Young members are the future of credit unions.

Yet, in many nations, the average age of credit union members isin the mid-to-to late 40s, according to the World Council of Credit Unions in Madison, Wis.

In the U.S., U.K. and Australia, the median member age is 47,while the median age of credit union members in Canada is 53.Nations with the youngest cooperative members are Afghanistan (25),Malawi and Kenya (30), Jamaica and Cameroon (35), Guatemala (36)and Ghana (38).

With more than 208 million credit union members worldwide, theWorld Council is challenging the global cooperative movement to add50 million new members by 2020, particularly young members. Thereare 2.5 billion millennials, those born from 1980 to 2000, who makeup about a third of the global population, according to a study bymass media company Viacom.

To help credit unions achieve the 50 million goal, a new WorldCouncil report, “Our Global Challenge: Young Adult MembershipGrowth,” highlights 12 strategies that have helped credit unions inthe U.S., Canada, Latin America, Australia, and Africa attract anew generation of members.

1. Provide Online and Mobile Core Services

Convenience and ease of use can help attract young members.While they will use all banking channels, millennials will mostfrequently use mobile, online, ATM and a branch, in that order.

Young members want to apply for accounts and loans, depositchecks, transfer funds, pay bills and receive alerts via online andmobile, and their expectation is for each service to be easy andtake little time, according to the World Council report.

However, delivering those services can be very expensive.

To afford the convenience of online and mobile platforms, creditunions in Poland, Brazil, Mexico and the U.K., pool theirinformation technology investment to build shared payment platformsfor online and mobile channels. They also do the same for ATMnetworks and shared branching, just like cooperatives do in theU.S. and Canada.

To reach young members who live in remote regions of Mexico,Caja Yanga Credit Union employs field officers who travel bymotorbike to deliver financial services using smartphones andportable printers. This World Council's model, coined SemillaCooperativa, brought banking to more than 250,000 Mexicans in threeyears. About 44% of these new members are between 18-35 years ofage, according to the World Council.

2. Leverage PaymentServices

While many young people around the world have no connection to afinancial institution, they often use commerce or payment systemssuch as PayPal or Google Wallet.

“For the 18-24 age group, many of their bills are dividedamongst themselves, so mobile peer-to-peer payment solutions, suchas M-PESA in Kenya are in demand,” according to the World Council'sreport.

E-Kenya, a branchless credit union in Kenya, meets young adultdemand by operating a mobile service that offers 24/7 accessibilityto financial services.

Based on the World Council's developed network that connectscredit unions to the Safaricom's M-PESA platform, members are ableto make payments and access their accounts using their mobilephones. With more than 3,000 M-PESA agents throughout the country,withdrawing cash is more accessible and convenient for membersliving in rural areas.

3. Design Products for Life's Changes

When millennials enter young adulthood they often pursue theireducation, launch careers, buy a car and some may even invest in astarter home. Other young adults may get married and start havingkids.

However they decide to begin their life journey, millennialsneed to establish good credit to secure financial products andservices. Because they are making little or no money, developing asolid credit history can be challenging.

And that's where credit unions can step up to make young adultslifelong members.

The $2.2 billion EducationalEmployees Credit Union in Fresno, Calif., for example, offersyoung members age 18-24 with MyCash program, which includes freechecking and bill payment, no minimum balance, no monthly servicefees and free use of ATMS, according to the World Council'sreport.

The credit union also offers a student VISA card with a creditlimit and no annual fee, low-interest computer loans and auto loansat a rate discount based on their grade point average inschool.

4.Stand Out By Doing Good

Several studies have confirmed that young adults prefer tobelong to institutions with ethical reputations that take pride indoing good.

The $17.5 billion Vancity, one of Canada's largest credit unions in Vancouver,set out a new vision for redefining wealth. According to the WorldCouncil report, “the cooperative asked and answeredmission-critical questions such as “What are we here for? And, whatbusiness are we really in?” The answers: “We are in the bank and'feel good' business, and we are in the member-prosperity andcommunity impact business.”

To demonstrate that business model, Vancity launched three cashmobs to support community businesses, which also targeted25-34-year-old prospects to become members. The cooperativeexclusively promoted the cash mob events through social media sitesand local bloggers. The Canadian cooperative also produced a videoto get the word out.

Since implementing the “we make you good money by putting moneyto good” initiative three years ago, Vancity attracted 70,000 newmembers with a 14% increase in deposits and lending, according tothe World Council report.

