When problems or biases are so ingrained in systems that ill effects occur on a grand scale and across an entire body, credit unions respond with solutions that meet the needs of hundreds of millions of Americans across the socioeconomic spectrum. In addition to affordable finances, credit unions like Seattle Credit Union, Wright-Patt Credit Union, and Jesús Obrero Cooperativa are tackling systemic issues such as diversity, equity, and inclusion (DEI); financial deserts; emergency aid; and climate change. Here’s how these three are making their communities a better place.

It’s a challenge to enter an area that has been financially abused and ignored. As a financial institution, we’re part of the system that caused these economic hardships. Asking them to trust us is a big ask.

A Focus On Financial Deserts And DEI

Seattle Credit Union ($1.1B, Seattle, WA) is in the midst of addressing a financial desert in a Tacoma neighborhood and creating an internal DEI board for which it will pay participants for their work.

Richard Romero, SCU’s president and CEO, says his nine-branch operation hopes to open a 10th by the end of this year inside a low-income housing building in the Hilltop community, a historically predominantly Black neighborhood in Tacoma.

“They have no financial institutions and lack many basic services that are needed for a community to prosper,” Romero says. “It’s a challenge to enter an area that has been financially abused and ignored. As a financial institution, we’re part of the system that caused these economic hardships. Asking them to trust us is a big ask.”

Along with plans for a physical presence, SCU is addressing that challenge through community listening sessions, connecting with community leaders, and partnering with housing agencies to help restore and build wealth, Romero says.

Internally, the credit union is taking what Romero calls a completely different look at how it has been managing DEI issues, placing that responsibility with a new board rather than a single person.

Informed by his own service on several boards, Romero has led the creation of the

Diversity, Equity, Inclusion, and Prosperity (DEIP) Board, which comprises a dozen employees elected by staff from across the enterprise.

“This ensures all levels of the organization are represented,” the CEO says. “We also decided to compensate this board because, all too often, people of color are asked to go beyond their normal duties to prove they contribute. We felt it was fair to ask them to perform a heavy lift if they’re paid fairly for it.”

The DEIP board — led by a DEIP manager who reports to the CEO — reviews hiring practices, policies, and procedures and also will be working on refreshing the credit union’s mission and vision statements, Romero says.

Read more about Seattle Credit Union on CreditUnions.com in “Richard Romero On Leadership” and “How To Build A Diverse Board.”

Fast Cash For Life’s Problems

With 456,000 members and 45 branches, Wright-Patt Credit Union ($7.2B, Beavercreek, OH) might be the Buckeye State’s largest financial services cooperative, but it’s not too big to pivot when it sees a problem it can address.

Devastating tornadoes on Memorial Day weekend in 2019 and the COVID-19 pandemic highlighted the need for members to access cash quickly and easily. In response, Wright-Patt has partnered with QCash Financial — a CUSO launched by WSECU — to offer loans of $200 to $4,000 through fast, contactless applications available online or by an app.

Wright-Patt launched QCash in September 2021. Within the first eight months, the big cooperative made 15,539 loans totaling $25.5 million, according to Eric Bugger, WPCU’s chief lending officer.

“Members love the convenience,” Bugger says. “They love that they’re rewarded for things they can control, such as how they use the credit union, and not punished if they’ve had bumps with credit in the past.”

The 36-month loans currently carry an interest rate of 15% and are part of a lineup that includes a payday loan alternative, another that focuses on getting members out of payday lending traps, and a disaster relief loan.

“QCash was a natural fit for the services we were already providing,” Bugger says. “It’s also turned out to be an extremely convenient way to serve our members.”

Another way WPCU serves members and addresses systemic issues is through its affordable, reliable transportation program.

When a board member reported making the occasional loan to members who had been turned down for a WPCU auto loan, an experienced collection manager and loan trainer at the credit union created the Wheels 4 Work program. It’s a labor-intensive affair that relies on care and consideration from both the credit union and the borrower.

The credit union takes the application, then one-on-one with the member reviews their credit qualifications, loan options, and the pros and cons of the vehicle they want. The credit union also runs a CarFax report on the vehicle before closing the loan.

