Category Archives: Blog

3 Reasons Realtors and CUSOs are Perfect Partners

3 Reasons Realtors and CUSOs are Perfect Partners

Reason #1: 3 legs make a stool, and a sale

Bring together a buyer, a realtor and a lender and you have the ingredients for a successful home sale. A potential buyer seeking financing or a pre-approved buyer looking for the right property both benefit when realtors and lenders share referrals that get buyers the support they need.  

Reason #2: Team players win

Credit Union Service Organizations leverage the benefits of cooperation to provide member unions with services above and beyond what they can do for themselves. Realtors that collaborate with CUSOs can also benefit by gaining a wider source of referrals and offering buyers more options in financing.

Reason #3: Beyond the loan

Credit unions put the community in community banking, and for homebuyers looking to get established in a new neighborhood, a credit union can provide more than just a mortgage. Having all their banking business under one roof makes settling in easier for new owners, and the higher level of personalized service credit unions deliver reflects well on the referring realtor.  

We want to work with you!

Mortgage Markets CUSO operates for the benefit of credit unions and credit union members. Interested in learning more about becoming a Mortgage Markets CUSO partner? 

For Credit Unions, Fintech is a Team Sport

For Credit Unions, Fintech is a Team Sport

Fintech. It’s the mile-high wave causing financial organizations to paddle frantically to stay afloat. Recent studies show how pervasive and disruptive this wave will be:

  • 88% of legacy banking organizations fear losing revenue to financial technology companies in areas such as payments, money transfers, and personal loans. (PWC)
  • Among traditional financial organizations, 82% say they plan to increase collaboration with fintech companies in the next three to five years. (PWC)
  • While 60% of financial institutions now view fintechs as potential partners, nearly the same percentage (59.2%) are also actively developing their own in-house capabilities. (Capgemini) 
  • About 30% of consumers plan to increase their use of nontraditional financial services providers, but only 39% plan to continue using solely traditional service providers. (ICBA)
  • About 46% of today’s consumers use digital channels exclusively for their personal banking. (Singularity University).

Huddle Up to Win

That’s the big picture. For credit unions striving to compete in this changing fintech landscape, the challenge is complicated by a lack of capital for big tech development projects. CUJournal says, “Credit unions are devoting a substantial portion of their operational budgets keeping up with financial technology.”

Now the credit unions’ superpower, cooperation, comes to the rescue. Credit Union Times says, “Credit unions can compete with big bank/fintech alliances in developing innovative products by collaborating with other credit union organizations to find, foster, and showcase, potential financial technology partners and solutions.”

That’s where a CUSO comes in. A credit union looking to expand its fintech capabilities can turn to a CUSO as a source of expertise and collaboration partners to share the expense. Working with CUSO partners in fintech development has several advantages for credit unions over working directly with a fintech startup:

  • The clever solutions that fintech startups create may not address the real-world financial challenges of members. 
  • As a partner, the CUSO has a say in the development roadmap. That ensures future fintech products continue to serve the credit union community.
  • Popular fintech start-up companies can get acquired by large financial institutions, leaving the credit union scrambling to find a new partner.    

Closing the technology gap is a strategic imperative for credit unions.

Teaming up to innovate member-focused fintech through a CUSO is the smart play.

We want to work with you!

Mortgage Markets CUSO operates for the benefit of credit unions and credit union members. Interested in learning more about becoming a Mortgage Markets CUSO partner? 

Five Reasons Credit Unions Should Join a CUSO

Five Reasons Credit Unions Should Join a CUSO

We’re all in this together.

In a banking world dominated by competitive giants, credit unions stand apart due to their collaborative culture. Credit Union Service Organizations, or CUSOs, are a perfect example: an organization that offers credit unions the benefits and capabilities of a power player without losing the close-to-the-community approach that makes them so popular with consumers.

A CUSO can offer real advantages to credit unions offering mortgages. Here are five examples:

Full Service, Close to Home

Most credit unions can handle mortgage loan originations but may lack the expertise to perform processing, underwriting and closing as well. Servicing loans in-house often requires more staff and budget than a single credit union can support. In addition, mortgage loan servicing is governed by a complex network of regulations that are ever-changing and require constant monitoring. 

With the support of a CUSO, a credit union can operate as a one-stop-shop, offering members fast and efficient service from the financial institution they prefer. By outsourcing the servicing of the mortgage to the CUSO, credit unions can reduce their operating expenses and relieve the administrative burden on staff. With this capability at hand, credit unions can handle more mortgage business and strengthen relationships with their members. This way, credit unions can offer the same high-quality service on home loans that they are known for.

Experts on Call

Having access to experienced professionals at a mortgage CUSO provides credit unions with flexibility for the staffing shortages, origination volume surges, or if there is a need for a specialized mortgage loan product. With the CUSO as your back-office experts, your staff can focus on the customer care that ensures the all-important member satisfaction and retention.  

An Engine of Innovation

A credit union looking to expand its services can turn to the CUSO as a source of expertise and collaboration partners. A group of credit unions may join forces to research market opportunities, develop products, and share the expense of specialized talent. Access to such a well of expertise, and the collective innovation of the membership, ensures credit unions can offer a sophisticated array of products to remain competitive without bearing the entire development burden.   

Upgrade Together

In the competitive financial marketplace, credit unions must meet member expectations for fintech services and capabilities such as mortgage lending platforms and mortgage loan application processes to compete with goliaths like Rocket Mortgage. This is an especially urgent strategy for credit unions seeking to attract members from younger generations aging into their prime home-buying years.

Rather than each credit union shouldering all the cost and time investment of technology development, a CUSO can partner with technology companies. The resulting fintech solutions are made available to credit unions at a lower cost than via individual development, allowing for credit unions to compete in a ever-changing technology landscape.  

Accelerated Growth

Perhaps the most compelling reason for credit unions to explore a CUSO that offers mortgage lending services is the impact it can make in growth. A 2018 study for creditunions.com found that, over a five-year period, credit unions partnered with CUSOs outperformed those without.

If you’d like to learn more about Mortgage Markets CUSO and the advantages it can offer to your credit union, get in touch by emailing Michael Ferraro at mferraro@mortgagemarketscuso.com or by filling the form below.

We want to work with you!

Mortgage Markets CUSO operates for the benefit of credit unions and credit union members. Interested in learning more about becoming a Mortgage Markets CUSO partner?