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.”

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.

Consumer credit card debt rose by 116% year-over-year in 2025, according to a 2026 study from WalletHub. A full 78% of that increase came during the fourth quarter. With gas prices up more than 30% since the start of the Iran war and other prices expected to remain high, consumers could be reaching more for their credit cards in the months to come.

TOTAL OUSTANDING CREDIT CARD DEBT (ADJUSTED FOR INFLATION)
FOR U.S. CONSUMERS | DATA AS OF 12.31.25
SOURCE: WALLETHUB

STRATEGIC INSIGHTS

• At $1.33 trillion, total credit card debt is only slightly lower than its $147 billion peak in 2008.
• From a credit union industry perspective, credit card loan growth closed out 2025 at 3.41%, according to data from Callahan & Associates. That’s well below the fourth quarter 2022 peak of 15.88% but in line with historical norms since the Great Recession.
• Adjusted for inflation, average U.S. household credit card debt topped $11,561 at the end of 2025, a 2.3% increase from the prior year.
• The average member balance at credit unions was $3,403 at year-end. Some of that difference could be tied to lower interest rates at credit unions, which compound into comparatively lower balances over time.
• The rise in credit card debt is augmented by increases in the BNPL space. According to a PYMNTS series, 38% of credit union members say they would use BNPL if their credit union offered it. That figure nearly doubles for millennial and Gen Z members, nearly half (48%) of whom say they’ve already used outside providers like Affirm, Klarna, and others.
• It’s unclear how many credit unions currently offer in-house BNPL solutions. A March 2024 study from PYMNTS and Velera found just 1.5% of credit unions offered the service.

The post Consumers Are Financing The Future Any Way They Can 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.”

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

Top-Level Takeaways

• Digital tools and affordable platforms lower the accessibility barriers that often prevent members from starting an estate plan.
• Financial literacy programming and one-on-one coaching help members overcome the discomfort of talking about death, inheritance, and financial planning.
• Multi-generational banking under one institution benefits families, too, especially during transitions for caregivers.

It’s not called the Great Wealth Transfer for nothing.

According to research and consulting firm Cerulli Associates, $124 trillion in assets is set to shift hands by 2048. The lion’s share of that — as much as 81% — will flow from the Silent Generation and baby boomers to, mostly, Gen X and millennial heirs.

Tom Montilli, chief operating officer at Harvard Federal Credit Union ($1.2B, Cambridge, MA), says it’s a major life change set to impact members regardless of which side of it they’re on.

“We see a lot of responsibility in making sure our members are financially healthy and prepared for these major life events,” Montilli says. “That’s where we know the greatest need will be over the next decade, and we want to make sure we’re well-positioned to help them through it.”

There’s a common misconception that wealth transfer matters primarily when dealing with significant assets. According to data from the Federal Reserve, the average inheritance in the United States is $46,000 to $58,000 per household; however, large, wealthy estates heavily skew this figure. In reality, 70% to 80% of U.S. households never receive an inheritance. For households that do, the amount is often quite modest, with the bottom 50% averaging less than $10,000.

Still, according to Montilli, that money matters.

“Any inheritance deserves care and planning,” he says. “Something is always better than nothing.”

ESTIMATED WEALTH INHERITANCE THROUGH 2035
FOR U.S. HOUSEHOLDS | DATA AS OF 2023
SOURCE: CERULLI ASSOCIATES, U.S. CENSUS BUREAU, IRS, SOCIAL SECURITY ADMINISTRATION

What Keeps People From Making A Plan?

When it comes to estate planning, some communication is better than nothing, too. But that’s not happening.

A Fidelity Investment study released in 2025 concluded that a full 35% of parents 55 or older don’t want their children to know how much they’ll get. A 2024 Catalyst Advisory’s study estimates only 14% of American adults have had detailed, meaningful conversations about inheritance; 36% have never discussed it at all.

“Families don’t like talking about death or money, and combining the two is especially uncomfortable,” Montilli says. “There’s also the sense that it feels overwhelming or complex just to get started, and sometimes there’s a false sense of security like maybe someone else has taken care of it.”

Perceived complexity and stigma often prevent members from taking the first step, but a lack of dialogue can raise the risk of damaged relationships, financial confusion, and legal disputes over assets.

“They see this monumental task ahead of them, but even starting with basics like a power of attorney helps tremendously down the road,” Montilli says.