“We don’t do any of this through indirect dealerships,” Bugger says. “We control the entire process to be sure the member understands what’s going on with every step and not being put in too much vehicle or a loan with too much payment.”

Wright-Patt launched Wheels 4 Work in September 2020; however, the program got off to a slow start. Lenders learned members needed a fast process or they would go elsewhere for their loan, including to pay-here lots. So, WPCU sped up the application process and has since provided approximately 1,200 members with nearly $20 million for vehicles they need for work and life.

“The need for members to quickly get help when they need it is never going to go away,” Bugger says.

Read more about Wright-Patt Credit Union on CreditUnions.com in “A 3-Pronged Approach Provides High-Impact Lending.”

Powering People With Green Loans

Jesús Obrero Cooperativa (JOC) serves approximately 11,500 members in and around Guaynabo, Puerto Rico, the U.S. territory whose utilities infrastructure has suffered terribly from recent super-charged hurricanes.

The $110 million institution, a member of the Inclusiv credit union network, has responded with financing for residential and commercial solar panel systems. The cooperative’s green loan program offers low interest rates and extended terms for systems installed by JOC-qualified contractors.

The loans begin as an interim line of credit and then convert to a term loan when the project is complete. The members then benefit from dramatic savings in their own net energy costs while at the same time helping their island home build sustainable and resilient energy resources, says JOC’s CEO, Aurelio Arroyo.

JOC is still working with the local electrical engineer who helped create the program, which was the first of its kind on the island when it launched in 2014. Since then, the credit union has disbursed approximately $7 million in the loans, Arroyo says.

The issues this program addresses are clear. Puerto Rico has sunshine nearly every day; however, energy costs are high and less than 3% of the island’s energy comes from sustainable sources, Arroyo says. And that notoriously weak infrastructure further inhibits resilience initiatives.

“Puerto Rico has to take aggressive initiatives to face the challenges of climate change because we’re one of the jurisdictions in the world that is most exposed to its risks,” Arroyo says.

Of course, real change begins at home. That’s why one of the JOC’s first projects was on its own headquarters. Its roof holds a photovoltaic system that has saved the credit union up to 86% on its energy costs since its installation in 2015, offsetting what would have been about 649 tons of carbon dioxide that would have otherwise been needed to produce that much electricity through traditional generation, Arroyo says.

Lead With Purpose

Rethink your credit union’s role and responsibility to members, employees, communities, and the environment with Sustainable Business Strategy, a virtual learning experience Callahan & Associates offers in collaboration with Harvard Business School Online.

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The post How 3 Credit Unions Tackle Systemic Issues appeared first on CreditUnions.com.

In the early morning hours, the big one hit. An earthquake with a 6.4 magnitude struck just off the southern coast, waking Orlando Rodriguez at 4:24 a.m. on that Tuesday morning. A 6.0 aftershock struck hours later. Rodriguez&s first priority wasto ensure the safety of his family. Then, the CEO of Caribe Coop, based in nearby Guayanilla, checked on work.

Initially, I visually inspected the cooperative through the security cameras,Rodriguez says.In the afternoon, key personnel and I visited the facilities to review the damage. At a simple view, we didn’t see any damage.

But as Rodriguez and others soon discovered, this was only the beginning.

The aftershocks that have continued almost daily have caused power outages, and according to a Jan. 29 U.S. Geological Survey report, earthquakes likely will occur on a daily basis for several months, possibly for a year or even decades more. Amid this seismic uncertainty, thousands of residents rendered homeless or afraid to return to their homes have been living in tent camps run by the Puerto Rican government and localcommunities. Everyone has been impacted emotionally.

A Community Of Credit Unions

A relatively large credit union community serves the 3.1 million people in this U.S. territory, an archipelago located between the Caribbean Sea and the North Atlantic Ocean.

Puerto Rico’s population is served by an extensive network of over 100 financial cooperatives and federally chartered credit unions, which are particularly vital in rural communities around the island,says Pablo DeFilippi, senior vice president of membership and network engagement at Inclusiv, previously the National Federation of Community Development Credit Unions.;

In anupdate to its members, the organization notes,Inclusiv has been reaching out to its members particularly in the southwest to assess the situation and determine what type of help is most needed.

