What could be greatly improved in banking from 2024 to 2025?
Jon Tvrdik, CEO, WaveCX
One of
the most significant areas for improvement in banking this year is the
humanization of digital experiences. Financial institutions need to focus on
delivering solutions that build trust and loyalty while keeping services intuitive,
accessible and proactive. This involves putting simplicity and personalization
at the forefront of digital interactions. By leveraging AI-powered tools, banks
can provide seamless and personalized experiences that meet the evolving needs
of their customers.
Additionally, there is a need to improve the accessibility and implementation of advanced technologies for institutions of all sizes. While the technology is ready, adoption depends on overcoming resource constraints, training teams to adapt to new ways of working, and aligning these tools with compliance frameworks. Making these technologies accessible and easy to implement will be crucial for widespread adoption and success.
These improvements will not only enhance the overall customer experience, but also position financial institutions to compete more effectively in the rapidly evolving digital landscape.
Preetha Pulusani, CEO, DeepTarget
Credit unions must prioritize simplifying banking for their members through intelligent technology. By leveraging first-party data and AI responsibly, they can create personalized experiences that anticipate member needs. This means creating easier-to-use mobile apps, faster digital account openings, and more intuitive financial tools. By using technology smartly, credit unions can provide personalized advice that helps members make better financial decisions. The goal is to reduce frustrating banking processes, improve security, and make financial management feel less complicated and more supportive. Ultimately, it's about turning technology into a helpful financial partner, not just another complex system.
Alex McLeod, CEO, Parlay Finance
Looking ahead to 2025, credit unions have a huge opportunity to grow by unlocking the power of something they already have – their member data. Currently, valuable member insights are siloed across departments, but unifying this information can transform service capabilities, especially in business lending. By leveraging technology and relationship data, credit unions can streamline business loan applications, offer faster approvals, and provide more competitive rates while maintaining sound underwriting. Success will depend heavily on people, not just technology – credit unions must invest in helping teams embrace data tools while strengthening their role as financial educators for all members.
Sarah Martin, CEO, Pulsate
In the next year, I hope to see credit unions using their data more effectively to better understand and meet member needs. Many credit unions have barely scratched the surface when it comes to utilizing first-party member data, let alone third-party data. Every interaction a member has with their credit union—whether logging in, making a call, swiping a card, paying a bill or clicking on a digital message—creates a datapoint that can reveal a need. The challenge is the sheer volume of these datapoints, which can be overwhelming. In 2025, every credit union should pick a starting point, even if it's just one datapoint, and begin using it to benefit their members.
Preethi Janardhanan, VP, Client Solutions, Rapid Finance
One key area for improvement is the adoption of technology that empowers credit unions to better serve small businesses through data-driven decisions. Leveraging member data can unlock deeper insights, enabling highly personalized services, faster onboarding or credit decisioning and tailored financial solutions, improving member satisfaction and loyalty.
Credit unions could benefit from the modernization of outdated systems and fragmented data architectures, which make it difficult to implement real-time integrations and data-sharing networks. Credit unions should also address barriers like resource constraints and skip gaps by partnering with fintechs. These collaborations can provide turnkey solutions, enhance risk management and simplify compliance. By fostering a culture of innovation and embracing operational changes, credit unions can support underserved businesses, drive economic growth and strengthen their competitive edge.
Danielle Sesko, Director of Product Management and Innovation, TruStage™
2024 has been a remarkable year for expanding credit accessibility; a trend I hope continues in the new year. I also hope to see widespread adoption of embedded Digital Lending Insurance (DLI) strategies.
As the digital lending market grows, the rise in
small-dollar loans and BNPL options has increased the risk of defaults,
especially for underserved communities. DLI can mitigate these risks by helping
borrowers repay loans during unforeseen financial hardships, such as job loss
or disability while protecting lenders' portfolios. Despite challenges like
evolving regulations, these can be opportunities for innovation. I feel DLI
will play a key role in the future of digital lending, offering protection,
stability and growth.
