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PSCU to Offer Installment Payments Solution

St.
Petersburg, Fla. — (Feb. 10, 2021) —
 PSCU,
the nation’s premier payments credit union service organization (CUSO), today announced
it will soon offer a new Installment Payments solution. A buy-now, pay-later
installment plan, the offering allows cardholders to pay for purchases over a
fixed timeframe by dividing the purchase amount into smaller fixed payments,
giving credit union members the freedom to budget as needed and have more
control over their finances.

“The demand for this convenient payment option has grown
tremendously as consumers look to play more active roles in managing their
financial lives and has been further accelerated by the COVID-19 pandemic,
which has driven consumers to look for more ways to budget and improve their
finances,” said Jeremiah Lotz, managing vice president, Digital Experience
& Payments at PSCU. “In keeping with our commitment to delivering
innovative digital payment solutions, our Installment Payments offering will be
designed to provide credit unions a real opportunity to meet that demand, while
also increasing cardholder engagement and providing positive member experiences
– which will eventually turn into new revenue streams.”

When provided with the option of an
installment payment plan, consumers’ average ticket size increases by 50%,
according to Visa and Klarna Insights. The same research found that consumers not
only tend to spend more – leading to additional revenue for financial
institutions – but there is also a 20% increase in repeat purchases when
installments are offered. In addition, consumers benefit from the convenience
of buy now, pay later without having to apply for a new line of credit. With
post-purchase installments, credit union members are using their existing line
of credit with their trusted credit union.

The first phase of PSCU’s
Installment Payments offering will feature post-purchase installment payments
paid over a fixed amount of time, for a fixed amount, and will enable credit
unions to customize the criteria for their respective installment offers. The
Installment Payments solution will also integrate with PSCU’s Digital Xperience
(DX) suite of market-leading digital offerings and will be available through
APIs. The Installment Payments solution leverages technology from Fiserv, a
leading global provider of payments and financial services solutions.

“With Fiserv, PSCU is enabling
new Installment Payments offers to be delivered to credit union members. This technology
benefits members by providing more flexible ways to pay and positions PSCU to
effectively compete in the new buy now, pay later space,” said Katie Whalen, senior
vice president, North America Credit Processing at Fiserv. “We look forward to
continuing to partner with PSCU to bring new capabilities to market as consumer
purchasing and financing opportunities continue to grow and evolve.”

PSCU will begin piloting Installment Payments with credit
unions in the near future, to be followed by a general release.

About PSCU
PSCU, the nation’s premier payments CUSO, supports the success of 1,500 credit unions representing more than 5.4 billion transactions annually. Committed to service excellence and focused on innovation, PSCU’s payment processing, risk management, data and analytics, loyalty programs, digital banking, marketing, strategic consulting and mobile platforms help deliver possibilities and seamless member experiences. Comprehensive, 24/7/365 member support is provided by contact centers located throughout the United States. The origin of PSCU’s model is collaboration and scale, and the company has leveraged its influence on behalf of credit unions and their members for more than 40 years. Today, PSCU provides an end-to-end, competitive advantage that enables credit unions to securely grow and meet evolving consumer demands. For more information, visit pscu.com.

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