Recovering From Hurricane Maria

In some respects, the credit unions and the local economies they serve are still recovering from hurricanes Irma and Maria, both of which achieved Category 5 status, which hit the island in 2017 and knocked out power in some areas for nearly a year.

This recent round of earthquakes has disrupted government services in the area around Ponce, the territorys second-largest city, and closed cultural attractions key to the areas tourism industry, including the Museo de Arte de Ponce, which is famed for its European and Puerto Rican art collections. Another iconic landmark, Punta Ventana, a natural stone archway on the south coast near Guayanilla,collapsed during aftershocks

According to Jos;Julin Ram;rez-Ruiz, CEO of the island’s credit union association, Asociacin de Ejecutivos de Cooperativas de Puerto Rico, the earthquakes have directly impacted at least a half-dozen credit unions./p>

Rebooting Branch Operations

Adjuntas Coop, based in the town of Adjuntas just north of Ponce, permanently closed its Ponce branch due to structural damage. After the 6.4 earthquake on Jan. 7, Adjuntas Coop CEO Miguel A.Jusino says he suspended work for the day and checked on the welfare of managers, employees, board members, and their families by telephone and WhatsApp.

Structural engineers determined that the branch could not reopen until repairs were made.After receiving the damage report, we notified partners and customers that the branch was closed, placed signs around the branch, and sent a communiqu via regular mail and social networks,Jusino says.And, the announcement went through a radio station.

The credit union had experience in disaster recovery thanks to Hurricane Maria in September 2017, so the team quickly identified a site Adjuntas Coop had formerly used for offices and signed a new lease. In just 15 days, the offices at the location on Muoz Rivera Avenue were painted, the ceiling was sealed, and repairs were made. The branch opened to the public on Jan. 22.

It took three days for Caribe Coop to reopen, although electronic services remained available to members. According to Rodriguez at Caribe, the delays in reopening most businesses were related to scheduling structural engineers to assess the buildings.

In the wake of the crisis, Caribe Coop has offered emergency loans as well as deferred payment plans to help affected members keep up with their monthly debt load.

Supporting Employee Needs

According to Rame;rez-Ruiz with the credit union association, the ongoing crisis has damaged not only employees homes but also their emotional health.

We have a list of more than 30 employees from several credit unions in the south that who their houses, Ram rez-Ruiz says.Employees in credit unions, as in every business in the south of the island, are terrified because of the quakes. There is a lot of fear among the population.

As Adjuntas Coop worked to restore its Ponce branch operations, the cooperative also attended to its employees, three of whom suffered damage to their homes and all of whom were rattled by the daily earthquakes. Jusino says the cooperative is channeling financial aid resources to employees and giving them time off to work with disaster relief agencies, but it is also making the emotional health of staff members a top priority. The credit union paid employees who could not attend work and has hired a psychologist to offer group and individual counselling.

Volunteers from credit unions in northern Puerto Rico meet at Caribe Coop in Guayanilla to deliver support.

Members of the Asociacin de Ejecutivos de Cooperativas de Puerto Rico display a banner in solidarity with credit unions in the south.

Many buildings, such as this residence in Yauco that is served by the Cooperativa de Ahorro y Credito de Yauco, have suffered severe structural damage.

Cracks on an exterior column at Adjuntas Coop in Ponce were among numerous structural issues at the branch

This temporary Ponce branch of Cooperativa De Ahorro Y Credito De Adjuntas opened Jan. 22 15 days after the 6.4 magnitude earthquake struck.

Boulders fell from hillsides during the earthquakes, smashing the vehicle of an employee of Cooperativa ParroCoop in Villalba, Puerto Rico.

Association volunteers provide relief supplies to earthquake victims living in tents near Yauco, Puerto Rico.

Employees were emotionally affected by the experiences that we are still living today,the CEO says.We are providing measures to channel these emotions.

Rodriguez says Caribe Coop faced similar needs to support employees.

The homes of some of our employees suffered damage and others were emotionally affected,Rodriguez says.We provided emotional help through the resources of psychologists and the cooperative movement that has brought us articles of first need.