Jack Henry Corporate Strategy Team
From 2024 to 2025, banking could greatly improve by leveraging industry and fintech collaboration. This will allow banks and credit unions to combine new technology with their signature personal service, helping them differentiate and grow. In the year ahead, we’ll see more financial institutions leverage data, AI, and emerging technologies in impactful ways. As banking evolves, it will unlock new levels of personalized service and money management that can transform lives and strengthen communities. It’s an exciting time, as technology drives deeper connections and delivers more meaningful financial experiences.
Rick
Wettlaufer, Vice President, Client Success, MDT
As
cyberattacks continue to rise, data security is an area ripe for improvement.
There should be a focus on protecting not only internal data and information
but also making sure that vendor data management is strong. It’s more important
than ever that credit unions have a firmer grasp on how vendors are managing
and protecting data.
Agility could also be improved. With a new administration next year, there will likely be changes to the regulatory posture. Credit unions should ensure they have the right partners in place to help them navigate shifts and make any adjustments quickly and efficiently.
Matt
Potere, CEO, Happy Money
The
credit card debt crisis continues for consumers across the country as many have
heavily relied on credit for everyday needs in the face of inflation and high
interest rates. This has brought U.S. credit card debt to a staggering $1.14
trillion. This presents a significant opportunity for credit unions to support
these members, providing products and tools for a happier financial future. For
example, with APRs on personal loans currently about 7.5% lower than credit
card rates, refinancing credit card balances into personal loans could save
U.S. households over $80 billion annually while reducing financial stress.
Amanda Crocker, COO & Interim CEO for SWIVEL®, an SWBC Company
I think the credit union industry as a whole needs to embrace more data-driven transformation. By leveraging advanced analytics and working with the right fintech partners and solutions, credit unions can proactively identify pain points and opportunities throughout their payment lifecycles, including reducing transaction friction and enhancing fraud prevention.
For 2025, the industry must also fully embrace an AI-first mindset within its product and engineering teams. AI is not merely about automating processes; it focuses on developing smarter systems that anticipate member needs, drive proactive engagement and deliver real-time solutions. This approach will be essential for credit unions to stay competitive through innovation, grow trust and provide an exceptional digital experience for their members.
Michael
Ball, EVP Marketing, Kinective
Looking
ahead to 2025, a major focus for credit unions will be navigating economic
stabilization and overcoming the challenges of recent years. The prolonged
period of interest rate volatility and economic uncertainty has placed
significant pressure on financial institutions, testing their resilience. While
the future remains uncertain, the hope is for a stronger, more stable U.S.
economy supported by reduced global unrest. A calmer international stage would
ease uncertainty, enabling members and communities to regain confidence in the
financial system. Stability would create opportunities for growth—allowing
credit unions to better serve members, provide more competitive lending
solutions, and drive meaningful innovation. From 2024 to 2025, credit unions
have the chance to rebuild trust, strengthen their role as community-focused
partners, and deliver solutions that promote economic recovery. The key will be
balancing agility and stability to navigate change while improving the overall
member experience and the financial health of their communities.
Denny C. Howell, COO/HR Mahalo Banking
In 2025, credit unions should prioritize cybersecurity to combat evolving digital threats while leveraging advanced technologies to enhance operational efficiency, reduce costs, and improve service delivery. Promoting financial inclusion through accessible platform features—such as intuitive navigation, enhanced visual settings, and tools for differently-abled individuals—will also ensure all members can seamlessly engage with digital channels. By combining innovative technology with a human-centered approach, credit unions can foster greater accessibility, strengthen member loyalty, and drive meaningful community impact. These efforts will position credit unions as forward-thinking leaders, ensuring every member's unique needs are supported in a secure and inclusive financial ecosystem.
Erin Wynn, Executive Director, Product Management, Candescent
Financial
literacy remains a challenge as many grapple to understand implications around
rate cuts, inflation and their overall buying power. Credit unions have an
opportunity to provide personalized resources to help consumers and businesses
navigate these hurdles, fostering loyalty and trust. However, to be effective,
they must integrate these resources into connected, digital-first journeys.
Such efforts are especially critical for younger generations who typically lack
sound financial guidance but stand to inherit significant wealth in the coming
years. By aligning financial fitness tools with compelling digital experiences,
credit unions can support customers’ financial fitness while solidifying
themselves as trusted advisors.
