

The post Why Financial Empowerment Matters More Than Financial Literacy appeared first on CreditUnions.com.

Federal poverty level (FPL) guidelines vary by household size but rely on a single national baseline for the continental United States, regardless of wide differences in local cost of living. Only Alaska and Hawaii have separate guidelines. Additionally, although the FPL is adjusted each year for inflation, the underlying methodology and assumptions used to calculate the poverty guidelines date back to the 1960s and have not been fundamentally reworked to reflect modern spending patterns and economic realities. Today, essentials such as housing, healthcare, childcare, and transportation comprise a far larger share of household budgets than they did back then.

To address this gap, the United Way of Northern New Jersey developed a way to capture the households that earn more than the federal poverty level but still struggle to afford basic necessities. The ALICE (Asset Limited, Income Constrained, Employed) framework calculates a Household Survival Budget based on the localized cost of basic necessities such as housing, childcare, food, transportation, healthcare, technology, taxes, and more for every county in the United States. It then compares that budget with household income sourced from the U.S. Census Bureau’s American Community Survey to establish the ALICE Threshold and provide a more accurate picture of financial hardship.

According to the 2025 State of ALICE Report, the cost of household necessities plus taxes greatly outstrip FPL guidelines. Thus, households below the ALICE Threshold must make difficult decisions every day. They often earn too much to qualify for public assistance but not enough to comfortably afford necessities like groceries, car repairs, and medications, placing them between a rock and a hard place.

SHARE OF U.S HOUSEHOLDS ABOVE AND BELOW ALICE THRESHOLD
FOR U.S. HOUSEHOLDS | DATA AS OF 2023
SOURCE: United Way, U.S. Census Bureau

Strategic Insights

• The K-shaped economy continues to define the post-COVID landscape. According to Axios, 59% of all consumer spending in the United States comes from just the top 20% of income earners.
• Money markets reflect this inequality as well. Bloomberg claims the top 1% of U.S. households now hold close to one-third of the nation’s wealth, the highest level since World War II.
• Widening inequality helps to explain deteriorating consumer sentiment; many people simply have not seen improvements in their standard of living. The University of Michigan Survey of Consumers expects consumer sentiment to fall to all-time lows of 47.6 in April 2026, driven by stubbornly high inflation expectations and the Iran conflict.
• When money stops making sense, people suffer a crisis of financial confidence. That’s when financial nihilism can take hold.
• According to JD Power’s March Banking and Payments Intelligence Report, 68% of U.S. consumers are considered financially unhealthy with one-third expecting their financial situation to worsen over the next three months. The vast majority have changed spending habits, purchasing less expensive grocery items or even less food overall.

What Can Credit Unions Do?

• In Tucson, a handful of credit unions have paired up with their state credit union association’s foundation to make housing more affordable. Read more today.
• DuGoood Federal Credit Union is strengthening local households through a workforce partnership that combines products, education, and philanthropy to support job training and technical education. Read more today.
• Holy Rosary Credit Union is giving young people a leg up before they enter the workforce and establish their own households. Its career and technical education program offers scholarships, internships, and courses eligible for college credit. Read more today.
• Nuvision Federal Credit Union’s Added Advantage program tracks member engagement across the credit union, then rewards relationships through better pricing and other perks, easing the stress some households face. Read more today.

The post 42% Of U.S. Households Experience Financial Hardship appeared first on CreditUnions.com.

Most young people don’t choose their first financial institution. They inherit it from their parents, walk into the branch down the street, or choose whatever account is easiest to open at the time.

Six years ago, Excite Credit Union ($618.1M, San Jose, CA) decided not to leave that relationship to chance. Instead, it set a goal that every child would have a savings account, reshaping how it approaches youth banking and even establishing Excite Foundation to realize that vision.

“A foundation makes a lot of sense,” says John Hogan, executive director of Excite Foundation. “It allowed us to expand our reach, create a vehicle for external funding, and work with automatic enrollment opportunities.”