According to the CEO, one of the key lessons learned is to include both business and families in the credit unions contingency plan.

Jusino agrees.

We understand how fragile life is and the emotional control needed in the face of adversity,he says.We have to plan for what needs to be done at the family, community, government, and business levels.

Overcoming Political Hurdles

In Puerto Rico, the private sector, the church community, and relief organizations all are playing key roles in the recovery. The government has been widely criticized as slow and ineffective. Perhaps the most telling moment for earthquake victims came on Jan. 18 when residents of Ponce broke into a warehouse and discovered tons of Hurricane Maria relief supplies that had sat dormant for more than 18 months. Puerto Ricos top emergency management director was fired the next day.

The U.S. Office of Management and Budget has placed restrictions on most of the $39 billion in disaster aid earmarked for Puerto Rico after Hurricane Maria, citing potential mismanagement of funds at the state level.

Last week, the U.S. House of Representatives passed a $4.7 billion Puerto Rican disaster relief bill to rebuild roads and bridges and provide community development loans in the wake of the earthquakes; however, that legislation also faces hurdles, as the White House has vowed to oppose the funding. Meanwhile, the NCUAs Office of Credit Union Resources and Expansion has announced the availability of urgent needs grants of up to $7,500 to low-income credit unions that experienced sudden costs to restore operations.

Credit Union Solidarity

In response to community needs, volunteers from more than a dozen credit unions in the north have banded together to help. A busload of volunteers visited the area on Jan. 11 to distribute disaster relief supplies and aid affected credit union employees.

All #CooperativasPR are in solidarity with our cooperative brothers and compatriots of the south, Asociacin de Ejecutivos de Cooperativas de Puerto Rico posted on Facebook.We want you to know that you are not alone and we will continue.

The association has been raising money to help employees and volunteers of the credit unions affected by the earthquakes, including subsidies to cover structural assessments of houses, direct grants to assist with down payments for the purchase of new homes or refinancing for home repairs, financial assistance for small businesses, and mental health services to support impacted communities.

Pushing For Emergency Regulations

Association members met Feb. 4 to develop long-range plans to help hard-hit communities in the south. The group is asking the local chartered credit union regulatory agency, COSSEC, for a new mortgage rule in the disaster zones that would enable impacted families to ask for 100% refinancing of their mortgages, with no down payment, to rebuild their houses.

There is a lot of stress among all the people who live in the south,Ram rez-Ruiz says.Productivity is at the lowest point because a large number of members and their families are moving to the States because of the fear of houses collapsing and businesses closed. Giving deferment on loans is in order. Our only hope is to calm people by giving them confidence, so the economy can be reactivated.

Since Dec. 28, the region has been hit by an estimated 4,000 earthquakes, including a 5.0 magnitude tremor felt throughout the island on Feb. 4. Now, credit unions have shifted their focus from their own recovery to the financial needs of the wider community.

The solidarity of the communities and the private sector as first responders, duly coordinated, is fundamental since there is a lot of bureaucracy and political partisanship at the government level that delays the aid to those affected,Jusino says.In short, you have to prepare for the worst.

The post Puerto Rico’s Credit Unions Stand Together In The Wake Of Natural Disasters appeared first on CreditUnions.com.

• Look Beyond Financial Solutions: Credit unions evaluating employee needs during past crises have looked beyond financial solutions to housing, childcare, food availability, mental health, and more.

• Be Creative With Paid Time Off: Thinking creatively about how employees can save and share paid time off is one way to ease the stress of employees everywhere and free up their mental capacity to serve members in need.

• Institutionalize Peace Of Mind: Formal positions dedicated to connecting employees with available assistance will help keep them focused on serving members.

It’s been three weeks since the World Health Organization declared COVID-19 a global pandemic, but the effects are already deep and widespread. Across the globe, public and private life has been disrupted. In the United States, cities, counties,and even entire states are asking residents to stay home. Restaurants, bars, and coffee shops have closed sometimes by legal order or have shifted to a strict delivery- or takeaway-only model if they can. Public social gathering locations,such as parks, have likewise closed.

