Credit unions which process card transactions with The Members Group, a payments CUSO affiliated with the Iowa Credit Union League, will soon be able to start offering their cardholders merchant-funded rewards.
With merchant-funded rewards, merchants carry the cost burden often associated with rewards redemption. Merchants benefit from increased sales as a result of the program, creating what TMG's Matt Flynn, director of client relations, calls a win-win for financial institutions and retailers.
The trickle-down effect of Durbin's cap on debt interchange and increased competition for the coveted "top of wallet" position among issuers is creating a need for a holistic set of tools to help community financial institutions get the most out of their portfolios, Flynn said.
Complete your profile to continue reading and get FREE access to CUTimes.com, part of your ALM digital membership.
Your access to unlimited CUTimes.com content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- Breaking credit union news and analysis, on-site and via our newsletters and custom alerts
- Weekly Shared Accounts podcast featuring exclusive interviews with industry leaders
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the commercial real estate and financial advisory markets on our other ALM sites, GlobeSt.com and ThinkAdvisor.com
Already have an account? Sign In Now
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