In 2020, the foundation launched its signature program: College in My Future. Every year, it automatically enrolls approximately 600 incoming first graders in San Jose’s Franklin-McKinley School District in a savings account they can access after turning 18. The program aims to start building college savings early, particularly among underserved families who might otherwise delay or lack access to those tools.

Inspiration For Early Wealth Building

The foundation modeled College in My Future in part off a playbook published by Prosperity Now, a nonprofit focused on economic equity and wellbeing, and the City of San Francisco’s Kindergarten to College program.

“This ties into the broader children’s savings movement, which has been around for more than 15 years,” Hogan says. “Learning from others is key. You don’t need to reinvent the wheel.”

Upon enrollment, the program includes a $50 seed deposit from the foundation. There is also an annual deposit match, which is typically $25 or $50, depending on funding. Importantly, these are not bank accounts; they are ledger accounts, internal records the foundation holds to track balances on the student’s behalf until they access funds later.

“We don’t collect Social Security numbers or tax IDs,” Hogan explains. “That’s one reason you can’t scale this model with traditional bank accounts. You need more information to open those.”

This method removes certain barriers to access that identity requirements can present. It also reduces regulatory friction and protects the credit union from housing hundreds of dormant, inactive accounts.

Excite Credit Union also supports early savings through its Step Up Savings program, which matches deposits at key milestones. Whereas College in My Future focuses on broad access and automatic enrollment, Step Up Savings offers a more traditional, opt-in pathway for families. Read more today.

Inclusion Is Easy. Engagement Takes Work.

A primary measure of success for the program is parent engagement, determined by how many parents have claimed their child’s account or whether they’ve started contributing on their own. According to Hogan, engagement is 20%-30%.

“With automatic enrollment, the benefit is inclusion, but the downside is that parents don’t always know about the account,” the executive director says.

The foundation has introduced incentives to encourage stronger engagement  this. For example, parents receive a bonus when they find their account online and create login credentials.

The foundation also goes directly to parents for feedback.

“We recently implemented a parent advisory group,” Hogan says. “It includes seven moms — five native Spanish speakers and two native Vietnamese speakers. In this school district, about 60% of families are Hispanic and about 24% are Vietnamese, so representation is important.”

This council of local moms advised parents are more likely to engage if communication comes from the school. So, the foundation now often sends communications through the school’s parent portal.

“The school will send a message saying, ‘You’re going to receive communication from Excite Foundation. Be sure to check it.’ That’s helped move engagement closer to 30%,” Hogan says.

The Excite Foundation also mails home paper statements, using school district envelopes that include the logos of both entities. These communications provide a translation in Spanish or Vietnamese in addition to English, which Hogan says has further increased engagement and driven more inbound calls.

Relevance In A Crowded Landscape

Perhaps even harder to address than engagement is the fact College in My Future is not the only early college savings program, leaving parents to sort through competing messaging.

In 2022, California launched a program called CalKIDS, which provides $500 to low-income public school students. This accounts for approximately 85% of the school district the Excite Foundation supports. The federal government is also launching its own program under Tax Code Section 530A, commonly known as “Trump Accounts.” These provide $1,000 for children born in certain years, with additional funding coming from philanthropic sources like the Dell Foundation.

“That raises the question: is our program still needed?” Hogan asks. “We’ve continued, but we now spend more time talking about CalKids than our own program because we want families to access $500, not just $50.”

Thankfully, all these options do not have to be mutually exclusive.

“One limitation of CalKids is that parents can’t contribute additional funds,” Hogan says. “Our program could complement that.”

CalKids also functions more like a 529 plan with restrictions on qualifying expenses. Despite its name, College in My Future does not.

“Our program used to be restricted, but based on feedback from our parent advisory group, we removed those,” Hogan explains.

Now, when children turn 18, they can use the funds from their Excite Foundation accounts for anything, not just education expenses.

In 2023, Excite Credit Union and Excite Foundation received separate grants totaling a $1 million from California’s ScholarShare Investment Board (SIB) to continue to raise awareness of early childhood savings. Looking ahead, Hogan says he hopes to identify more ways to consolidate options and maximize impact.

