RANCHO CUCAMONGA, Calf. -- CO-OP Financial Services announced that it would begin offering prepaid cards to participating credit unions in July.
The two cards will aim to address the travel and youth markets, CO-OP announced.
"Our travel reloadable card negates the need to ever carry traveler's checks or a lot of cash. Our youth card is a terrific way for credit unions to reach out to teenagers, it teaches youngsters about fiscal responsibility, and parents can easily monitor all spending," explained Stan Hollen, CO-OP president/CEO. "Both cards can be used at point-of-sale locations and to get cash at 25,000 surcharge-free CO-OP Network ATMs. By adding these products to their offerings, credit unions can enter a market sector that is just taking off. In fact, some projections have the youth card market exceeding $5 billion in 2009," he added.
CO-OP already had reloadable prepaid cards and gift cards available. Hollen said the cards provide additional noninterest income as well as help CUs tap the difficult to reach younger demographic as well as underserved communities that may not qualify for a checking account or traditional credit card.
CO-OP said its travel card could be loaded with between $100 and $3,000 and the youth card from between $20 and $3,000. Participating CUs will be able to sell the cards in their branches and brand them with their own logo.
Select-A-Branch Gets Hand
From ATM Manufacturer
LONG BEACH, Miss. -- Select-A-Branch, the ATM network offering institutions individual branding, is getting help from ATM manufacturer Triton.
Triton, which specializes in less expensive machines for retail markets and small- to mid-sized financial institutions, has partnered with S-A-B because their machines easily take the S-A-B software.
Triton will sponsor a Webinar on July 16 to help introduce S-A-B to credit unions.
N.C. CU Starts Debit Sweepstakes
RALEIGH, N.C. -- The $830 million Local Government Federal Credit Union has inaugurated a sweepstakes to reward members for using their debit cards.
According to the credit union, members will be entered into the sweepstakes every time they use their debit card at a retail point of sale, no matter if they validate their transaction with a signature or a personal identification number.
The sweepstake's prizes include two $25,000 prizes and a $1,000 prize for each month the contest runs from July 1 through Dec. 31.
"One swipe equals one entry--it's that simple," explained LGFCU President Maurice Smith in announcing the contest. "It's up to them how they want the transaction to be processed. Our goal is to reward members the easiest way we know how, and tying that reward into something most of them do on a regular basis--use their debit card--was the best way we could think of to reach the most members and offer them the chance to win this money."
CO-OP Home Deposit Comes to Star One
RANCHO CUCAMONGA, Calif.-- The $3.7 billion Star One Credit Union, headquartered in Sunnyvale, Calif., has adopted CO-OP Financial Services' My Deposit service.
My Deposit allows credit union members to scan and deposit checks remotely from their homes or offices, over the Internet.
Additionally, according to Star One Vice President Margarete Mucker, the credit union with 77,000 members across the world has also opted to use CO-OP for ATM driving.
"As the Silicon Valley's largest member-owned financial institution, Star One has been built on a foundation of strength and stability," said Mucker. "CO-OP, with its proven technology and unrivaled record within the credit union industry, provides us with a stable source for many of our long-term financial solutions.
"We started solely as a PIN-based client with CO-OP, and recently have added ATM driving and the image enabled products. It simply makes sense to have all of these delivery channels handled by CO-OP."
"Star One is the leading credit union in the world's high-tech hub, so we're proud that they're among the first financial institutions to offer a collection of our breakthrough check imaging products," said CO-OP President/CEO Stan Hollen.
In other CO-OP news, the CUSO announced that 111 CUs from across the U.S. have joined its CO-OP Network since Jan. 1, 2008. These include the $1.28 billion Chartway Federal Credit Union and $1.27 billion GECU.
"Nearly one-third of our new members are concentrated in Southern states like Alabama, Florida, Louisiana, South Carolina, Tennessee, Texas and Virginia, areas where CO-OP Network has seen considerable growth over the past few years," said Hollen. "While we've established retail partnerships with chains like 7-Eleven, Costco and Walgreens to expand CO-OP Network's off-premise surcharge-free ATM locations, credit union ATMs remain the foundation of our network."