Backbase, the global leader in Engagement Banking, today announced that Atomic, the leader in consumer-enabled direct deposit switch technologies, will integrate its direct deposit and income and employment verification capabilities directly into Backbase’s Engagement Banking Platform. Through this partnership, financial institutions can offer their customers the ability to digitally switch direct deposits during account setup and electronically confirm income and employment details during loan processes, enhancing user experience and increasing user retention. With this partnership, the entire process of switching accounts and verifying income will become digitally seamless, removing what is now a paper method that is full of friction, takes more time, and is also open to fraud. Customers are expecting digital-first solutions, and now, financial institutions can meet that demand to deliver a pain-free customer experience that increases primary banking relationships. Atomic’s integration into Backbases’s Engagement Banking Platform helps community banks and credit unions become more competitive by offering the following benefits:
This latest partnership with Atomic further expands Backbase’s Fintech-as-a-Service (FaaS) offering, which enables banks and credit unions to elevate their customer and member experience by seamlessly incorporating cutting-edge features directly into their apps. By integrating Atomic's direct deposit switch and income verification technologies into Backbase's Engagement Banking Platform, financial institutions are able to decrease time-to-market while making contracting easier and more streamlined. “We understand how important it is for banks and credit unions to provide more flexibility to their customers and members when it comes to managing their finances. It also aids in customer retention as it makes for a more seamless user experience,” said Mayank Somaiya, Director, Global Head of Fintech-as-a-Service, Backbase. “By integrating Atomic into our Fintech-as-a-Service offering, financial institutions are in a better position to upgrade their banking applications with high-demand features, like offering account holders a convenient and secure way to switch deposits.” In addition to offering a fully integrated solution that allows account holders to set up and switch direct deposits quickly and conveniently, financial institutions can also leverage Atomic to authenticate user income and employment details for loan evaluations. This helps financial institutions to grow and strengthen direct deposits, account acquisition, and primary customer relationships. “Combining Atomic's leading direct deposit switch technology with Backbase’s cutting-edge Engagement Banking Platform is a win-win,” said Jordan Wright, Co-Founder and CEO of Atomic. “These financial institutions can also expand their lending operations by leveraging digital income and employment verification directly within their online and mobile banking platforms. We're focused on providing financial institutions with a toolkit to modernize their operations and exceed customer expectations.” Atomic's solutions use patent-pending TrueAuth connectivity technology to securely update direct deposits and verify income and employment. With TrueAuth, users authenticate directly on their own devices, eliminating the need to share passwords with Atomic. This approach not only empowers users by giving them control over their own data, but also reinforces trust and a commitment to privacy. For a smooth user experience, TrueAuth integrates natively with password managers and biometrics, thereby driving higher conversion rates. Backbase and Atomic will be at Money20/20 USA in Las Vegas Oct. 22-25 and can be found at booth #3006 (Atomic) and #14710 (Backbase). Backbase will be speaking on Sunday, Oct. 22 at 9:15 a.m. in the Marcello room, Level 4 and demoing the same day at 2:10 p.m. in the San Polo room, Level 3. Atomic will also be speaking on Sunday, Oct. 22 at 3:05 p.m. in the Murano room, Level 3 and on Monday, Oct. 23 at 3 p.m. for the Announcement Showcase.
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Seemingly out of nowhere, some things take the world by storm and leave us wondering how “salty” became an adjective for people and “tea” a synonym for “gossip.” If real-time payments are having the same effect, you’ve come to the right place. Defining Real-Time PaymentsOver the last two years especially, there’s been a lot of talk about faster and real-time payments, and the changes they’re expected to prompt within the financial services industry. In that time, we’ve found that a railroad metaphor can help us more easily visualize how faster and real-time payments differ from legacy forms of payment. Real-time payments are a type of faster payment using new rails, built from the ground up, to move transactions instantly. Just as locomotives have evolved over the centuries from being powered by coal and steam to diesel and electricity in order to improve efficiency and customer experience, so too have payments. Furthermore, faster and real-time payments are not one and the same. Same day ACH transfers were the first form of faster payment to debut, taking up to several hours on a weekday. The next faster payment to come onto the scene, debit card push payments, take less than 30 minutes, with the average transfer occurring in 18 seconds! Just as ACH and cards run on their own unique networks, so do real-time payments. The first real-time payments network debuted on a new set of rails in 2017. Unlike faster payments, real-time payments move and settle funds instantaneously, 24 hours a day, 365 days per year (24x365). They are also irrevocable: once sent, they are final. Why Real-Time Payments MatterA Co-Op CU Growth Outlook (2023) found that credit union members have triple the number of financial relationships as most non-credit union members on average. Furthermore, predictions show that members are willing and likely to migrate their financial relationships to institutions that can provide the experience they want. A credit union’s payment offerings (or lack thereof) have the power to make or break the member relationship, particularly as other non-traditional institutions and fintechs unveil solutions to satisfy the evolving needs of consumers, businesses and merchants. Understanding the Real-Time NetworksThere are two major networks that can facilitate tried-and-true real-time payments.