The post Excite Foundation Breaks Down Barriers For Children’s Savings appeared first on CreditUnions.com.

Completed in 2021, the Texas cooperative’s headquarters is a monument to modern sustainability, with water capture and reuse, solar panels, and geothermal energy. The three-acre property offers 52% more square feet of space than the old HQ at a 90% reduced utility cost, using roughly the same amount of water as two families of four. The building has drawn enough interest to warrant its own website, offering a behind-the-scenes look at its design and performance, and the credit union regularly hosts tours for stakeholders, students, and community groups interested in sustainable development.

Credit Human’s 200,000-square-foot headquarters building spans 12 floors. It includes four levels of parking and supports 500 employees.

Two “living walls” of plants greet staff and visitors on the first and fifth floors of Credit Human's HQ. The credit union reclaimed most of the wood used in the building from buildings in San Antonio.

The building uses 97% less potable water than a typical commercial building. Tanks above and below ground can hold 140,000 gallons of rainwater, which the credit union filters and uses to flush toilets and irrigate.

Going Green From Construction To Culture

Sustainability is a key focus at Credit Human — the credit union has worked since 2019 to reduce its greenhouse gas emissions by 81% — yet the catalyst for the new HQ came down to operations.

Before moving into its current building, Credit Human operated two corporate offices in San Antonio. Leadership needed a unified footprint and additional space as the organization grew, turning their sights toward downtown. After a lengthy search, it selected a new address: 1703 Broadway.

That location, however, wasn’t just about square footage. Credit Human developed the building in partnership with Silver Ventures as part of a broader Class A office complex known as the Broadway Office Development. The site sits adjacent to Pearl, a 23-acre mixed-use redevelopment built on the former Pearl Brewery site just north of downtown San Antonio, one of the city’s most visible examples of urban revitalization.

Public-sector collaboration played a key role in bringing the project to life. The City of San Antonio and Bexar County provided financial support for infrastructure improvements, including upgraded intersections, expanded sidewalks and bike lanes, new green spaces, and a public parking garage. Credit Human also partnered with the San Antonio River Authority to incorporate low-impact development strategies that filter and manage stormwater runoff before it reaches the San Antonio River.

Although the building boasts cutting-edge features, leaders emphasize that its innovation lies in the way its systems work together.

“The majority of the technologies that we have in this building are 10 years old or more,” says Francisco Manon, senior manager of support services at Credit Human. “But making multiple building systems work together under one coordinated design hadn’t been done to this degree in the region.”

That level of integration introduced real-world friction during construction. Manon and his team navigated challenges with city inspectors who were unfamiliar with some of the interconnected systems, and the project — like nearly everything else at the time — faced pandemic-related supply chain delays.

Yet the greatest obstacle wasn’t technical. According to Beth Keel, sustainability programs manager, the real work was in getting stakeholders to think differently.

“The biggest challenge was a cultural change rather than technical,” she says. “We needed to help stakeholders move from thinking ‘we’ve always done it this way’ to asking what’s possible.”

One person already on board with the new approach was CEO Steve Hennigan.

“This is something our CEO started talking about six years before we started designing or selecting a property,” Manon says. “He wanted to do whatever was theoretically possible in this building.”

When it came time to move employees into the building, the organization adopted a deliberate onboarding process to teach employees how to operate in their new workspace, from sorting trash, composting, and recycling to eliminating single-use plastics and even removing vending machines and soda.

Keel continues pushing that cultural shift with ongoing education.

“I do lunch and learns every quarter,” she says. “We bring in partners like CPS Energy or SARA, the San Antonio River Authority, to educate our staff not only on greenhouse gas emissions but also what’s possible for their own homes and communities.”

Manon echoed that employee engagement is essential. Sustainability investments won’t perform as designed if the people using the building don’t participate.

Sustainability Is Good Financial Sense

Operating green isn’t just good for the environment, it can benefit the balance sheet, too. The same systems that reduce emissions also reduce operating costs, which creates a path for more investment.