5. Create a Culture ofWow!

You know the financial services industry is in trouble when 71%of millennials said they would rather go to the dentist than listento what banks are saying, according to the Brookings Institutionresearch paper, How Millennials Could Upend Wall Street andCorporate America.

Realizing that young adults expect things fast and easy andrespond more to experience over product, the $1 billion SanFrancisco Fire Credit Union decided to substantially improveits member experience by replacing what is easier for staff withwhat is easier for members, according to the World Councilreport.

For example, the San Francisco Fire CU revisited every policythat made becoming a new member difficult, including the need tofill out endless forms, which are now completed by the staff.

The credit union improved member experience by adopting youngadult-focused changes by being completely transparent andconnecting to young adults by hiring employees based on theirattitude and personality characteristics.

According to the World Council report, San Francisco FireCU also lets young adults do business their way by not onlyproviding mobile and online banking channels but also the branch,drive-up, ATM and call center. The credit union also regularlysurveys members and staff and makes appropriate changes based onthat feedback.

Millennial members now account for 38% of the total membership,representing the largest group of members at the Californiacooperative, according to the WOOCU report.

6. Turning Young Employees Into Ambassadors

When young credit union employees really understand the creditunion difference, they can become the cooperative's bestambassadors.

The World Council report cites Christopher Morris, director ofcommunications for the National Credit Union Foundation, who said it's important forcredit unions to develop an elevator speech to ensure all employeescan articulate the credit union difference in 30 seconds orless.

Other strategies include writing and telling the credit union'sstory, making the cooperative principles visible for all employees,incorporating the credit union difference in employee training andtaking field trips to other cooperatives.

“Invest in your staff professional development by encouragingthem to join young leaders' networks such as the World CouncilYoung Credit Union People program,” the World Council report reads.“WYCUP participants witness the phenomenal work done by their peersaround the world. They become more inspired to make a positivechange in their communities and more motivated to make a lifetimecareer in the credit union movement. Many WYCUP alumni have risenthrough the ranks to become credit union executives.”

7. RepresentYouth in Governance

If credit unions want to get serious about serving young adults,then why aren't they being represented in the boardroom? A FileneResearch Institute study found that only 6% of credit union boardmembers were under 40, while 42% were 60 or older.

Six years ago, the$1.4 billion Elevations Credit Union in Boulder, Colo., added ayoung voice to its board of directors, according to the WorldCouncil report.

The board appointed Kate Larson to the board in 2008. She waselected to the board in 2009 and became its chair in 2013 at age33. She joined the credit union in 2002 and worked thereafter college in 2002. As treasury manager for Chipotle MexicanGrill, she oversees domestic and international cash managementfunctions for more than 1,595 Chipotle restaurants in the UnitedStates, Canada, England, France and Germany.

As a board member, Larson inspired the creation of the NextGeneration Council of volunteers, management and members, who focuson the financial needs of young adults, according to the WorldCouncil report.

The Next Generation Council changed the credit union's approachon how it welcomed University of Colorado students on campus, whichresulted in one-third of freshmen opening an account withElevations CU. The cooperative also invested in an iPad applicationthat allows students to sign up for credit union membership.

What's more, the average age of an Elevation CU member is 37years old, about 10 years younger than the average age of a creditunion member.

8. Embrace Diversity

Generation Y is the most ethnically diverse generation inhistory. Citing the United Nations, the World Council report saidmore people than ever are living abroad. In 2013, more than 232million people were international migrants. That's up from 175million in 2000 and 154 million in 1990.

To serve Polish and Slavic immigrants, the $1.6 billion Polish& Slavic Federal Credit Union in Brooklyn, N.Y., offerslow-cost international remittances, as well as accounts forundocumented immigrants and temporary residents, according to theWorld Council report.

Bogdan Chmielewski, PSFCU president/CEO, said serving immigrantshas been key to the credit union's growth over the years.

However, because today's young immigrants are more educated andtechnologically sophisticated than previous generations, the creditunion offers mobile banking, remote deposit capture, expanded ATMnetworks, extended branch hours, merchant services for businessesand student loans.

In Australia, some credit unions are applying Islamic financeprinciples to serve a growing, young Muslim population.