The two real-time networks are similar in that they both address the unique features that make a payment real-time (i.e., instant settlement, finality, and immediate funds availability). However, differences exist in areas such as transaction limits, funding requirements and fraud controls that need to be understood as part of the decisioning and implementation processes. Attributes of Both Networks
Comparison of Other Key Elements & Features of the Networks Selecting a Real-Time NetworkConnecting to a real-time network is a must in order to offer true real-time payment capabilities to your members. If you want your members to be able to send and receive real-time payments via both the RTP® and FedNow networks, then your credit union will need to be connected to both networks. This is because transactions cannot cross networks. Ultimately, a credit union’s real-time network decisions will hinge on member expectations as well as operational and financial considerations. It’s up to you to determine what makes sense for your credit union and your members. Envisioning Real-Time Payments in Real LifeReal-time payments are about more than simply speed and convenience; they have the power to change the way a credit union’s consumer and business members live their lives. Consumers, for example, may seek ways to pay bills at the last minute without being penalized. Gig workers could receive their paycheck for the same day’s work and immediately use those funds for necessities. Business members can optimize their cash flow and have greater confidence that funds received are good to use for purchasing supplies. A credit union’s payment offerings have the potential to fulfill each of these needs. How Alloya Can HelpAlloya offers a full suite of products that credit unions can mix and match to meet their unique needs. Each offering can be used as a standalone solution or bundled with others. Real-Time Payment Processing (FedNow® Service and/or RTP®)
Real-Time Settlement (FedNow® Service and/or RTP®)
P2P Solution(s)
For more information, visit Alloya Corporate Federal Credit Union. In an era where navigating the legislative landscape has become increasingly complex for businesses, Credit Union National Association’s (CUNA) Associate Business Membership program serves as a beacon of guidance and advocacy. CUNA is pleased to welcome three new businesses that have recently become Associate Business members, further bolstering the program's impact on the industry – Aequilibrium Software, Constellation Digital Partners, Inc., and myCUmortgage. Michelle Johnson, manager of CUNA Associate Business Membership, elaborates on the essence of becoming a member: "Joining the program isn't just about membership; it's about becoming a force for positive change in the credit union ecosystem. Through this partnership, our united voice ensures that credit union priorities are front and center in Washington." Being an Associate Business member comes with advantages designed to supercharge market presence and reliability. Members enjoy discounted annual fees for CUNA events, complimentary digital subscriptions to Credit Union Magazine, and special pricing for advertising and exhibit spaces at the Governmental Affairs Conference. Associate Business members are also granted exclusive access to CUNA's extensive educational and training materials, coupled with real-time updates on vital industry regulations and emerging trends. "As members, these organizations are not just receiving perks; they're gaining a competitive advantage. Their deep engagement with the credit union world enables them to stay ahead of the curve," said Johnson. myCUmortgage is a Credit Union Service Organization (CUSO) offering comprehensive products and services that empower partner credit unions to be great mortgage lenders. “myCUmortgage stands with CUNA in the belief that the best resource to help Americans become homeowners is their trusted credit union. Since we began in 2001, our mortgage CUSO has assisted credit union partners in helping over 132,000 members with homeownership,” said Paul Sutor, interim president at myCUmortgage. Constellation Digital Partners is a leading provider of digital banking solutions that enable credit unions to deliver a unique and customized digital banking experience to their members. Their patented open-development platform allows credit unions to pursue innovative fintech services at the pace of their individual digital strategy. “From its inception, Constellation’s goal has been to empower credit unions to best meet the present – and future – digital demands of their members,” said Kris Kovacs, founder and CEO of Constellation. “This aligns well with CUNA’s commitment and vision to support the best interests of all credit unions and their membership and to foster the continued growth of our industry.” Aequilibrium is a digital consulting and implementation services company headquartered in Vancouver, BC. Their expertise lies in creating customizable digital banking platforms and immersive learning in virtual realities. “Research