“We have proved that not only is it good for the environment, but it makes financial sense,” Manon says. “We created a revolving fund and reinvest all the savings we produce with these kinds of investments into more projects.”

Manon ties the approach to measurable targets and long-term planning. For example, Credit Human has an organizational goal to reduce its emissions based on previous buildings up to 75% by 2030.

The financial framing also shows up in projects beyond its own headquarters.

“We’re installing solar arrays even in the new financial health centers, which normally are leased space,” he says. “We know we’re going to recoup that investment in six to seven years.” Looking ahead, Credit Human is in the design phase of a 100-year-old building in New Orleans, where the credit union believes it can target net zero despite the complexity of renovating a historic structure.

A Continued Ripple Effect

In addition to encouraging lifestyle changes among its staff, Credit Human has rolled out eco-friendly products for members.

The cooperative has a sustainable home lending program focused on geothermal, solar, water, and other home upgrades and has helped match homeowners with trusted companies, which leaders describe as a “high point” borrowers point to. As Credit Human invests in sustainability, leaders argue that members are poised to benefit.

Closer to home, the impact of the headquarters extends beyond its walls. Since opening, the Financial Health Center at 1703 Broadway has recorded increased foot traffic, new member accounts, and deposit growth as well as helped expand community partnerships. The building also includes a community room available free of charge to local nonprofits, reinforcing its role as a shared resource within a rapidly developing corridor.

Ultimately, Credit Human’s headquarters is an example of sustainability as an operational strategy rather than a marketing move. The building’s specs are impressive, but the team’s most significant insights for other credit unions are more about execution:

1. Don’t cap ambition by designing to the minimum standard and build for integration.
2. Plan for a culture change and invest in employee engagement.
3. Frame the ROI like a long-term owner, not a short-term builder.

The post Credit Human Redefines ‘Green’ In The Heart Of Texas appeared first on CreditUnions.com.

CDFIs are mission-driven institutions focused on expanding access to affordable financial services in underserved communities. Certified by the U.S. Treasury, these institutions can be credit unions, loan funds, banks or bank holding companies, or venture capital funds. CDFI certification allows these institutions to access grants and funding that support lending, housing, and small business development.

A total of 362 credit unions, or roughly 8.2% of the industry, carry the CDFI designation, based on data from Callahan & Associates. Because this data relies on the 5300 Call Report, it reflects year-end reporting institutions but does not include Puerto Rican cooperativas; these are categorized by the CDFI Fund as credit unions but do not report to the NCUA. It also does not capture first quarter mergers or the newest CDFI certifications. As a result, this figure differs from the most recent CDFI Fund totals reported in January. According to Stacy Augustine, president of CU Strategic Planning, a Callahan company, the total number of CDFIs is currently in flux due to the ongoing recertification process and delayed updates from the CDFI Fund.

“The number of CDFI-certified credit unions is a bit of a moving target right now,” Augustine says. “The CDFI Fund has not released an updated list for several months, and we expect the next release to show a change in totals because the Fund has been processing recertification applications for all CDFIs.”

Despite the fact CDFI credit unions represent a relatively small share of all U.S. credit unions, they collectively serve 18.3 million members representing 12.6% of total membership nationwide. CDFIs credit unions are broadly distributed and span the full range of asset sizes, challenging the perception that mission-driven institutions are limited to smaller, community-based credit unions.

CDFI CREDIT UNIONS BY STATE
FOR U.S. CREDIT UNIONS | DATA AS OF 12.31.25
SOURCE: CALLAHAN & ASSOCIATES

• CDFIs credit unions operate across 44 states, with the highest concentration, 33 credit unions, in California. These credit unions have a broad national footprint despite relatively low overall counts.
• The top five states account for nearly 20% of all members served by CDFI credit unions.
• CDFIs span a wide asset range. Berean Credit Union ($191K, Chicago, IL) has less than a million in assets, whereas Suncoast Credit Union ($19.7B, Tampa, FL) has nearly $20 billion, reinforcing that scale does not limit mission-driven impact.
• Distribution across size bands remains balanced, with 246 credit unions reporting less than $500 million in assets, 116 reporting more than $500 million in assets, and 78 reporting more than $1billion in assets.

