CU 2.0 Podcast Episode 104 Brad Powell Redboard the Smarter Audit Software

You know the feelings - powerlessness, exasperation, maybe even anger - and know that these are typical for credit union staff involved in audits conducted by regulators.

Those audits are routine but for many credit unions they are an ordeal.

Why?  Maybe 8 in 10 credit unions still handle issues that arise in an audit the same way they did in 1990, that is, a  lot of email flies around to staff ("Handle the attached request from the auditor") and everything is logged into a tracking spreadsheet.

Except some items never make it into the spreadsheet.  Some emails go missing. And anxiety and frustration boil over.

Those credit unions are drowning in minutiae.

Here's the life preserver.

Enter Redboard, a software tool that automates the process and, says Redboard CEO Brad Powell, the software pays for itself in reduced staff time alone.

Some audit software is hard to use. Not Redboard. When asked, Powell said it's "so easy even a caveman can use it." 

He added that "we build our software on the same principle that Apple builds the iPhone," that is, there is significant sophistication but, for most users, what they experience is how easy it all is. 


Hear the Powell podcast here.

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Find out more about CU2.0 and the digital transformation of credit unions here. It's a journey every credit union needs to take. Pronto

CU 2.0 Podcast Episode 103 Pablo DeFilippi of Inclusiv on Diversity, Equity, Inclusion DEI 3

"The credit union industry needs to reflect the community," said Pablo DeFilippi, a senior vice president at Inclusiv, the association for community development credit unions, a past CEO of the Lower East Side People's Federal Credit Union in New York, and a leading voice in the push for more Diversity, Equity and Inclusion in the credit union universe.

He points out that, as nation, we are becoming ever more diverse.  Indeed, by 2045, the US will become "minority white," according to demographers.

The time for change is here and, said DeFilippi, he hopes we are moving beyond statements alone - well meaning as they may be - and into action.

He reminds us that the nation's first credit union, St. Mary's Bank, was founded in 1908 by French Canadian immigrants in Manchester, New Hampshire, who felt excluded by mainstream financial institutions.

DeFilippi's point: this kind of outreach is in the credit union DNA, it is a mission credit unions are well positioned to fulfill.

DeFilippi worries that the nation's minority depository institutions will be under particular strains as the nation's deep recession amounts to an existential threat.

But he also is pleased to be able to report that Inclusiv members issued perhaps $1 billion in PPP loans (and note this interview was recorded just before the PPP application deadline was extended from June 30 to August 8th).

Listen to why he is optimistic that we are indeed on the edge of real changes.

It's an upbeat podcast.

Hear the DeFilippi podcast here.

There are many related podcasts in this series, including #100 with Victor Miguel Corro of Coopera, another CU DEI Collective member, 101 with Renee Sattiewhite of the African American Credit Union Coalition, and also Cathie Mahon, CEO of Inclusiv, also a CU DEI Collective member. And a podcast with Cliff Rosenthal, a pioneer in the CDFI world.  

Like what you are hearing? Find out how you can help sponsor this podcast here. Very affordable sponsorship packages are available. Email rjmcgarvey@gmail.com

And like this podcast on whatever service you use to stream it. That matters.

Find out more about CU2.0 and the digital transformation of credit unions here. It's a journey every credit union needs to take. Pronto

CU 2.0 Podcast Episode 102 Andrew Wang Peach Street on Mortgage Servicing

The subtitle for this podcast should be All You Wanted to Know About Mortgage Servicing But Were Afraid to Ask.

Our guest is Andrew Wang, CEO of Peach Street, a new approach to mortgage servicing that just may be exactly what many credit unions want.

Most mortgages are passed off to third party servicers for two reasons. The servicers know the government regs and how to comply and they also are skilled at cutting costs.

Most see mortgage servicing as commoditized and the only difference between companies is price.

Enter Peach Street which puts a focus on consumer experience, customer experience, and technology.

Lost at many mortgage servicers is interest in the consumer experience, if only because the servicer's customer is the financial institution that owns the paper.

Peach Street wants to win by offering a new model where experiences matter.

A lot of what the consumer needs will be delivered via self service online - but in most surveys that approach lowers consumer friction.

"This is about a 30 year relationship," said Wang, who adds that, done right, mortgage servicing can become a vehicle where the financial institution cross sells products to a happy consumer.

"Mortgage servicers should think of themselves less as a collection agency and more as a financial adviser," said Wang.

Along the way, Wang tells how Peach Tree has ended NSF fees for its consumers and also its innovative thinking about how to handle foreclosure in a way that benefits the homeowner, the lender and the community.

See what we meant: this is all you waned to know about mortgage servicers and didn't know to ask.

Listen to the Wang podcast here.

Like what you are hearing? Find out how you can help sponsor this podcast here. Very affordable sponsorship packages are available. Email rjmcgarvey@gmail.com

And like this podcast on whatever service you use to stream it. That matters.

Find out more about CU2.0 and the digital transformation of credit unions here. It's a journey every credit union needs to take. Pronto

CU 2.0 Podcast Episode 101 Renee Sattiewhite AACUC on Credit Unions, Race and the US DEI

Is there racism in US financial institutions?

Can credit unions make a difference in the fight to combat racism?

Yes is the answer to both, says Renee Sattiewhite, CEO of the African American Credit Union Coalition, a founding member of the CU DEI Collective which is centered around this belief: "We believe that diversity, equity, and inclusion is good business and is fundamental to a vibrant, relevant and growing Credit Union Movement."

That is the key: practicing DEI is both the right thing to do and good business.

The US increasingly is a minority majority country.

So is today's DEI movement likely to result in real changes?

Or is it another well intended effort that results in little substantive?