Keith Riddle, General Manager, Payfinia CUSO
Credit
unions should identify internal use cases where traditional payment networks
(i.e. ACH and wire transfers) are typically used, and evaluate the
operational and member experience enhancements of instant payment workflows,
including member-assisted payment requests and supplier payments.
Bob
Child, Chief Operating Officer, Origence
Looking
ahead to 2025, credit unions can improve in several key areas. First, interest
rates are expected to decrease, which aligns with the typical duration of car
loans and gives credit unions an opportunity to adjust accordingly. To stay
competitive, credit unions will need to be proactive in making these
adjustments and refining their asset-liability management strategies. Second,
with synthetic fraud on the rise, investing in fraud prevention solutions will
be critical to protecting members. Finally, improving communication will be
essential — credit unions should offer pre-approvals before members visit
dealerships, ensuring they have competitive financing options.
Meredith
Keller, Product Expert, Glia’s AI Team
Next
year, credit unions should focus on enhancing their interaction strategies by
leveraging data-driven tools to assess and improve the member experience. In
today’s fast-paced, interaction-driven economy, the way credit unions connect
with members directly impacts loyalty and revenue. To stay ahead, more than
vague benchmarks are needed – credit unions should seek real-time, actionable
insights into their performance across every touchpoint.
More will look to trusted fintech partners to provide the innovative technology and expertise needed to spot gaps, optimize strategies and future-proof their organizations. This approach will not only strengthen member relationships but drive growth and help solidify a competitive advantage.
Barry
Kirby, co-founder and CRO, Union Credit
Credit
unions need to better connect with younger, digitally savvy consumers—the next
generation of members. Traditional methods like word-of-mouth and direct mail
are losing relevance. To stay competitive, credit unions must adopt technologies
that embed their products into digital shopping journeys, offering real-time
financing for big-ticket items like cars and furniture. Simplifying access to
their services will attract new audiences, modernize engagement, and enhance
member experiences. By meeting consumers where they are, credit unions can
remain true to their community-focused values while providing timely, relevant
solutions that align with evolving consumer expectations.
Dr. Siva Narendra, CEO, Tyfone
Many credit unions operate with limited budgets, making it difficult to fund comprehensive upgrades – and integrating modern solutions into legacy infrastructures can be slow and costly. Furthermore, we could see a shortage of tech-savvy personnel who can manage and implement these advanced systems and some cultural resistance to embracing digital transformation, delaying progress further. This said, credit unions increasingly recognize the need to modernize and are seeking partnerships with fintechs like Tyfone to enable this transformation. Instant payments via platforms like FedNow are already operational, and the integration of intelligent banking features is achievable with advancements in AI and machine learning.
Will Bryant, COO, Quantalytix
One of the most significant areas for improvement in credit unions will be the adoption of advanced data analytics and AI tools to better understand and serve their members. While many CUs have made strides in digital offerings, there’s still a gap when it comes to using data to drive personalized financial products and services. Enhancing data infrastructure and focusing on member segmentation will allow credit unions to deepen relationships, improve financial literacy, and offer more tailored solutions. Additionally, expanding their digital-first approach will be critical for competing with fintech and larger institutions.
Shelby
Austin, CEO, Arteria AI
Documentation remains a tremendous pain point across the
industry. The process of generating, negotiating, executing and monitoring
documentation remains largely unautomated. This has created inefficiency, risk
and cost in every process that involves a document, and the data remains
significantly underutilized. The solution set is here and real – modern
documentation technology digitizes documents to drive automation and
intelligence into core processes. For the majority of organizations, this is
largely an untapped opportunity where modest investments can yield outsized ROI
across the value chain.
Mac
Thompson, CEO & Founder, White Clay
Credit unions should invest in technology that builds real connections
between representatives and customers/members, rather than chasing ‘shiny new
objects’. With economic pressure rising and many living paycheck to paycheck,
financial institutions have a unique chance to differentiate themselves by
providing personalized financial support at critical moments. Tools that
analyze individual needs for tailored recommendations or identify disengaged
members for proactive outreach will foster trust and loyalty while driving
profitability for the institution.