MEMBERS SERVED BY CDFI CREDIT UNIONS BY STATE
FOR U.S. CREDIT UNIONS | DATA AS OF 12.31.25
SOURCE: CALLAHAN & ASSOCIATES

• Florida leads all states with 3.7 million members served by CDFI credit unions, followed by California at 2.3 million.
• Despite their total count, CDFIs credit unions serve more than one in eight members nationwide, underscoring their role.
• Overlap with other designations is significant. A full 94% of CDFI credit unions are also classified as a low-income credit union (LICU) and 97% hold multiple designations.

CDFI support built for credit unions. CU Strategic Planning is the leading provider of CDFI certification, grant writing, and compliance support for credit unions. By helping more than 200 credit unions achieve CDFI certification and securing more than $1 billion in grants, the company has empowered credit unions to fulfill their mission of serving low-income and underserved communities. Learn how CU Strategic Planning can help your credit union achieve success in community development.

The post CDFIs By The Numbers appeared first on CreditUnions.com.

For the past 20 years, Holy Rosary Credit Union ($487.1M, Rochester, NH) has operated a career and technical education (CTE) banking program at Spaulding High School through the Richard W. Creteau Regional Technology Center, pairing classroom instruction with an on‑campus branch. This year, enrollment is at full capacity. There’s even a waitlist.

But it wasn’t always that way.

The New Hampshire cooperative made some changes due to the impact of COVID. Because the program relies heavily on hands-on instruction, a staffing gap and lack of in-person instruction put its future at risk. Five years ago, Carlynne Pouliot, who was at the time assistant vice president of financial services, stepped in to rebuild the program. Today, it’s on firmer footing.

“It’s really evolved in the past four years,” Pouliot says. “This is our most successful year since the pandemic.”

According to Pouliot, who is now vice president of retail and business development, student feedback and a deeper relationship with school administration has helped strengthen the program. The biggest factor, however, was finding the right teacher.

“I have the best students,” says Kayleigh Erwin, who has run the program for two years. “Yes, they can be a little silly. Of course, they’re high schoolers, but they are still hardworking.”

Real World Experience Is The Differentiator

Sometimes, the best way to learn is by doing. HRCU’s flagship course is Banking & Financial Support Services, a year-long course that blends financial literacy with workforce development.

In the classroom, students cover personal finance topics such as budgeting, saving, and investing while also learning about banking regulations and working with members.

“The first month is learning cash handling, confidentiality, and our teller system,” Erwin says. “Even if they don’t go into banking, it’s usually their first customer service experience.”

The on-campus branch is open three days a week, and each student is assigned one shift per week as a part of their instruction. There, they handle real member transactions with the same systems tellers use in all HRCU branches. Additionally, students in the Hoy Rosary banking program have the opportunity to earn college credit.

“Students in the tech center can earn three free college credits, so this helps them save money,” Erwin says.

Last year, Erwin worked with Great Bay Community College, submitting her credentials and curriculum for approval. Now her class counts as ECON 225 Personal Finance (worth three credits).

Pouliot says this helps to further connect academics with real-world careers.

“Research shows students who earn college credits in high school are more likely to enroll, stay enrolled, and graduate,” she says.

Students in the year-long program can also earn a $750 scholarship from HRCU based on their performance.

Students who might not want to commit to a year-long class have the option to take Introduction to Banking. This eight-week feeder course for the main program covers the same personal finance topics but offers a more general overview of banking concepts and industry basics, such as the history of the credit union movement. The shorter format lowers the barrier to entry and has proved to be popular.

“It increased enrollment,” Pouliot says. “Next year we expect 20 students, split into two classes. We have already filled next year’s program.”

Student Growth. New Opportunities.

The program’s growth and popularity has enabled HRCU to offer an expanded extended learning opportunity (ELO) this year. This advanced, individualized experience is designed to allow select students to take full ownership of branch operations.