Essential businesses, including credit unions, are still open, however. When possible, many credit unions are adopting work from home policies, encouraging members to use remote or self-service tools, limiting branch hours, and closing locations completely.It’s an uncertain time, and the emotional toll promises to be severe.

As credit unions work diligently to cushion the financial fallout of the coronavirus, so, too, are they considering ways to care for employees. And although they are facing unprecedented challenges, credit unions can look to past experiences for inspirationon how to care for their workforces as much as their members.

Look Beyond Financial Solutions

In October 2017, the Tubbs Fire in California burned nearly 37,000 acres and incinerated more than 5,700 structures, including nearly 3,000 homes. According to an estimate from Santa Rosa’s mayor, the fire caused $1.2 billion in damage and destroyed5% of the city’s housing stock. In response, Redwood Credit Union ($5.0B, Santa Rosa, CA) reopened its North Bay Fire Relief Fund and collected more than $32million to support its community members whether they belonged to the credit union or not in their time of need.

But the big California cooperative didn’t just show concern for its external community, it also rallied to support employees. A year later, Cynthia Negri, Redwood’s chief operating officer, talked with CreditUnions.com about its employee-specific efforts, which included creating temporary childcare for employees because so many schools were shut down, offering free on-site counseling, and giving staff members theability to pool PTO hours to share with fellow employees. It also provided employees lunch, snacks, and other necessities.

Twenty-three employees and two volunteers lost their homes, and 150 employees were evacuated. But the credit union needed to remain operational to serve members, and the dedication of employees helped it do that.

We had employees who lost homes come into work the next day, Negri said. People who were evacuated came to work to help keep our systems up, knowing we had to be available to members. The resiliency of people is amazing.

Further east and south, credit unions sprang into action after a series of earthquakes in late 2019 and early 2020 left thousands of Puerto Rican residents homeless, disrupted government services in the territory’s second-largest city, and closedcultural attractions key to the area’s tourism industry.

In the wake of the earthquakes, Adjuntas Coop channeled financial aid to employees and made the emotional health of staff members a top priority, paying employees who could not attend work and making a psychologist available for group and individual counseling.

Check out the growing Pandemic Response Repository on CreditUnions.com. Credit union and Callahan contributions include team communications emails, business continuity plans, and more.

Employees were emotionally affected by the experiences, Miguel A. Jusino, CEO of Adjuntas told CreditUnions.com in February.We are providing measures to channel these emotions.

Why this matters now: Like a natural disaster, the situation surrounding the coronavirus has escalated quickly, leaving little time for people to effectively prepare. And as with wildfires or earthquakes, the coronavirus doesn’t discriminatecredit union members as well as staff members are feeling its effects. But credit unions can lean in to evaluate what employees need and provide assistance where they can, looking beyond financial solutions to housing, childcare, food availability,mental health, and more.

Be Creative With Paid Time Off

Redwood gave employees the chance to pool and share time off. At One Nevada Credit Union ($953.9M, Las Vegas, NV), even the shortest-tenured staffers receive 16 daysof paid time off per year. More seasoned employees earn up to 26 days per year. However, employees still find themselves in a tight spot if they fall into the gap between maxing out PTO and accessing short- or long-term disability.

If there’s a gap in coverage, that’s where One Nevada’s extended illness bank comes in. Employees can transfer unused earned PTO to the EIC at a ratio of 2-1, turning one hour of earned PTO into two hours in the illness bank. If theyneed additional paid time off for an illness, they can dip into the bank.

We created the program to bridge the gap between the elimination periods on our disability program, Michael Traficanti, One Nevada’s senior vice president of human resources and facilities operations, told CreditUnions.com in January.

The credit union has offered the program for more than 20 years longer than Traficanti has been with the institution and as of early January 2020, 40% of its workers held a balance in the bank.

Why this matters now: Staying healthy and planning how to cover bills and necessities in case one does fall sick is on the minds of many Americans today. Although it might be too late to institute a time off policy like One Nevada’s to addressthe first wave of coronavirus illnesses, thinking creatively about how employees can save and share paid time off is one way to ease the stress of employees everywhere and free up their mental capacity to serve members in need.