Ditching The Traditional For Digital

A few years ago, Harvard FCU addressed some of these barriers through a partnership with Gentreo, an online estate-planning platform founded in part by a Harvard alumni. The service helps users create, manage, and securely store the legal documents needed to organize their affairs. Instead of working directly with an attorney, users complete guided online questionnaires that generate legally valid estate-planning documents tailored to their them.

“The cost model allowed us to subsidize it for many members,” Montilli says. “Even at full price with the credit union discount, it’s about $100 a year, but depending on the relationship, that could be $50 or completely free. It was about making this affordable and lowering that barrier to entry by keeping things simple.”

Harvard FCU continuously promotes this service to its members. There was strong adoption in the beginning, but Montilli says there’s still a long ways to go.

“We want to do more through education and communications to help normalize the conversation and give people guidance on how to start the process,” he says.

Today, Harvard FCU’s partnership with Gentreo extends beyond its digital vault to in-person education resources. The credit union’s community engagement team offers several webinars and workshops about estate planning in general as well as what tools are available and how to use them.

Montilli says the credit union typically times these events around major holidays, when multiple generations are more likely to come together.

Expanding Investment And Advisory Services

Another key piece of Harvard FCU’s wealth transfer strategy is personalized investment services, which it offers through a broker-dealer partnership. Members can sign up for appointments both in-branch or through Zoom.

“With many large investment firms, if you don’t have a million dollars in invested assets, it’s hard to get true one-on-one attention or guidance,” Montilli says. “Again, our goal is to make these services accessible to all members. We believe someone with a $50,000 inheritance deserves the same care and attention.”

The chief operating officer says it’s important members know they don’t have to act too quickly. Priority No. 1 is simply securing the money. From there, advisors encourage them to take a breath and wait until they’re in a less emotionally charged place.

“That’s when you make better decisions,” Montilli says. “There’s no rush, but it is important to start.”

Connections For The Long-Term

With a growing number of families set to experience this shift in the coming years, Montilli says credit unions are in the exceptional position to “right-size” traditional estate planning so any member can benefit.

“This is where credit unions have always been strong: providing personal service and one-on-one guidance regardless of affluence,” he says.

An increasingly top-of-mind focus at Harvard FCU is encouraging multiple generations to bank together within the same institution. There are clear balance-sheet benefits to this, but it also means easier financial oversight, shared account access, and smoother transitions for caregivers. Montilli says the goal is to establish long-term trust.

“One advantage of being not-for-profit is that we don’t have to look at these conversations through a sales lens or quarterly quotas,” he says. “We’re thinking about relationships that span decades.”

The post The Great Wealth Transfer Is Also A Relationship Transfer appeared first on CreditUnions.com.

Top-Level Takeaways

• Investing in early education builds relationships before balances, but engagement is about user experience as much as curriculum.
• Low‑risk, experiential tools reinforce abstract instruction.
• Measuring long‑term impact requires patience and intentional analytics

Cardinal Credit Union is using fintech to improve how high school students learn about investing.

Cardinal ($358.5M, Mentor, OH), which teaches financial education in six area high schools, was on the lookout for more ways to engage with students. Part of its eight-week curriculum includes a module on investing. Rather than just teach the concepts in an abstract way, a fintech partnership allows some students to get hands-on experience.

Many credit unions offer investment resources aimed at young adults and mid-career members with an eye toward retirement planning and wealth building. Fewer programs tailor investment strategies to those just entering adulthood. That could be a mistake. A late 2022 study from CFA Institute Research and Policy Center found many young adults are already investing and eager for more opportunities.

Cardinal’s financial education curriculum targets high school juniors and seniors, and all students open an account with the credit union in the first week of the program as part of a module on money-management, budgeting, security, and more. Students also have access to the credit union’s app, and those students who are 18 years old can access the fintech Bits Of Stock through the app once the investment module begins.

The credit union’s debit rewards program offers rewards points, explains Cardinal CEO Christine Blake, which students can then use to buy small bits of stock through the app.

“We don’t want them to use their own money because it’s supposed to be a teaching moment,” Blake says. “This minimizes the risk because they’re using the reward points as they invest in these fractional shares.”

Cardinal has pre-selected a dozen or so stocks that users can select. Some are big names — think Apple, Amazon, and Disney — and some are companies headquartered close to the credit union’s market. Cardinal’s instructors provide classroom guidance on how to pick stocks and the students may also access tutorials built into the app.

Users don’t receive any dividends, since they’re only investing in fractional shares. Keeping users’ own money out of the equation and focusing on debit rewards points helps keep things low-risk while still hands-on.