shows that 75% of consumers will switch financial institutions if they have a poor digital experience. By joining CUNA’s Associate Business Member Program, we continue our mission to enrich the lives of 100 million people with remarkable digital experiences for both the credit union and their members,” said Adrian Moise, CEO and founder of Aequilibrium. "By committing to both CUNA's advocacy efforts and the larger credit union movement, these companies underscore the growing recognition that a unified and impactful voice is critical for advancing and protecting the credit union industry," said Johnson. Texans Credit Union (Texans), a leading credit union in North Texas, announces its 70 years of business on Saturday, Oct. 21. The anniversary is in conjunction with International Credit Union Day and will be accompanied by a celebration at Texans headquarters located at 777 E. Campbell Road, from 10 a.m. - 2 p.m. The public event welcomes Texans’ members, families and the wider community. Attendees can enjoy live music, local food trucks, participate in raffles and giveaways, a car show and more to commemorate the credit union’s milestone of 70 years in business and its commitment to the North Texas community since its establishment in 1953. “Attaining the remarkable achievement of seven decades in business is an extraordinary accomplishment that reflects the dedication of our entire team and the loyalty of our valued members,” said David Frazier, president and CEO of Texans Credit Union. “Our commitment to service, financial excellence and community engagement has been the cornerstone of our success over the years. As we celebrate this milestone, we are not only looking back with pride but also forward with great anticipation. Our vision expands beyond the next seven decades, as we are determined to continue serving our communities, adapting to their evolving needs and making a lasting impact on the lives of our members.” In 1953, 11 Texas Instruments (TI) employees contributed $5 to establish ‘Texins Credit Union,’ dedicated to fostering thrift and providing affordable loans to fellow TI employees. Following the group’s petition to the Texas Banking Commission, the State of Texas granted Texins charter, officially establishing the credit union, which gained 267 members and $6,855.73 in assets within three months. Over time, Texins Credit Union transformed into Texans Credit Union, broadening its reach to serve the entire North Texas community, not solely TI employees. Today, Texans stands as a flourishing institution with 250 employees, a loyal membership base of 120,000 individuals and impressive assets totaling $2.1 billion, and looks forward to continued success and growth in the next 70 years. For more information about Texans, how to become a member or its services, visit Texans online at texanscu.org or in person at the credit union’s 11 branches. To RSVP to the 70th anniversary celebration, visit the organization’s Eventbrite. PSCU – the nation’s premier payments CUSO and an integrated financial technology solutions provider – published the October edition of the PSCU Payments Index, the goal of which is to provide information and insights to help financial institutions navigate the evolving financial landscape to make informed, strategic decisions for their organizations and members. Actions continue to speak louder than words. Consumer payment behavior remained positive for both credit and debit in this month’s PSCU Payments Index despite a drop in consumer sentiment for September, while the 12-month rate of inflation remained unchanged. This month’s Deep Dive investigates discretionary spending trends in September results. The Consumer Confidence Index declined again in September to 103.0 (1985=100), down from a revised 108.7 in August. Consumers remain concerned with rising prices in general, notably with groceries and gasoline, along with the current political situation and higher interest rates. In the September survey, the decline in confidence spanned all age groups and was notable with consumers of household incomes of $50,000 or more. In the Labor Department’s Oct. 12 update, the Consumer Price Index (CPI) increased by 0.4% for September, with more than half of the increase attributable to shelter. The annual rate of inflation remained flat from the August update at 3.7% through September, while the energy index rose 1.5%. Excluding the volatile energy and food sectors, core CPI increased 0.3%. The next Federal Open Market Committee (FOMC) meeting is scheduled for Oct. 31 – Nov. 1. In a much stronger than expected update, the Bureau of Labor Statistics (BLS) reported in its September 2023 jobs report that 336,000 jobs were added for the month, with increased jobs in leisure and hospitality, government, health care, professional, scientific, and technical services and social assistance. In the September report, the July and August jobs updates were both revised upwards by 79,000 and 40,000, respectively. These are the first upward job revisions after seven months of downward