Institutionalize Peace Of Mind

In late 2018, American 1 Credit Union ($421.3M, Jackson, MI) created a role specifically dedicated to helping staff deal with personal issues that fall outsidethe scope of traditional HR concerns. These issues run the gamut and include family or medical challenges, childcare, transportation, marital stress, financial stress, and more.

Sometimes, people simply aren’t aware of resources that are available to help them, Myeshia Jones, American 1’s success navigator, told CreditUnions.com in July 2019.The success navigator position was created to connect team members with resources and training to help overcome barriers to successful employment.

The position requires someone who is approachable and trustworthy as well as knowledgeable about community services. Plus, a successful success navigator must be able to look deeper at the root cause of presented problems and recommend an appropriatesolution.

Prepare your credit union’s response to COVID-19 using the Ideas In Action: Pandemic Response page, a hub for all of our articles, webinars, and policies concerning the COVID-19 outbreak.

At American 1, Jones participates in new employee onboarding, formal training, and one-on-one meetings. She also creates plans to help team member resolve obstacles.

Why this matters now: Credit unions and their employees are in unchartered territories. Today’s environment will have lingering, widespread effects, and it’s difficult to predict what will happen as the pandemic evolves. Employeeswant to work, and positions like this will help keep them focused on serving members, confident in the fact they have support in their own lives.

The post 3 Ways To Support Employees When They Need It The Most appeared first on CreditUnions.com.

• Look locally to offer aid: If the coronavirus continues on its projected course, local organizations will be looking for assistance as they work to support those suffering from the fallout.

• Support members and employees: Credit unions must monitor the situation in their local communities to determine what aid is necessary, then respond accordingly with assistance loans, payment deferrals, mental health care,and more.

• Be ready to communicate: Response plans should identify who holds the responsibility to speak to members and the public on behalf of the credit union, especially if the credit union must address a possible exposure event.

COVID-19 is changing the way businesses serve customers and protect employees. On recommendation of the federal government, companies are implementing remote service and staffing strategies; people are avoiding public spaces and declining to congregatein groups of 10 or more. All this to slow the spread of a virus with no cure or vaccination and with no assurance the efforts will help.

In uncertain times like this, people want to know their money is safe. And, they want to know they can access it when they need it. Just as they have for the past 100 years, credit unions are taking care of their members. Although the current environmentis springing unprecedented challenges on leaders nearly every day, there are lessons from the past that apply to the present. Here are three.

Take A Closer Look At Local Aid

When Hurricane Michael hit the Florida Panhandle in October 2018, it destroyed houses and power lines and disrupted all sense of normalcy in Bay County. More than six months later, the area was still struggling to recover.

It’s changed lives; it’s changed our community, David Southall, CEO of Innovations Federal Credit Union ($253.6M, Panama City, FL)shared in June 2019. Since October, everything has been focused on recovery.

In the aftermath of the storm, the needs of members were immense. As the months progressed, and the credit union recognized areas of continuous need, its donation dollars became more targeted. Before the storm, Innovations donated to large organizationswith a local presence, such as the United Way and the American Heart Association, among others. After the storm, Innovations focused its efforts on larger one-time donations to local schools, universities, and food banks. It also started supportingadditional educational fundraisers.

It’s a new normal down here, said Karen Hurst, chief marketing officer at Innovations. We’ve given more money to the schools than we did before, but there are still many children in our community in need.

Why this matters now: If the coronavirus continues on its projected course, local organizations will be looking for assistance as they work to support those suffering from the fallout.

Relief For Members And Employees

Before the storm, Innovations had implemented DocuSign for loan eSignatures, so when the credit union introduced hurricane relief products, members could complete the application process from the safety of their own homes.

Innovations offered a $3,000 Hurricane Assistance Loan at 5% interest; 90-day loan deferments on any portfolioed loan, including credit cards and mortgages; and a waiver on certain fees, including overdrafts. It also suspended reporting to its two creditbureaus, TransUnion and Equifax, and the senior team published their personal cell phone numbers online and on social media to handle pressing member questions. The goal was to get members the services they needed with as little disruption as possible.