Soft Launch

Approximately 1,000 students have open accounts through Cardinal’s financial education programs. About a quarter of those account holders are old enough to be eligible for investing, and only a portion of those are using Bits of Stock. Blake says that’s expected, as the credit union only rolled it out in early 2026.

In fact, the CEO says, “soft launch” is the better term. The formal rollout will come sometime this summer, when the full membership will gain access to the fintech.

Those who have used it so far have been enthusiastic, Blake adds.

Although would-be investors must be at least 18 years old to use a brokerage account, leadership is examining whether the credit union can still be in compliance if a student younger than 18 can use the service through a joint account with an adult. After all, Blake notes, many 17 year olds are also taking the class, and Cardinal wants them to have the same educational experience.

For the first year, Blake says, account holders can make investments exclusively through debit rewards points. Cash-based investments will follow, but leadership wants to wait at least one year to monitor usage trends before opening up that option.

It’s also planning to monitor longer-term analytics, including whether the investing service helps retain members and whether those accounts grow over time. It will take at least three years of data to have a representative sample, Blake says, and five years might provide a better view.

“We’ll be looking at different phases to set up our dashboards accordingly so we can track it all,” she says.

Lessons Learned

The experience has served as a reminder that there’s no substitute for a great user experience — with this product and all others.

“The students move quickly,” Blake says. “Everything has to move very smoothly for them to want to use a product. That’s across the board for all youth. They’re used to things working smoothly, quickly, and efficiently, with a great member experience.”

And, she adds, it’s been a reminder that young members really do want financial education.

“The educational piece can never be understated,” Blake says. “Just as we always suspected, there’s definitely a need and a desire for the education.”

The post At Cardinal Credit Union, Small Investments Offer Big Financial Lessons appeared first on CreditUnions.com.

U.S. households love rewards programs. According to a 2025 survey by Deloitte, such programs not only drive loyalty and boost brand engagement but also increase perceived value, a sentiment shared by 80% of those polled.

Nuvision Federal Credit Union ($3.9B, Huntington Beach, CA) put a simple, cooperative spin on incentives with Added Advantage, a loyalty program the credit union rolled out in 2017.

“Many financial institutions reward individual products, like a checking account or loan, but we wanted a program that recognizes the overall relationship,” says Tom Sweet, senior vice president of marketing for the credit union. “The more business a member does with Nuvision, the higher their score. The higher their score, the higher their benefits.”

What Do Members Really Want?

Sweet says Added Advantage emerged from Nuvision’s broader effort to evolve from a product-focused model to a relationship-based member experience.

Once the idea took shape, the credit union spent roughly a year to plan, model, and test the program before bringing it to market. During that time, teams worked on design as well as operational processes to support the program across digital and branch channels.

“One of the biggest challenges was designing a system that balanced simplicity for members with meaningful incentives for deeper engagement,” Sweet says. “Another challenge was operational readiness, ensuring our systems and staff training were aligned before launching the program broadly.”

Although Sweet and his team created the program, he describes its development as a continuous, multi-department effort.

“Executive leadership supported the strategic vision of the concept, whereas front-line teams provided important feedback on what members value and how the program would work in day-to-day member interactions,” he says. “We wanted the program to be easy to understand while still accurately reflecting the strength of a member’s relationship with the credit union. That required thoughtful modeling around scoring, benefits, and long-term sustainability.”

Since its introduction, adoption has been strong and steady.

“Members appreciate that the program is free to join and that benefits are tied to everyday banking activities they are already doing,” Sweet says.

Simplicity With Meaningful Incentives

When members opt-in they receive an Added Advantage score, which increases as they use more Nuvision products or services.

“It is similar to a FICO score that provides better rates with higher scores,” Sweet explains. “The more a member banks with Nuvision, such as maintaining deposits or financing loans, the higher their score becomes.”

As the score increases, members unlock additional benefits, including lower loan rates, higher certificate interest rates, and cash-back incentives on loans.

The credit union combined digital communications and traditional marketing campaigns for the program’s rollout, although Sweet says support from branch and contact center teams is an essential part of the ongoing awareness strategy.

“Front-line employees were and continue to be key ambassadors for the program,” the SVP says. “They help members understand how the program works and identify opportunities to increase their score by expanding their relationship.”

Today, Nuvision measures success through a variety of key performance indicators, including enrollment and participation, growth in multi-product relationships, and deposit and loan balances.

“Ultimately, the most important measure is whether the program helps members deepen their relationship with Nuvision over time,” Sweet says.