revisions. The overall unemployment rate was unchanged, remaining at 3.8%, or 6.4 million people, for September. While President Biden signed a short-term measure to fund the government on Sept. 30, the new deadline for Congress to pass a longer-term bill is Nov. 17. Without a speaker of the House of Representatives currently in place, this date looms large as a government shutdown will have a substantive impact on the U.S. economy. “Consumers adjust their spending patterns, shifting between discretionary and non-discretionary expenses based on changing priorities,” said James Wester, co-Head of Payments and director of Digital Assets and Cryptocurrency Practice at Javelin Strategy & Research. “The COVID-19 pandemic was a clear example – with a reduction in discretionary spending on items such as travel and entertainment, followed by an increased focus on essential non-discretionary purchases like replacing household items. As we look forward to 2024, it will be interesting to observe how tighter budgets may lead to a decline in discretionary spending.” A sampling of key takeaways from the October report includes:
The full report is available for download here or can be shared as a PDF upon request. Please let us know of any questions or additional needs, or if you’d like to coordinate an interview. California-based Wescom Credit Union today announced its Name, Image and Likeness (NIL) partnership with members of the entire UCLA Women’s Basketball team for the 2023-2024 season. This is the first time an entire UCLA sports team has signed a NIL deal since the NCAA enacted the new rules for student-athletes in 2021. “Our new NIL partnership with all members of the UCLA Women’s Basketball team not only furthers our already deep connection with UCLA Athletics, but this collaboration will help advance womens’ athletic programs while providing economic opportunity for UCLA’s female student-athletes,” stated Ashley White, Senior Vice President and Chief Marketing Officer of Wescom Credit Union. “We are proud to offer our continued support and comprehensive financial resources to the Bruin community, helping build better lives on and off campus.” Wescom is the Official Banking Partner of UCLA Athletics, and the UCLA Women’s Basketball team plays at the University’s storied Pauley Pavilion Presented by Wescom. In addition to the NIL partnership with all 12 student-athletes on the UCLA Women’s Basketball team, Wescom also inked a partnership with the Michael Price Family UCLA Women’s Head Basketball Coach, Cori Close. The UCLA Women’s Basketball team has appeared in six of the last seven NCAA tournaments and finished as conference tournament runner-up in the Pac-12 last season with a 27-10 overall record[1]. The team made it to the Sweet 16 before being eliminated by the NCAA Champion, South Carolina. Bruins are predicated to be top three in the nation heading into the 2023-24 season[2]. "Wescom's commitment to supporting female student-athletes means so much to me," reflected UCLA Bruins Guard Londynn Jones, a sophomore who hails from Riverside, California. "My goal is to play professional basketball after I graduate, so I really value the financial education they provide to UCLA student-athletes. And as a Bruin who grew up in SoCal, I particularly appreciate Wescom's commitment to supporting UCLA and all Southern Californians through their charitable giving and community involvement." This alignment marks the second official UCLA NIL partnership for Wescom, demonstrating Wescom’s unwavering commitment to building a robust NIL ecosystem for UCLA athletes. Previously, from August 2022 to February 2023, Wescom had its inaugural NIL partnership with UCLA Women’s Softball student-athlete Maya Brady. Wescom has supported and partnered with UCLA for more than seven years now. In addition to being the Official Banking Partner of UCLA Athletics, the Credit Union is also the Official Banking Partner of the UCLA Alumni Association, UCLA Campus Life and Recreation, UCLA Dashew Center for International Students and Scholars, and the Rose Bowl Stadium. Additionally, Wescom is an Official Partner of Associated Students of UCLA (ASUCLA). To learn more about Wescom’s NIL partnership with members of the UCLA Women’s Basketball Team, please visit wescom.org/nil. Mahalo Banking, a CUSO that provides online and mobile banking solutions for credit unions, has launched its Credential Assurance Technology (CAT). This technology is the first of its kind engineered to protect credit unions and their members against credential stuffing attempts. According to a recent study by the Identity Defined Security Alliance, 84% of respondents said their organizations have experienced a data breach, many of which involve compromised credentials. These stolen credentials are often used via automated bots to hack credit union member login credentials, causing serious help desk support load as well as member concerns and confusion. Mahalo’s CAT helps credit unions combat security threats by augmenting the traditional account sign-in process, creating