FARMERS BRANCH, Texas - Dick Ensweiler, Texas Credit Union League president and CEO, recently celebrated his 5th anniversary at the League. As a career credit union professional, Credit Union Times asked Ensweiler for his perspective on issues affecting Texas credit unions and the entire credit union movement. Excerpts from the interview follow: CU Times: What are some of the League's current projects? Ensweiler: We're working with credit unions to develop a stronger presence with legislators and to increase member involvement in the political process. We're working on doing a better job of branding and communicating the credit union difference through Project Differentiation statements. We have a two-year goal for every credit union in Texas to have a Web site, and we're working with our smallest credit unions to develop theirs now. Information management used to be the primary function of associations. It's not as critical now because credit unions can often find information on their own via the Internet. So we're playing a more active role in bringing peer groups together, such as councils for COOs, CFOs, and technology personnel and roundtables for credit unions based on asset category. CU Times: You've said credit union training is a priority at TCUL. What does this encompass? Ensweiler: At this year's Annual Meeting, we increased the number of education sessions and raised the calibre of our speakers. Credit unions also have continuously requested training on a local basis, so our consultants are doing more training. Beyond that, we were recognized by CUNA for selling the most certificate programs last year: STAR, VAP, Merit and VLP. That's no accident. We're really pushing people to become as educated as they can about the role they play in their credit union as a professional or volunteer. I'm really proud of our CUEST (Credit Union Educational Site for Training and Technology) program. We have 15 modules that people can use to create a lending library or an education laboratory. The greatest benefit of these modules is consistency of training. People receive initial training with them and when it's time to refresh, they go back to them. When new people come on board, they're trained with the same information so that the entire staff is on the same page. That's got to be a trainer's dream for everyone to hear the same message. CUEST doesn't take the place of an internal training program, but it surely does augment. CU Times: As the president of Texas Credit Union Foundation, you've been involved in a new financial education initiative. What is "Your State and Mine" all about? Ensweiler: We have traditionally had a foundation that funds scholarships and responds to disaster relief calls. Then we began assisting credit unions in their operations, especially providing small credit unions with computers and fax machines. Our newest strategy is helping credit unions do a better job in the community in which they live by teaching people how to better manage their finances. We're going into community centers, churches, places where people gather. The hook is to get school-age kids, but we're going to do it after work and probably with a dinner in order to get mom and dad at the table, too. In the guise of providing education to the kids, we hope to educate parents, too. This is a bold new direction. We have approached over 100 corporations and foundations that have a similar view of what's important to the community. Consumer Credit Counseling Services is going to train credit union people to conduct the sessions. There also are partners who will put up the money and partners who bring expertise to the table. Schools don't do this. Home economics is nothing about the economics of running a home; it's everything BUT money and finance. Somebody's got to teach kids how to shop for interest when buying a car, how to look at an apartment lease, how to balance a checkbook, and why they need to save. CU Times: In celebrating your 5th anniversary with TCUL, what do you visualize for credit unions, the League and the movement over the next five years? Ensweiler: TCUL will be promoting technological proficiency, but at the same time credit unions can never abandon the personal touch. Even those who have strong Internet loan applications find that only 25% are approved that way. People are still going to need somebody to take an interest in their account. They want someone to listen to their particular situation so that loans can be made, an account can be shared, or tax planning can be done. I think you're going to see credit unions with greeters at the door, welcoming the member, showing that real personal touch, having a cup of coffee. I think the member will be handed off to their personal account representative, who will take a real interest in them, help them and stay with that account. When possible, they'll be shown how to deal with the credit union electronically or in other ways to get the job done. It's a long way from where we are now, but it's where we need to be. As I look at consolidation in the banking industry-how big they're getting and how proficient they've become with their technology-and when I see that's where the banking emphasis is, I also note that in order to make mergers work, banks have to cut back on staffing so that they have the same income with less expense. That means closing up branches, reducing convenience. It means taking more people out of the middle of the equation and getting customers to deal with the bank externally. That will open up enormous opportunities for credit unions if we will continue to meet members face to face. We can assist them in using the credit union electronically but emphasize that someone is always available on their behalf. That's the absolute difference between why a credit union exists and why a bank exists. We're here to provide service - period. Banks are here to maximize stockholder equity - period. With the number of CUs decreasing and dues sources decreasing, Leagues will have to be ever more efficient, doing more with less. On the other hand, it challenges us to look for new funding opportunities. I'm a big believer that Leagues, like other good businesses, should look for funding from a variety of sources. We should emphasize the sales and services that we can provide to help CUs, thereby lessening the dependency on dues. But dues are important. If credit unions spend money on dues, they have an expectation of service and a belief that they will benefit. That keeps us sharp. -
JFWrite@aol.com