As deposit and loan growth becomes more competitive, those deeper relationships can have a direct impact on balance sheets, not just member experience. For example, Nuvision’s asset growth accelerated notably in recent quarters to reach 18.48% in the fourth quarter of 2025. Meanwhile, loans grew 15.4%, more than double the 6.0% peer group average for credit unions of a similar size. Nuvision’s ability to sustain higher growth supports the idea that member engagement is strong.

Ditch The Gimmicks

Looking ahead, Sweet says Nuvision sees Added Advantage as a long-term platform rather than a static offer. It’s designed so the credit union can continuously enhance the program with new benefits and partnerships over time.

Nuvision Credit Union’s Added Advantage rewards program emphasizes relationship depth, encouraging members to build a broader connection with the credit union rather than rewarding individual transactions.

Added Advantage benefits at Nuvision FCU tie member engagement to higher certificate yields, loan discounts, and cash incentives.

“As member behavior and financial needs evolve, the program can adapt to ensure rewards remain relevant and valuable,” Sweet says.

For credit unions seeking a similar program for membership, the marketing leader says to start with the member relationship, not the reward.

“The most successful loyalty programs aren’t about points or gimmicks,” he says. “They’re about encouraging behaviors that strengthen the relationship between members and the credit union.”

It’s also important to invest in member education early, especially when communicating the financial value the program offers.

“If members can easily understand the program and see the impact on their financial lives, adoption and engagement will follow naturally,” Sweet says.

The post A Rewards Program That Relies On Relationships, Not Usage appeared first on CreditUnions.com.

New data from Vanguard shows retirement readiness actually declines by generation, with baby boomers being the least prepared. That’s a troubling trend for credit unions serving older members. Meanwhile, younger workers are pulling ahead thanks to smarter plan design, escalating savings rates, and earlier access to quality investments.

RETIREMENT READINESS BY GENERATION
FOR U.S. HOUSEHOLDS|DATA AS OF 11.04.2025
SOURCE: VANGUARD U.S. RETIREMENT OUTLOOK

Strategic Insights

• Just 40% of baby boomers are on track to maintain their standard of living in retirement. For those who fall short, the gap averages $9,000 a year, which represents nearly a quarter of retirement spending needs.
• By comparison, 47% of Gen Z is on track to maintain their standard of living in retirement. That gap is $3,000 a year.
• It’s a worrying sign that no cohort has a majority of members ready for retirement, pointing to a systemic readiness gap rather than a planning issue prevalent among individual generations or people.

Credit Unions And Retirement Support

• Helping baby boomers, and the generations that follow, with financial planning and education can go a long way toward moving the needle of retirement preparedness. Specially designed products and services don’t hurt, either.
• In 2022, InTouch Credit Union($808.5M Plano, TX) expanded services for those nearing or in retirement. “A common misunderstanding is that financial planning for retirement ends the day you stop working,” says CEO Kent Lugrand. “In reality, it continues long after.”  The credit union uses a variety of channels — such as seminars, one-on-one counseling, and digital resources — to deliver information in a way that works for all members. Read more.
• In 2025, Golden 1 Credit Union ($21.1B, Sacramento, CA) was named No. 1 on Money.com’s “Best Banks and Credit Unions for Seniors.” Its Golden Prestige package for members 62 and older includes free checks, no monthly maintenance fees, up to 10 free cashier’s checks a month, access to a notary, and 30,000 surcharge-free ATMs. Read more.
• Michigan Legacy Credit Union ($214.4M, Wyandotte, MI) works to make sure members keep their hard-earned savings with a program that helps spot potential for financial exploitation before fraudsters can wipe out accounts. Read more.
• Hanscom Federal Credit Union ($1.8B, Hanscom AFB, MA) offers fun, free interactive challenges via an escape room concept that bring financial concepts, like how to plan for retirement, to life. Read more.

Don’t stop here. Retirement readiness isn’t just about saving more, it’s about helping members feel supported and confident in the decisions they make over time. The Member Engagement & Financial Wellbeing Consortium, powered by Callahan & Associates and Gallup, equips credit unions to take mission-aligned, data-informed actions that change member perceptions and behaviors — driving stronger member financial wellbeing and sustainable, profitable growth for the credit union. Schedule a conversation with Callahan’s program facilitators to learn more. Request a conversation.

The post How Prepared Are U.S. Workers For Retirement? The Answer Is, ‘Not Well.’ appeared first on CreditUnions.com.