an environment that entirely disrupts bot functioning and makes credential stuffing impossible. Most importantly, this cutting-edge design does not require CAPTCHAs, bot detection or other invasive methods that impact the existing member login experience. “Credential stuffing is a costly, time-consuming challenge that continues to plague credit unions across the United States,” said Jim Stickley, President and CEO of Mahalo. “If your credit union has not been targeted yet, it’s just a matter of time so it was important for us to create a solution that would resolve this issue without adding new barriers or disruption for credit union members. What we have created has simply changed the game. When our CAT solution is enabled, credential stuffing simply does not work.“ "Customer data privacy and security are a priority for credit unions,” said Denny Howell, COO of Mahalo. “With CAT, credit unions can confidently safeguard member accounts and help prevent the attacks that come at a high cost. I’m proud of our team’s unwavering commitment to producing innovations that address the all-too-common obstacles faced by credit unions to redefine the digital banking experience.” Leading cloud-native digital banking services provider Constellation Digital Partners (Constellation) announced that Catalyst Corporate Federal Credit Union (Catalyst Corporate - $54 billion in managed assets) has partnered with the fintech to deliver its remote deposit capture solution, TranzCapture, to credit unions on the Constellation Digital Banking platform. Designed and built specifically for credit unions, TranzCapture was created by Catalyst Corporate and is owned by four of the nation’s largest corporate credit unions through a CUSO partnership which represents over 3,500 credit unions – or 65% of all credit unions nationwide. Through TranzCapture’s Constellation integration, Constellation member credit unions have access to mobile deposit capture, which enables their members to deposit checks from smart devices anytime, anywhere. TranzCapture’s mobile capture integrates easily with a financial institution’s backend systems, allowing proactive fraud detection on all mobile deposits. Additionally, Catalyst is also offering a TranzCapture integration to provide members the ability to view their deposited images. Catalyst Corporate partners with credit unions across the nation to enhance their success and relevance through innovative payments, investments, liquidity and balance sheet management solutions. As one of Constellation’s initial investors, the corporate credit union has worked with the fintech from its inception. “We really liked the idea of a vendor-agnostic application universe where credit unions could go to create their own customized online banking solutions to suit their specific needs,” said Diana Hennel, Chief Technology Officer for Catalyst Corporate. “Friction that sometimes characterizes core integrations can be minimized by using a marketplace like Constellation’s Digital Banking platform, where we provide game-changing solutions directly to our members.” Through its partnership with Constellation, Catalyst Corporate seeks to expand the reach of its TranzCapture platform to more credit union members. “Partnering with Constellation offers tremendous value and opportunities for both of our respective client bases,” said Hennel. “As the number of physical checks continues to decline, so too do the updates and features for many other providers in this space. However, Catalyst is committed to ensuring our members always have access to the most up-to-date, best-of-breed check capture capabilities. What’s more, Constellation’s platform will allow us to scale for this quickly and efficiently, supporting our continued expansion and investment to further consolidate check capture across the credit union industry.” “We are excited to partner with Catalyst Corporate and to help expand the availability of its powerful remote deposit capture solution further throughout the industry,” said Kris Kovacs, Founder and CEO of Constellation. “Our Constellation Digital Banking platform is designed to provide today’s credit unions access to a comprehensive ecosystem of the most cutting-edge technologies, like TranzCapture, to meet the needs of their members, while allowing quick, seamless integrations.” OneAZ Credit Union, Arizona Financial Credit Union, TruWest Credit Union and Landings Credit Union are thrilled to celebrate the local credit union movement with the first annual Arizona Credit Union Week (#AZCUWeek). This inaugural celebration will spotlight the multitude of ways credit unions empower financial independence, strengthen local economies, and serve as a force for good in neighborhoods and communities across Arizona. The week of October 16, OneAZ, Arizona Financial, TruWest and Landings Credit Unions will team up for several days of activities that culminate with International Credit Union Day on October 19. Fans can tell their favorite credit union story and follow the fun all week long with the hashtag #AZCUWeek.
