Commonwealth Credit Union’s partnership with Upstart shows how fintech partnerships can unlock potential in financial institutions. 

Automation drives innovation, allowing for financial institutions to focus on what matters most: supporting their customers in their journey to stellar financial health. Our guest for this webinar, Jaynel Christensen, Chief Growth Officer at Commonwealth Credit Union, discusses the new opportunities being made available.

Join us as we discuss: 

• Cross-selling and financial literacy services
• Innovative solutions made available through fintech partnerships
• Enhancing member experience with seamless digital and in-person strategies

Cross-selling and financial literacy services

In the vein of automation, Commonwealth leverages automated emails to spread the word about relevant services to members, cross-selling valuable packages for increased financial literacy.

“If I'm a member, and I have product A, there's a series of emails that go out that offer products B, C, and D. If I come in and I have products A and B, then there are emails that offer C, D, and E,” Christensen said. “There are several different paths that the member could go down based on what they had when they originally opened their membership.”

Through those emails and touchpoints, Commonwealth can see through reports that 7.8% of members they receive through the Upstart program are opening additional services as a result of that automation.

“While 7.8% isn't 100%, it's still 7.8% of the members getting through that channel taking additional products and getting stickier,” she continued. “And it's not just a checking account — there were some that have home equity loans, credit cards, etc. They're expanding their relationship, which is what our goal is for all of our members.”

Partnering strategically and collaboratively with fintech solutions helps support not only current needs but also the long-term financial health of both the organization and its members. 

Innovative solutions made available through fintech partnerships

Fintech paired with credit unions is a match made to last. Commonwealth and Upstart are no exception. Financial institutions need the support of rising technology communities — such as Upstart’s referral network — to uncover solutions that tie directly to marketplace data, equipping them with the tools they need to succeed.

These fintech partnerships aim to deliver three primary outcomes: 

• Expand services
• Streamline lending
• Enhance member offerings

“One thing that we look for at Commonwealth when having conversations with a vendor is: Is it going to be a partnership? We want the relationship to provide as much value for us as it does for them. We never want it to be one-sided,” Christensen says.

With a collaboration mindset, software becomes less of a purchase and more of a partnership, a mutual investment into a brighter future. This approach, alongside increasing familiarity with relevant pieces of technology, make for a solid foundation to reach the desired outcomes for both parties.

Enhancing member experience with seamless digital and in-person strategies

There are two main aspects for enhancing member experience: Data and automation. Data, because we can’t provide solutions for people we do not understand. Automation, because part of tech integration is delivering seamless experiences consistently.

“We recognize today that the service, the experience that we provide — especially for some of our digital channels — doesn't measure up to the same experience that our members can get through other fintech,” Christensen says. “It's important for us to keep looking for that automated experience for members who choose to use that channel.”

Uncovering what that process looks like takes asking a few key questions: 

• How do we automate digital processes?
• Which partners can help us with that goal?
• How can we make that experience as easy to use as possible?

“Through more data and automation, through those vendor partners, we're able to serve our membership, have lower charge-offs, and lower delinquency. That technology provides us with better statistics than what we can do on our own without that technology being a part of our process,” Christensen explains.

With strides in digitization comes the need for balancing the other side of the coin — the branch experience. In-person contact with members. Though that remains a constant element in all discussions and decisions, the data doesn’t lie.

“What drives a lot of our decisions is recognizing the channels that our members choose,” Christensen continues. “And what we find in that data journey, as we dive deeper into learning more about our members and the channels they choose and how our loans and accounts are being opened today, is the digital channel is what members choose over half the time.”

Meeting members where they are is a critical element of good service, and that is why automation thrives only with the proper data at hand.  

Stay tuned for new episodes every week on the Leaders in Lending Podcast.