A member doesn’t call to say their credit union changed their life. They call because something went wrong — a car accident, a declined card, a business on the brink. At Lake Trust Credit Union ($2.7B, Brighton, MI), those moments are where member stories begin and where the work of capturing them really starts.

The Michigan cooperative made telling member stories a key pillar of its 2019 rebranding effort. Creative + Brand Director Megan Green says the goal is to use real member experiences to show what the credit union stands for rather than what it sells.

“The goal is to inspire possibilities and empower our membership through the voices of our members themselves,” Green says.

Today, anyone can browse more than two dozen stories on Lake Trust’s website. Stories often involve members who are giving back locally, overcoming financial barriers, or growing small businesses. It’s a way for Lake Trust to show how it helps real members reach their goals. And with purpose at the forefront, the credit union measures success by emotional resonance and authenticity, not conversion alone.

Organically Sourced. Selected With Intention.

Lake Trust doesn’t source member stories through a single formal pipeline. It learns about most stories through word of mouth from front-line teams. Business development managers flag impactful moments they witness in the community while relationship centers and contact centers share meaningful member experiences.

“Storytelling is ingrained into our culture,” Green says. “We often make it a practice in our meetings, especially large ones, to kick off our conversations with our why, our member stories.”

When selecting what stories to pursue, the brand and creative team starts by examining the credit union’s overarching goals.

“For example, a younger member named Kadence came in thinking she wouldn’t be able to get a car loan,” Green explains. “That story aligned because we’re trying to reach Gen Z to help them understand what a credit union is and that they have power over their financial lives.”

Lake Trust gave Kadence two options: a larger loan with a co-signer or a smaller amount she could finance on her own. Green says independence mattered to Kadence, so she chose the second option.

“The story wasn’t about making more money for Lake Trust,” Green says. “We could have pushed the bigger loan. It was about doing what was right for the member and supporting her financial goals.”

Watch it now. Kadence is a high school student whose grandparents have been Lake Trust members for many years. Her story starts on the road, en route to her part-time job at an animal shelter. Watch Kadence’s story on laketrust.org.

In addition to goals, the team at Lake Trust considers geography when selecting member stories.

“Our membership is Michigan-based, but we’re concentrated in the lower third of the state,” Green says. “We also have three branches on the west side that don’t always get as much attention, so sometimes we’ll say we need a Holland-specific story. We’re actually working on one right now.”

Even when the right story and location align, capturing the story is not always easy. It can be difficult for individuals to open up about their financial lives in one-on-one situations, let alone on record for a larger audience to see.

“The challenging part of getting members to tell their stories sometimes is vulnerability,” Green says.

That means the pool of stories to tell narrows depending on members’ comfort on camera and willingness to share.

“A great example is a member of ours named Michael Meza,” Green says. “He wasn’t shy about sharing his struggles, because from those struggles he found triumph.”

Meza was in recovery after falling victim to the opioid epidemic, and the financial impact of his addiction made it difficult for him to get help from bigger banks. That’s when Lake Trust did what credit unions do best: step in when other institutions won’t.

“He has since became a counselor himself, and he recommends Lake Trust to his clients because he knows they’ll be treated like people,” Green says.

Watch it now. Personal perseverance and community support can help anyone write a new chapter in their story. With the help of Lake Trust Credit Union, and after overcoming personal challenges, Michael Meza is now helping other people rewrite their stories, too. Watch Michael’s story on laketrust.org.

The Small Business Message

Because Lake Trust frequently collaborates with the local business community, member stories are far from limited to personal financial journeys. One story the credit union launched earlier this year centered on a local retailer called Brass & Oak.

“It’s a great story because it took advantage of one of our products, but more importantly, it also benefited from a sponsorship we had for an event downtown where our headquarters is,” Green says.

Inspired by Gilmore Girls, Brighton’s second annual Destination Stars Hollow event drew roughly 50,000 visitors to Main Street last September. Still, credit union leadership recognized that kind of foot traffic alone wouldn’t guarantee success for local merchants.

“Some small businesses might not have the funds to take advantage of that opportunity,” Green says. “So, we offered our small businesses a microloan within our product suite to help them stock up for the traffic coming through their doors.”

Brass & Oak was one of several businesses that used credit union financing to build inventory and meet the surge in demand tied to the event. For Lake Trust, that combination of access and visibility reflects its broader brand promise of “multiplying positive impact.”

