BY CHUCK KLEIN
How does a credit union meet its growth objective goals while providing its members with the best possible experience? Efficiency is the key to overcoming this conundrum. Electronic transaction automation solutions maximize the ability to accomplish both of a CU’s main objectives. See how they can improve your credit union’s processes.
There is never going to be a single answer to what it takes for a credit to reach its growth objectives. Is the correct response delivering more innovative solutions? Competing with the rising number of non-traditional lenders in the marketplace? Facilitating effective account openings? It’s all of the above. Meeting these goals while also providing the best possible member experience, however, can be difficult. Today, enhancing the member experience means not only ensuring that members have a variety of self-service options that allow them to complete a process where they’re most comfortable, whether that be in branch or from their home or office, but also operating with greater efficiencies.
When it comes to increasing member convenience, technology certainly provides options to simplify what were once long, arduous processes. Electronic transaction (eTransaction) automation solutions such as eSignatures and electronic workflow technology can support credit unions in achieving maximum growth. At the same time, they enable CUs to also provide a wide range of benefits that improve processes for members and credit union employees alike. With fully integrated eTransaction automation solutions, credit unions can provide innovative options for their members that allow them to compete with the growing number of financial services providers.
Using eSignatures to make every process cost and time effective
The costs of various credit union processes can quickly add up, particularly when credit union employees find themselves constantly printing and shipping paper documents between branches and to members. These expenditures become an issue when the money and time spent on mailing and processing paper documents could instead be focused on providing optimal service experiences to members visiting a branch.
Tucson, Arizona-based Hughes Federal Credit Union was facing this exact problem: manual, paper-based lending processes meant that their express mail and front-office staff expenses were continuing to grow. However, after implementing eSignatures from IMM, the credit union found that such implementation not only improved its loan closure rate but greatly simplified the loan process for members as well. Total loan processing time after implementing eSignatures dropped from several weeks to two hours. In addition, the cost to facilitate signing paper loan documents dropped from $40 per loan using express mail options to $0 with remote digital signatures in place. Overall, Hughes FCU experienced a calculated annualized cost savings of nearly $107,000. After seeing the cost savings associated with eSignatures deployment on lending documents, the credit union expanded its use of the technology. By applying it across all member services and operations, the cost savings and their associated return on investment amplified.