Washington State Employees Credit Union created Q-Cash, a payday loan alternative, after tellers noticed checks were cashed on the line for common payday loan amounts and made payable to known storefront for-profit payday lenders. Branches in more economically depressed areas or near military bases saw the most member activity related to the payday loan industry.

So we began asking questions: How many members were going outside the credit union to get a product we didn't offer? What were our members' needs that were going unmet? Was finding an in-house solution a decision that made sense financially, philosophically and from a brand perspective?

Transaction analysis and additional data extrapolation over six months brought to light that WSECU members had borrowed more than $6 million from storefront payday lenders, paying more than $900,000 in interest during the previous year.