Watch it now. Jennifer R. had an ambitious dream as a young child: She wanted to own a business. Lake Trust Credit Union helps her live that dream as the owner and founder of Brass + Oak, a clothing boutique in downtown Brighton. Watch Jennifer’s story on laketrust.org.

Another business-focused story highlights Bleu Bowtique, founded by a man named Ne’Gyle B. who started selling men’s fashion out of the trunk of his car. Lake Trust supported his growth by helping him tap into a small business grant from the Federal Home Loan Bank of Indianapolis and later amplified his visibility with a billboard placed just blocks from his storefront.

“People start to make that association: This is Ne’Gyle, a small business owner in our community, and he banks with Lake Trust because Lake Trust empowers him,” Green says. “It creates this ecosystem of community togetherness, which is one of the goals of our stories.”

Watch it now. Style guru Ne’Gyle is on a mission to put his city back on the map as a fashion Mecca … with a little help from Lake Trust Credit Union. He stocks limited-run articles of clothing and creates high-quality handcrafted bow ties shoppers can’t find anywhere else. Watch Ne’Gyle’s story on laketrust.org.

Media Capabilities

It’s worth noting that Lake Trust’s member stories wouldn’t be possible without significant investments on the credit union’s part.

Last year, the Michigan cooperative acquired Mixer Media, a Brighton-based production company the cooperative had partnered with for years. Mixer continues to serve its existing client base, but it now also functions as Lake Trust’s in-house media team, significantly expanding the credit union’s video and photography capabilities.

Once Green and the creative team select a story, Mixer Media handles most of the production process, from scheduling and interviews to photography, videography, editing, and story packaging.

“Then, we go through the writing iterations, the video edits, and the photography curation,” Green says.

The credit union shares drafts with members before publication and briefs them on where their stories might appear. Distribution spans owned and paid channels alike, including website features, streaming platforms, digital campaigns, and community-facing visuals.

“It’s a wide range of placements, all supporting brand awareness,” Green says. “We’re not selling a product. We’re lifting up member experiences so people understand who we are and what we do.”

Mixer Media also extends its impact by adding value for Lake Trust’s business members. The CUSO offers free 30-minute consultations to small businesses and entrepreneurs seeking guidance on social media, photography, and content strategy.

“When the tide comes in, all ships rise,” Green says. “We want everyone to succeed, and we recognize media as a necessary part of small business success.”

Authenticity As A Strategic Edge

This is just the beginning. Looking ahead, Lake Trust plans to expand its storytelling capabilities.

“This year, we’re partnering with a new agency to help take us to the next level,” Green says. “Now that we have our playbook, what’s the next step? How do we take member stories and that empowerment message even further and deeper? We’re excited to see some evolution in the Lake Trust brand.”

A big focus for the cooperative will be tailoring story elements based on audience behavior. For example, someone shopping for a car might see a different angle of the same member story than a small business owner.

For Green, this evolution reflects the credit union’s continued journey toward its broader goal: using authentic storytelling to create meaningful connections between what Lake Trust does and who it serves.

“Being able to pour resources and my energy into this is what gets me excited about what I do,” the brand and creative director says. “We’re not selling a made-up story of how a member can thrive. These are actual members. These are actual moments where they needed a financial services organization to have their back.”

Your members’ stories belong here. Join fellow credit unions in uplifting the everyday moments that define the movement. Add your member story and help spark a ripple of inspiration across the industry. Submit a story today.

The post How Lake Trust Turns Member Experiences Into Brand Strategy appeared first on CreditUnions.com.

The critical difference: Fraud attacks systems. Scams attack people.

In a classic fraud scenario, a criminal would impersonate your consumer: they open accounts, take over credentials, or initiate unauthorized transactions. Your fraud systems – identity verification, authentication, and transaction monitoring – are engineered to detect and stop those activities.

In a scam scenario, everything looks “normal” on paper, the consumer is real, the authentication is valid, and the transaction is authorized. What is different is intent. A scammer exploits trust, creates urgency, and uses emotion to convince legitimate account holders to send money themselves. And when your account holder authorizes the transaction, your systems see a clean transaction from a known user – and approves it.

Why This Is Escalating Now

Scams aren’t just increasing in volume, they’re increasing in sophistication. Criminals now operate across multiple channels – text, phone, email, social media, and even video – often moving the victim between them to build credibility and avoid detection. Advances in AI and deepfake technology make it harder to trust voices, images, or caller ID. As consumers lose confidence in what they see and hear, they change behaviors: ignoring outreach, hesitating to act digitally, and in some cases, disengaging from their primary financial institution altogether. The result is a new category of risk that combines financial loss with relationship erosion.