“One of our students this year will be an intern next year running the branch for a dedicated class period,” Pouliot says. “She’ll have a job description role responsibilities. We’re fully confident in her skills.”

Responsibilities include opening the branch, managing a cash drawer, and handling day-to-day operations on their own. The role also extends beyond the classroom, incorporating a paid internship component during both the school year and summer.

What sets the ELO apart is it’s fully self-directed.

“There is no curriculum,” Pouliot says. “We create a job description, they come into the role, and then they self-operate. They have to connect back to the ELO director about their training, their experiences, and the projects they’re working on.”

The credit union trusts these students to operate at a professional level, making this the highest tier of responsibility within the program and a direct bridge to workforce readiness. Moving forward, HRCU hopes to expand this offering to accommodate more students in the future.

Enrollment and participation are important success metrics for these courses, however HRCU also monitors branch usage, account openings, and how effective the program is as an opportunity to help students adapt into the career world.

In regard to that last item, the credit union has multiple success stories, including one from several years ago in which a former student stuck with banking and eventually returned to work at HRCU as its consumer lending manager. According to Pouliot, they remain in the industry to this day after moving to a different state.

More recently, a student who graduated from the program last year as a senior is now working full-time in the credit union’s main office.

“We also hired a part-time student from our program last year,” Pouliot says. “He’s in his junior year of high school, so he works with us every Saturday.”

Evolution Based On Student Voices

Perhaps the biggest reason the banking program is so popular is the fact that student feedback plays such a major role, not just in how HRCU structures classes but in how it approaches youth banking overall. This year, HRCU established an annual volunteer student focus group open to all students.

Pouliot says it’s been an invaluable resource.

“Every piece of data we’ve got from those focus groups we’ve put into play,” the VP says. “Now, marketing and I can present to our executive team about how we can restructure our teen accounts based on the feedback we’re receiving from those focus groups.”

Student insights support services, too, not just products. For example, students told HRCU they wanted to know more about budgeting, so the credit union is hosting a seminar on the subject in May just for them. Erwin says there’s a strong interest in how savings and credit work, and she receives several questions about how students can get the most out of their money. She also says students are a lot more engaged than some might think.

“There’s a misconception that students aren’t motivated, but that couldn’t be further from the truth,” she says. “They want to learn, attend college, and give back. They challenge themselves. They hold jobs while balancing CTE, clubs, and volunteer work. They are working.”

Hands-On And All-In

Pouliot says HRCU’s banking program relies heavily on participation from credit union leadership and strong integration with Spaulding High School and the surrounding community.

“Our board is hands-on,” she says. “We have our chair of the board, our vice chair of the board, and another board member who attend the focus groups. When we do donations at the school, the board comes.”

The credit union also hosts panels with employees from different departments so students can see different career paths that are available.

“We invite the business program, the marketing program, and our banking program,” Pouliot says. “It’s a well-rounded panel.”

The value of a strong relationship with school administrators also cannot be understated.

“Anytime we have challenges, we go to the school administration,” Pouliot says. “There’s a director of the CTE and she really helps us create our partnership. We work together as one big team.”

HRCU even attends open houses and orientations for incoming eighth graders, and credit union staff are regulars at events like fundraisers and sports games.

Concern for community is one of the industry’s cooperative principles, and it’s one HRCU emphasizes when working within the school. For example, after learning how many students rely on a local food pantry, the credit union and its student participants began making regular contributions, including organizing donations and physically helping stock it. Students also attend community events the credit union is involved in.

“They’re giving back to their peers, and they value it,” Pouliot says. “They embrace the community impact of the credit union, and that’s huge.”

Next-Gen Members. Next-Gen Relationships.

Early engagement can build relationships that last a lifetime. Callahan Webinars highlight real-world stories of credit unions that have turned youth programs into long-term member relationships. Explore the catalogue today.

Learn more about Callahan webinars

The post Inside An In-School Model That Links Classrooms With College And Careers appeared first on CreditUnions.com.