Bank Transfer Day: CUs Preparing, Promoting
If more people transfer their accounts to credit unions because of Bank Transfer Day. it could be a mixed blessing for some credit unions. However, that’s a problem many credit unions would be glad to worry about.
Credit unions have to find ways to invest the money they receive from new deposits on or around Bank Transfer Day on Nov. 5. That could be a challenge because of low interest rates and caps of business lending, according to several industry experts.
NAFCU Chief Economist Tun Wai advised credit unions that once they get the new deposits, to redouble their efforts to prevent people from switching financial institutions.
“People move from financial institution to financial institution constantly, and you have to make sure you develop the right relationship with members and that will persuade them to stay with your credit union,” he said.