The hidden cost: attrition, not reimbursement

When fraud occurs, community financial institutions often have a clear path forward. They investigate the event, reimburse the eligible losses, and reassure the account holder, handled well, that experience turns moments of concern into validation of trust for the consumer.

Scams follow a different pattern. Because the account holder authorized the transaction, reimbursement is less likely and often more complex from a regulatory and precedent standpoint. When losses aren’t covered, the emotional impact can land hard. Consumers feel embarrassed and angry, blame their financial institution (even when controls worked as designed), and many quietly move deposits somewhere else. When an account holder leaves after a scam, the real loss is rarely just the dollar amount of the scam. It’s the lifetime value of the relationship that walks out the door.

Why Traditional Fraud Controls Can’t Solve Scam Risk

Community financial institutions have spent many years investing in fraud-prevention technology, producing tools that are excellent at what they were built to do:

• Identity verification and KYC
• Authentication and device intelligence
• Transaction monitoring and anomaly detection

Those are all highly effective and they should stay. But scams don’t break those controls; they use them.

• Scammers coach victims through “security questions” to pass authentication.
• They encourage test transactions to build trust in a fraudulent destination account.
• They position the FI’s own alerts as proof that “we’re watching together”.

When the account holder is convinced they’re doing the right thing, even your best controls can end up simply confirming that the wrong behavior is “OK.”

Scam prevention requires an approach that focuses on people and moments of influence, not just systems and events.

How Scams Unfold – And Where You Can Intervene

1.      The hook – An urgent message, opportunity, or threat: a “fraud alert,” a tech‑support call, a government notice, a romance outreach, or an investment pitch.

2.      Building credibility – The scammer reinforces legitimacy with convincing stories, spoofed numbers, cloned websites, or borrowed branding. By this point, the victim often trusts the interaction more than their own institution.

3.      Creating urgency – Now comes the pressure. Scams give victims the impression they must take immediate action to avoid a negative consequence or claim or limited offer. There’s no time to verify, no time to think, there is only time to act.

4.      Monetization – The victim sends money, shares credentials, or provides private information. The damage is done. And by the time the financial institution becomes aware, it’s often too late, the story in the consumer’s mind is already fixed.

The Key Insight: Intervention Must Happen Earlier

Most financial institutions encounter scams at the final stage, during or after the transaction. At that point, the consumer is already convinced, and believes they’re doing the right thing. Stopping the transaction becomes difficult. Not because your controls are weak but because the consumer is convinced. That’s why prevention must happen before scammers establish trust, before urgency takes hold, and before the money moves.

Because scams are emotional, high‑stakes events for consumers, their impact ripples across your organization. Your contact center handles more complex, emotional calls. Your frontline staff face difficult conversations. Your operations teams spend more time investigating. Your marketing team sees decreased engagement as trust erodes. Your executive team sees unexpected attrition. And your institution absorbs the reputational impact escalating from a fraud problem to a full enterprise problem. Treating scams purely as a fraud issue underestimates their effect on growth, retention, and brand.

What Leading Community Financial Institutions Are Doing Differently

Forward‑thinking credit unions are reframing scams as a strategic risk that requires its own playbook. This shift focuses on three priorities:

1. Supporting consumers in the moment of risk

Generic fraud education (“never share your password”) is necessary but not sufficient. Consumers need specific, contextual guidance while they are being targeted. Clear, scenario‑based warnings in digital channels and statements. Scripts and training for frontline staff to spot and slow down scam patterns. Prompts that ask the right questions before high‑risk transactions move forward. The goal isn’t to block legitimate activity – it’s to create just enough friction and reflection for a potential victim to pause and reconsider.

2. Equipping account holders with proactive security tools

If your first meaningful interaction with a scam is after the loss, you’re already on defense. Institutions are increasingly offering tools that help consumers take action as soon as they feel exposed, such as:

• Dark web and breach alerts that flag compromised information.
• One‑click credit lock and unlock to reduce account‑opening risk.
• Guided scam assessments that walk consumers through what’s happening.

Solutions like Kasasa SureLock can anchor this kind of protection strategy inside everyday accounts – making security feel like a benefit, not a burden.

3. Measuring impact beyond fraud loss

Dollar losses tell only part of the story. Leading institutions are also tracking:

• Attrition after scam event.
• Contact center volume and handle times tied to scams.
• Digital engagement trends for affected segments.
• Referral and satisfaction scores for scam victims vs. overall.