In addition, the Traditional Credit Union in Australia made itsmission to provide basic financial services to indigenousAustralians who are much younger — about 21 — than the average ageof an Australian credit union member who is 47, according to theWorld Council report. TCU also provides members with financialcounseling. Because many members are low income or are on welfare,the credit union only offers small personal loans of up to $5,000and works with government grants to fund staff salaries.

9. Motivate Peer Recommendations

In Brazil, 100 credit unions operate under a single brand name,Sicredi, which manages $16 billion in assets and nearly 1,300branches, making it the second largest cooperative system inLatin America, according to the World Council report.

Since 2008, the credit unions have added 25,000 new members eachmonth since 2008 and now serve 2.7 million members. Through itscampaign to attract new members and build member loyalty, Sicredidiscovered that 74% of new members were motivated byrecommendations they received from others about credit unions.

Sicredi targets 18-25 year olds who have a broad network offriends and are not a customer of another financial institution.Designed to meet young adult needs, the credit unions offer aproduct called SicrediTouch, which is a combined debit and creditcard and mobile app that accesses a wide network of ATMs andbranches. The card can be customized with the member's photo.

In addition to a rewards program for redeeming miles ormerchandise, the card also offers protection against loss or theft,accident insurance and an emergency travel service. The productalso provides members access to emergency loans.

10. InitiateIncentive Programs

They say it's never too early to teach your kids aboutmoney.

The $60 million million Oswego County Federal Credit Union inOswego, N.Y. is leveraging money to incentivize kids to earn goodgrades.

Through a digital product brochure and a mobile app, the creditunion introduced a kid's club in which students receive a $1.50 forevery grade they earn that's higher than 90%. As a result, OswegoCounty FCU grew members in the 0-17 age group by 70% and members inthe 18-30 age group by 90% in the past decade, according to theWorld Council report.

To incentivize young members to borrow, the $420 millionSkyOne Federal Credit Union in Hawthorne, Calif., launched its“first-timer” program, which enables young members with little orno credit history to secure a loan or credit card by meeting only afew requirements.

The credit union also provides a complimentary financialcounseling service that includes an online live chat service forconvenient advice. In addition, SkyOne FCU provides an online“financial fitness” program that includes best practicesinformation about making big purchases, with which young membersmay have little experience, according to the World Councilreport.

11. Don't Just Post, Engage YourYoung Members

To attract young members a credit union has to go where theyare, and they are undoubtedly on social media. But credit unionsshould avoid posting bland, uninspiring marketing items on theirsocial media sites. Instead, cooperatives need to figure out howthey can engage young members by understanding what may appeal tothem.

The World Council report suggests five ways credit unions canengage young members.

First, it's important to understand that millennials areaccustomed to instant results at their fingertips. They are curiousabout the world and they are cause-oriented. Most importantly, theydo not just want to be seen, they also want to be heard and be partof something bigger.

And that's where the foundational values of the credit unionmovement can come into play.

Second, recruit millennials to support your social mediainitiatives by making them guest bloggers or on-cameraspokespersons to encourage participation in online discussions orin-person events. It's also important to subtlety weave the creditunion values of corporate responsibility into those blogs anddiscussions.

According to the World Council, credit unions in the U.S. andCanada have had success in attracting Gen Y members by implementingthe Young & Freeprogram that leverages young adult spokesters to deliverfinancial advice, videos and e-books to consistently engage youngmembers and prospects through social media.

Third, bring your brand to life with visuals such as photos,videos, interactive blogs or text posts

of the credit union's community events and sponsorships.

Fourth, build trust by not selling but informing members bydeveloping social media posts with valuable or useful informationthat directly benefits them and motivates them to follow you. Andfifth, track and analyze the performance of campaigns and programsand always be ready to make adjustments to meet your credit uniongoals.

12. Offer Financial Management Tools

Even among millennials with high levels of education and income,financial literacy is low, a Filene Research Institute studyshowed.

The World Council report suggested instead of hosting financialliteracy education at a branch, it might be more effective todeliver it on the Web, on mobile devices and social media. Duringonline forums, members can post questions about financial mattersand social media offers virtual consulting and financialadvice.

Web-based personal financial management tools also can appeal tosome members. The $928 million Unitus Community Credit Union in Portland, Ore., reportedmembers who use online PFM are among the most profitable and themost engaged members.

What's more, Lee Wetherington, a strategist in technology,banking and payments, said as online shopping increases, so doesthe demand for mobile PFM tools that can help consumers decide inreal time when and where to spend, according to the World Councilreport.