Keeping Up With Financial Technology

AI, chatbots, IoT, fintech disruptors, APIs, open banking, digitization, cloud, cybersecurity. The terms and technology come fast and furious leaving credit unions and their tech partners racing to keep up.

Some of the challenges and issues facing credit unions and their partners when it comes to sustaining frontline technology was the focus of a discussion with Ted Bilke, president of Monett, Mo.-based Jack Henry & Associate’s Symitar division; Robb Gaynor, GM digital banking of Austin, Texas-based Malauzai, a Finastra Company; Mickey Goldwasser, VP of marketing of Glastonbury, Conn.-based Payrailz; John Levy, EVP of Rahway, N.J.-based IMM; Keith Malbrue, chief information officer of the $1.4 billion Dallas-based Credit Union of Texas; and Joe Salesky, CEO at San Francisco-based CRMNEXT.

First the collection examined some tools and techniques needed to help credit unions deliver a positive member experience.

CUTX like many credit unions sought to keep up with expectations through a core conversion. Malbrue noted that afforded the financial institution with the opportunity to touch every software application and hardware connected to the system. “Previous to the upgrade, we chose to update our internet banking and mobile banking platforms. In addition to these major platforms, we also chose to upgrade our collections software prior to the core conversion as well.”

Goldwasser defined their role. “We’re all in the job of trying to help all these credit unions compete, so it’s important that people know they can get the same type of technology larger institutions can offer and therefore satisfy their members.”  Levy pointed out for fintech companies it is all about digital transformation and providing tools supporting credit unions so they can go cradle-to-grave for processing, whether its lending, loan servicing, account opening, etc.

“The core’s role is to be that black box at the center that allows the member to transact business, apply consistent business logic across the channels and be the system of record for the transaction,” Bilke pointed out.

Gaynor highlighted three priorities every credit union should focus on right now: A positive member experience, member business services, specifically focused on solutions and tools for small business members who also have personal accounts; and credit unions paying attention to the open API movement.

Salesky stated, “The best credit unions have focused on ensuring the member experience feels frictionless and easy like Amazon purchases, yet as personal and consultative as your primary care physician or the apple store.”

Read the entire first part of the discussion in the October 10 issue of CU Times.