Give Them What They Want: How Digital Connections Boost Member Engagement

It is undeniable that fintech is deeply engrained within the everyday experiences of credit union members. Members want to accomplish more in less time, wherever they may be. They have tossed out the checkbooks and instead grab their mobile devices. They no longer have to arrange to drop off a cash reimbursement to a friend who paid for dinner or remember to get cash to pay the babysitter. By harnessing the power of fintech, credit unions can meet and exceed member expectations.

Increasingly, peer-to-peer (P2P) payments is becoming the go-to choice for consumers. In fact, more than 8 in 10 consumers in virtually all segments utilize P2P, which is enjoying double-digit growth year over year. From 2021 to 2022, the number of consumers using three or more digital wallets increased 12%, according to a report from McKinsey.

Enhancing the Digital Banking Experience
Where are members seeking P2P solutions for everyday financial encounters? The answer is typically a third-party app – and not a credit union. One of the Curql Collective’s fintech partners, Neural Payments, is working to change that to bring a share of the $3.4 billion in deposits back from digital wallets and into credit union accounts.

Neural Payments offers a white-label P2P solution that embeds directly within a credit union’s digital banking. Because Neural Payments can send and receive funds to and from third-party apps, members no longer have to coordinate P2P apps with the receiver. This gives the member a seamless and far more convenient P2P experience. When members get what they want – an easier, more secure, and more convenient way to send payments – they return the favor by strengthening their loyalty to their credit union.

Directly offering P2P also allows credit unions to reduce costs, grow membership, and deepen member engagement every day. By eliminating or reducing check usage, processing costs can be reduced by $1 – $4 per transaction with Neural Payments. Digital acquisition costs are also reduced by up to $1,000 per acquisition. Additionally, a recent YouGov survey shared that most Americans want P2P within digital banking. Plus, 60% of young adults entering the marketplace report that they would switch financial institutions for an improved digital banking experience.

Convenience at their fingertips:
Gone are the days when financial transactions required getting cash, writing checks, and traveling to exchange funds. P2P solutions allow members to pick up a mobile device, enter either a phone number or email address and a payment amount, and confirm. With the built-in functionality of P2P within digital banking, Neural Payments makes P2P transactions even more convenient, as members no longer have to be concerned about which P2P platform their sender or recipient uses.

Enhanced security for peace of mind:
Security concerns in third-party P2P apps have made the news as scams and technological weaknesses have created victims in the P2P space. For this reason, it is paramount for credit unions to go the extra mile to secure their members’ funds and peace of mind. Neural Payments safeguards personal and financial information more effectively with robust encryption, multi-factor authentication, real-time fraud detection systems, and a structure that skips risky card registration.

Personalized financial management:
With digital banking, credit unions give members a wide variety of tools that empower members to take control of their finances. With the ability to pay bills, transfer funds, deposit checks, manage a budget and more, digital banking can still go a step further. Offering P2P right within digital banking is a convenience that gives members a further choice in how they live their daily lives. At the same time, embedded P2P seamlessly puts the credit union front and center as members navigate their financial decisions.

Building P2P right into digital banking is one of the purest forms of collaboration – both with innovative fintech and with members. Of course, we love that here at Curql Collective as it is our mission to bring fintech to credit unions. To learn more about the tech behind Neural Payments, visit neuralpayments.com.