CUSOs Announce Expanded Fintech Relationships

Two CUSOs with fintech-related announcements: one involving a new credit union owner seeking an improved member experience; and another about expanding a relationship to help credit unions strengthen their portfolios.

The St. Petersburg, Fla.-based payments CUSO PSCU announced that $798 million Salem, Ore. Maps Credit Union joined the cooperative as its newest Owner. PSCU will provide Maps with debit and credit processing services and support for the credit union’s nearly 65,000 members.

Founded in 1935, Maps selected PSCU following a comprehensive review process. Maps said it wanted to transform the way it approaches the member experience and was also looking for a CUSO that placed strong emphasis on business intelligence and fraud mitigation capabilities.

“During our review process, it became clear that unparalleled member experience is clearly part of PSCU’s DNA,” Shane Saunders, chief experience officer of Maps said. “PSCU is focused on credit unions and their members—from a clear vision of the role of technology to a commitment to training its employees about the credit union difference and a long-term strategy for how credit unions can compete and succeed.”

In April 2019, PSCU successfully converted the credit union’s debit processing services, which affected nearly 75% of Maps Credit Union’s members—or 48,000 members. August should bring credit processing services.

“PSCU and Maps’ shared focus on the member experience makes this an ideal partnership,” said Scott Wagner, EVP/chief revenue officer of PSCU.

Farmington Hills, Mich.-based Member Driven Technologies, a CUSO that hosts Symitar’s Episys platform through its private cloud alternative for core processing, and global information services company Experian recently extended and strengthened their collaborative efforts.

According to the announcement, this enables MDT’s credit union clients to cost effectively access sophisticated credit risk management, identity verification and fraud prevention, marketing and automated decision-making tools to strengthen their portfolios. For more than 10 years, more than 50% of MDT’s clients have leveraged Experian’s technology to drive loan growth, diversify their portfolios and make overall better loan decisions. Both parties have a long history in the credit union space.

The $418 million Battle Creek, Mich.-based OMNI Community Credit Union has been using Experian through MDT for about 10 years. Debi Southworth, the credit union’s chief lending officer, explained, “Because of the unique MDT-Experian collaboration, we have been able to expand our products and services with Experian. These tools help us better understand our portfolio risk and make smarter, more informed decisions about individual loans and our overall portfolio.”

“The credit union landscape is more competitive than ever before; evolving technology, heightened member expectations and the entry of new competitors have all contributed to this changing environment,” Lisa Bonenfant, Experian’s vice president, credit union vertical said. “To compete and remain relevant, credit unions must invest in new technologies and strategies. Our tools help credit unions increase loan growth without introducing new risks, enabling them to thrive and grow. The collaboration with MDT allows credit unions to do so, easily and cost effectively.”

Larry Nichols, CEO, MDT explained. “Experian’s technology allows our credit unions to better manage risk, reduce fraud and strategically grow their portfolios with confidence. We’re proud to continue and enhance the work we do with Experian.”