“Arizona’s credit unions are a mighty force for empowering members’ dreams, driving economic development, and inspiring community action,” said Brandon Michaels, OneAZ Credit Union President & CEO. “Arizona Credit Union Week is a chance for us to celebrate our members and the ways in which we elevate their financial well-being and improve lives in their communities.” “With deep roots in our local community, we are pleased to join members in celebration of Arizona Credit Union Week,” said Brian Lee, Landings Credit Union President & CEO “With a commitment to financial education, tools and resources for wealth management and a members first approach, we spotlight how credit unions continue to create a lasting impact within the communities they serve.” Arizona’s credit unions play a critical role in stimulating the Arizona economy. In 2022 alone, credit unions created $3.7 billion in economic contributions. Here are some of the ways credit unions have impacted Arizona’s economy:
“Arizona Credit Union Week is an incredible opportunity for Arizona credit unions to showcase their core value of ‘people helping people’ through an impactful week of education, service, and surprises,” said Alan Althouse, TruWest Credit Union President & CEO. “We aim to create positive financial outcomes for individuals and families through financial literacy education, loans for small businesses, sponsoring community events and funding charitable causes,” said Amy Hysell, Arizona Financial Credit Union President & CEO. “We look forward to celebrating Arizona Credit Union Week with members of our local community.” Homebase Federal Credit Union ($262 million assets; 17,227 members), US Community Credit Union ($296 million assets; 27,297 members), and Southwest Financial Federal Credit Union ($78 million assets; 8,893 members) have all chosen Corelation’s KeyStone as their new core processor. The decisions of the three credit unions to partner with Corelation stem from the compelling synergy between Corelation's strategic partnerships and KeyStone's exceptional seamless integration capabilities. "We chose to partner with Corelation based on their stellar industry reputation, marked by leadership in acquiring new clients and positive feedback from existing ones, showcasing their dedication to service, support, and client relationships,” shared Clint Summers, President/CEO of Homebase Federal Credit Union. “KeyStone stood out with its proven track record of seamless integrations with third-party solutions, continuous relevant updates tailored to credit unions, and a steadfast focus on empowering clients to own their data and member relationships.” Both Homebase Federal Credit Union and US Community Credit Union were impressed with Corelation’s culture and KeyStone’s open architecture. “Two major factors drove our decision to choose KeyStone as our new core. First, the open nature of the system that allows us to bring the vendors of our choosing into our environment was critical,” said Nathan Brown, EVP/CFO of US Community Credit Union. “Culture was also a central theme throughout our core selection process. At each step of the process, Corelation’s culture stood out as a major differentiator. We are thrilled to be partnering with Corelation and excited about what the future holds!” Like US Community Credit Union, Southwest Financial Federal Credit Union is enthusiastic about exploring the potential integrations and partnerships made possible by KeyStone. “Our primary focus during the search for a new core was finding a solution with an open API that would enable us to collaborate with industry leaders and offer products and services our members need and expect. It quickly became evident that Corelation was the ideal partner for us,” shared President/CEO of Southwest Financial Credit Union Melanie Kennedy. “We are excited about the integration possibilities and partnerships that KeyStone can offer us. Additionally, several credit unions in our immediate vicinity have already transitioned to KeyStone or are in the process of doing so, and they have expressed satisfaction with the product and the level of support. Our conversion date can’t come fast enough!” All three credit unions are scheduled to convert to KeyStone in 2024 and 2025. “We feel privileged to extend a warm welcome to Homebase Federal Credit Union, US Community Credit Union, and Southwest Financial Federal Credit Union. We are eager to offer our unwavering support to these new partners as they embark on their KeyStone core journey,” expressed Corelation President Rob Landis. “Cultivating strong client relationships lies at the heart of our mission, and we are profoundly grateful for the newfound trust these new partners have placed in both our organization and KeyStone.” |
Author: Mike LawsonMarried to a most gorgeous and wonderful wife, raising 5 kiddos (including twins!), enjoy helping others tell their stories, and love surfing SoCal waves. Keep it simple. Archives
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