Driving Low-Cost Deposits that Deliver

About the Podcast

Many credit union executives assume that once they acquire new members, those members will embark on a journey to become loyal account holders. This assumption is often wrong. If those new members never fully onboarded or engaged with your credit union, then they’re costing you money.  So merely “winning the account” doesn’t really count.

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Preferred partner
Velocity Solutions
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Key Takeaways:

  • [01:56] We were in a non-traditional environment during COVID but as we started coming out of COVID the lending side really started picking up. 
  • [02:43] In 2022 we saw the most aggressive rate hike since the early 80’s. We created this environment where we went from a surplus of deposits and a zero basis to a lack of deposits at a much higher basis. 
  • [04:01] Nothing lasts forever. You have to deal with what is happening in front of you. 
  • [05:01] Credit unions truly have a chance to use this high-rate environment and their message in this marketplace to show some differentiations and grow deposits. 
  • [07:31] The national rate of closure including all banks and credit unions is about 40% within 12 months of new account openings. 
  • [09:46] It is much cheaper and faster to reacquire accounts that are dormant that go out and get a brand new member. You just failed to convert their behavior. 
  • [11:25] Today’s members live and die for the most part by the user interface and that user interface is almost predominantly on the mobile device.         

Presented By

Steve Swanston
Steve Swanston

Steve Swanston, EVP - Sales - Velocity Solutions

Steve Swanston joined Velocity Solutions in 2015 as Executive Vice President of Sales. He is responsible for defining the firm’s sales strategy via both organic and acquisition growth in order to maximize market share, as well as identifying and developing strategic partnerships with industry groups and channel partners. Steve previously spent 10 years working at John M. Floyd & Associates (JMFA) as Executive Vice President of Sales and Business Development where he was instrumental in the firm’s sales growth. Steve left JMFA in 2013 to join CU People as its Executive VP. CU People is a leading SaaS provider of human resource and payroll outsourcing solutions to credit unions. Steve has a BS in Journalism & Marketing from Texas A&M University and enjoys golf, college football and coaching his children’s baseball and soccer teams. As a resident of Houston, he has developed a deep sense of appreciation for air conditioning.

Velocity Solutions
Velocity Solutions is the NAFCU Services Preferred Partner for Account Holder Premium Card Rewards Program and Overdraft Management Solutions.

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