LendingTools.com CEO Eric Goering positioned yesterday's announcement that the Wichita, Kansas-based developer of correspondent tools had won its first credit union deal with Kansas Corporate Credit Union as a victory 10 years in the making.
"We serve many banker's banks and have since 2001. This is our first deal with a corporate credit union. We believe there will be many more," he said.
Kansas Corporate Credit Union CEO Larry Eisenhauer said KCCU had selected LendingTools because its tools "put more power in our hands. In effect we will be able to provide our members all the services the Federal Reserve does. We also wlll be able to offer a single sign on - right now, members have multiple sign ons, depending on the services they are accessing. We also will have enhanced security."
He added that the deal would have "minimal impact on our bottomline."
"We are talking with other corporates," Goering added. "We hope the KCCU deal is the beginning of a much broader set of relationships. We are not a U.S. Central but we serve a similar purpose. What happened to U.S. Central has opened the door to us. Before, we wanted into the credit union market but there was not room. Now there is."
Eisenhauer noted that the contract with LendingTools needs to be finalized and also requires approval by the KCCU board. He anticipates that will come within 30 to 45 days.
As to why the announcement was made when several loose threads still need to be tied up, Goering said: "We thought it was important to get this out. That's why we issued a release. Other corporates are analyzing what their futures will look like and we wanted them to know what we can do."