Looking at these metrics together surfaces the true cost of scams, and the upside of getting ahead of them. Because the damage done to account holder relationships compromises your long-term growth.

The Strategic Opportunity

Scams are changing the expectations consumers have of their financial institutions. Consumers are increasingly looking to their primary financial institution for protection. Reimbursement matters, but so does protection, guidance, and reassurance. Community financial institutions are uniquely positioned to lead here:

• You already own high‑trust relationships in local markets.
• You can combine digital tools with human conversations.
• You can move faster than larger competitors when it comes to education and experience design.

Making the shift from “fraud controls” to “scam strategy” is ultimately about expanding your promise: from guarding balances to standing up for people. Community financial institutions that recognize this shift, and act on it, won’t just reduce losses. They’ll strengthen loyalty, deepen engagement, and protect the relationships that drive long-term growth.

If you would like to learn more about the current state of scams, view the webinar, From Fraud Events to Fraud Strategy: How Community FIs are Protecting Account Holders (and Trust). Scamnetic CEO Al Pascual and Kasasa CPO Chris Cohen explore the ways community financial institutions are moving from case handling to proactive protection.

Remember, understanding the scope of the problem is the first step toward solving it. Because the biggest risk isn’t just the scam itself. It’s the cost of doing nothing.

The post Community Financial Institutions Need A New Playbook To Combat Scams appeared first on CreditUnions.com.

The nationwide affordability crisis has become an inescapable issue for credit union members, affecting how they borrow, spend, and plan for the future. From housing and vehicles to education and everyday essentials, the cost of daily living is on the rise, leaving many households struggling to save, qualify for loans, and manage debt.

In today’s economy, it is essential that credit unions balance member support with sustainable lending practices that ensure continued operations for those in need.

Housing Prices Reposition The Real Estate Portfolio

Housing prices are climbing faster than wages in many regions, and members are struggling to save for down payments, qualify for mortgages, or comfortably manage monthly payments if they do buy.

FIRST MORTGAGE GROWTH
FOR U.S. CREDIT UNIONS
SOURCE: CALLAHAN & ASSOCIATES

At the same time, other residential real estate products — namely HELOCs — have surged. Existing homeowners are increasingly tapping equity for not only home improvements but also to pay down student loans, consolidate high‑interest debt, and cover unexpected expenses.

New Pressures Drive New Lending Plays

Higher sticker prices, rising interest rates, and longer loan terms mean monthly car payments now consume a larger share of already-strained household budgets for longer.

NEW AND USED AUTO LOAN GROWTH
FOR U.S. CREDIT UNIONS
SOURCE: CALLAHAN & ASSOCIATES

Considering the affordability concerns with new cars, used auto — traditionally the more budget-friendly option — remains the dominant vehicle loan. However, even the average used car loan balance has increased 3.0% at credit unions since last year, suggesting new loans for used auto are larger than they used to be. That can be a major barrier for members in need of new transportation.

Swiping Through The Squeeze

Credit cards have become a financial lifeline for credit union members as inflation continues to chip away at household purchasing power. With essentials costing more each year, members are paying with plastic to bridge gaps in their monthly budgets. As such, average credit card balances were up 2.2% annually $3,406 at year-end 2025.

AVERAGE CREDIT CARD LOAN BALANCE AND GROWTH
FOR U.S. CREDIT UNIONS
SOURCE: CALLAHAN & ASSOCIATES

The Ripple Effects Of Rising Costs

These are simply two drops of water in the bucket of debt that has the potential to really soak members. As pressures compound across housing, transportation, education, and everyday spending, many members operate with thinner wallets and greater exposure to unforeseen challenges. That shrinking financial buffer plays a  growing role in asset quality as slower repayment from tighter budgets presents higher delinquency risk.

On the opposing side, these compounding affordability challenges underscore the importance of proactive support as members navigate an increasingly demanding economic landscape.

Affordability pressures might show up first in individual products, but their cumulative impact is ultimately reflected in member behavior and portfolio performance. Credit unions must strive to not only manage risk but also recognize how interconnected cost pressures reshape both financial resilience and lending outcomes.

Ready To Read The Full Story? Callahan clients can access the full version of this article right now on the client portal. Read it today. Not yet a client but looking for expert insights to help you adapt to change, develop your organization’s leaders, and stay at the forefront of industry trends? Connect with our team to learn more. 

The post The Affordability Crisis Is Reshaping Credit Union Balance Sheets appeared first on CreditUnions.com.