Ignoring Minorities Could be Big CU Mistake

NEW ORLEANS – Credit unions that claim that multicultural members aren’t an issue at their credit union may be inadvertently turning away business from the $2 trillion spending multicultural market. According to EthnoConnect President Michael Lee, credit unions may subtly be sending the signal to people from other cultures that ” we don’t want you here” which is why they may not be going to the credit union branches. Lee says that he guarantees that minorities are the future face of credit union members. Branch environments that operate under an “ American-only perspective” of “why don’t they do as we do” are not welcoming and put off potential members. “Right now 33% of the U.S. is minorities, by 2050 they will be the majority and have more of an impact on the U.S.,” said Lee. “Those people are in the future of credit unions and the good news is that this group does not trust banks, which can be a huge opportunity for credit unions to step in and emphasize that credit union difference.” Lee adds that this untapped market makes for the perfect members because they represent a growing population of good savers that prefer and value smaller member-owned institutions. Building trust through financial literacy and community marketing efforts is vital to credit unions reaching this target market.