Ask Sattiewhite and she will tell you she is optimistic. Maybe cautiously so. But optimistic nonetheless.

"This time is different," she said.


The time for change is here, she believes, a reality dramatized by weeks of coast to coast protests against racism and police brutality.

"I believe credit unions can lead the way in helping America eradicate racism."

Sattiewhite is keenly interested in job opportunities in credit unions for people of color and she has numbers: there now are 15 African American CEOs of credit unions, including 6 at billion dollar institutions.

Could there be more?  "I look at this and see a glass half full," said Sattiewhite, who added that credit union can do more, better in hiring minority professionals, promoting them, and - this is key - recruiting minority board members.

Hear the Renee Sattiewhite podcast here.

There are many related podcasts in this series, including #100 with Victor Miguel Corro of Coopera, another CU DEI Collective member, and also Cathie Mahon, CEO of Inclusiv, also a CU DEI Collective member.

Sattiewhite also offers a shout out to Jim Blaine, a past podcast guest for his support of AACUC.

Like what you are hearing? Find out how you can help sponsor this podcast here. Very affordable sponsorship packages are available. Email rjmcgarvey@gmail.com

And like this podcast on whatever service you use to stream it. That matters.

Find out more about CU2.0 and the digital transformation of credit unions here. It's a journey every credit union needs to take. Pronto

CU2.0 Podcast Episode 100 Coopera's Victor Miguel Corro on Race and Credit Unions in 2020

Something is happening, something big, when it comes to the US and race relations and this is making itself felt in financial services.

That's the strong opinion of Victor Miguel Corro, CEO of Coopera,  a consulting firm - started with support from the Iowa Credit Union League - that helps credit unions meet the needs of Hispanic consumers.

That market is huge.  In less than thirty years, one in three US consumers will be Hispanic, said Corro. Right now, Hispanics are about 15% of the US population.

But this conversation is about still more - the founding of the CU DEI Collective, by some 15 credit union related organizations, including CUNA, CUNA Mutual, Filene.  The organization explains its purpose: "The CU Diversity, Equity and Inclusion Collective is an expanding group being formed within the Credit Union Movement devoted to furthering DEI, a shared cooperative principle. We believe that diversity, equity, and inclusion is good business and is fundamental to a vibrant, relevant and growing Credit Union Movement."

Corro was in on the founding.  Several additional podcasts with other credit union people are in the works and will post as we continue our coverage of what may be the other huge issue now confronting credit unions (Covid-19 of course is the other).

A credit union disconnect, said Corro, is despite the expanding multicultural character of US society, 90% of credit union board and c-suite positions are filled by non Hispanic whites.

But the credit union board, and its executive team, to succeed have to look more like the communities they serve, said Corro.

This is an expansive conversation.  The foundation is Corro's belief that, for a credit union, a multicultural tilt is not simpy a good thing to do, it also is good business. It's a way to stay relevant in a society that is changing its face.

Regular listeners will recall Corro from an early podcast, #17. Catch up with it here.

A related podcast is with Cathie Mahon, CEO of Inclusiv, the association of community development credit unions. Hear her here.

Hear the new Corro podcast here.

Like what you are hearing? Find out how you can help sponsor this podcast here. Very affordable sponsorship packages are available. Email rjmcgarvey@gmail.com

And like this podcast on whatever service you use to stream it. That matters.

Find out more about CU2.0 and the digital transformation of credit unions here. It's a journey every credit union needs to take. Pronto

CU2.0 Podcast Episode 99 Brad Smith on the Post-Pandemic Tech You Need Now

Call it a sea change - a massive alteration of the US financial services landscape.  Everything seems different today and it is because of the pandemic.

What do you need to be thinking abut now to survive tomorrow?

An interview I did with Cornerstone consulting firm's Brad Smith for a CUInsight article left me wanting more from Smith and here it is, a one-on-one podcast where we hear what smart credit unions are doing today.

Like what? Like recognizing that the mainstage role of the branch finally is over, probably forever. Smith is not saying he thinks branches are toast - he doesn't - but he thinks their role is necessarily changing as many of us have gotten accustomed to not needing the branch and many of us also are simply fearful of places like branches.

Much financial services has shifted to digital and there it will stay.

"The challenge for credit unions now is learning to sell through the digital channel," said Smith - and many institutions are playing catch up.  There's no time to delay.

An unexpected problem, said Smith, is that the economy's collapse has necessitated taking a new look at the FICO scores that used to enable confident and instant credit decisioning.  But that 800 score of May may be today's 700 score and falling due to late pays, job loss, and worse.

How can an institution provide the fast decisioning consumers now expect - but do it safely? Smith has thoughts.

Another big winner today: MRDC, said Smith. Even those who had scorned it are diving in.

One more big winner: video chat.  We use it at work and we are now ready to use it in financial services. "Video conferencing will be another net winner," said Smith.

An area where credit unions need to hop to it: credit card rewards programs need restructuring. The big players - Amex, Chase, Capital One - already are on the move.  Credit unions need to think fast and hard about this. But not many are, Smith admitted.

A last pandemic triggered push: a huge drive for cost savings and efficiencies. Many credit unions are looking to trim costs on commodity tech - think core systems - and redirect monies into strategic tech - such as true digital account opening.

Big changes are in motion.  Smith offers a road map in this podcast.  Take notes.

Hear the Smith podcast here.

Like what you are hearing? Find out how you can help sponsor this podcast here. Very affordable sponsorship packages are available. Email rjmcgarvey@gmail.com

And like this podcast on whatever service you use to stream it. That matters.

Find out more about CU2.0 and the digital transformation of credit unions here. It's a journey every credit union needs to take. Pronto