Further south, credit unions sprang into action after a series of earthquakes in late 2019 and early 2020 leftthousands of Puerto Rican residents homeless or afraid to return to structurally damaged buildings. To make matters worse, some areas were still recovering from hurricanes Irma and Maria, which had both achieved Category 5 status when they hit theisland in 2017. The earthquakes disrupted government services in the territory’s second-largest city and closed cultural attractions key to the area’s tourism industry.

In the wake of the earthquakes, Caribe Coop offered emergency loans as well as deferred payment plans to help affected members keep up with their monthly debt load. Adjuntas Coop channeled financial aid to employees and made the emotional health of staff members a top priority, paying employees who could not attend work and making a psychologist available for group and individual counselling.

Employees were emotionally affected by the experiences that we are still living today, Miguel A. Jusino, CEO of Adjuntas said in February. We are providing measures to channel these emotions.

We understand how fragile life is and the emotional control needed in the face of adversity, Jusino continued. We have to plan for what needs to be done at the family, community, government, and business levels.

Why this matters now: The coronavirus will have wide, ongoing effects. Credit unions must continually monitor the situation on the ground in their local communities to determine what aid is necessary. Then, they’ll have to respond accordingly.And, like many crisis situations, credit unions will need to consider and address the emotional toll on employees as well as members.

Reassuring Communications

The coronavirus is disrupting business as usual. By now, members expect it, but whether it’s closed lobbies or closed branches, someone from the credit union needs to say something and be in charge of communications.

For credit unions that don’t already have one, it’s past time to create a well-documented plan that identifies the people with the most intricate knowledge of processes and infrastructure as well as their roles in business recovery. The planshould also identify who holds the responsibility to speak to members and the public on behalf of the credit union. This is especially important if the credit union must address a possible exposure event.

Have a plan in place to address whatever happens, Mike Lawson of DML Communications told CreditUnions.com for an article about disaster planning.That advice still rings true today.

Back then, Lawson said silence spurs rumor and innuendo, which can create a firestorm of falsities. Today, rumors and confusion around the coronavirus run rampant. Have a statement ready to go and a spokesperson ready to respond. Appoint one or two peopleat most ideally the CEO and a subject matter expert to communicate on behalf of the credit union. And although transparency is important, don’t report every little change in the situation, Lawson advised.

Finally, if the spokesperson doesn’t know information offhand or can’t answer a question accurately, it’s OK to tell members and the media the credit union will have to find out and deliver the answer ASAP. Then, it must follow up onthat promise.

That’s where channel variety is important.

A great plan includes a mix of high-tech, low-tech, and no-tech communications channels, Nicole Bowen, vice president of information technology, compliance, and facilities at NextMark Federal Credit Union ($502.5M, Fairfax, VA) told CreditUnions.com for an article about the cooperative’s response to a fire in its data center.High-tech channels include mobile/SMS, email, social media, and Internet. Low-tech communications include telephone blasts, hotlines, radio, and television. No-tech communications could be as simple as branch signage.

Why this matters now: Although a traditional crisis recovery plan might feel woefully inadequate in the face of a viral pandemic, a solid communication plan and the flexibility to addresses the unexpected is essential in today’s environment.

The post 3 Ways To Navigate The Coronavirus Crisis appeared first on CreditUnions.com.

What Is ROM?

ROM goes beyond traditional safety and soundness issues covered by CAMEL scoring to instead assess member value.

Learn morE ABOUT ROM

For credit unions, which typically offer better rates, fees and service than for-profit financial institutions, members recognize benefits in proportion to the extent of their financial transactions and general usage, says the Cornerstone Credit Union League on its website.

But how do credit unions measure the benefit of their membership?

Enter ROM, a comprehensive metric designed by Callahan & Associates that uses savings, lending, and product usage to quantify member value and assign a score to every credit union in the United States. Credit unions across the country use their ROM score to set member-facing goals and hold staff accountable to better serve members.

The interactive graphic below shows the top ROM leader in every state. Filter the view by state, ROM score, and credit union name. Click here to learn more about ROM calculation.

The post Which Credit Union In Every State Returns The Most Value To Members? appeared first on CreditUnions.com.