Skip to main content

Driving Growth in the Year of the Rabbit

01/07/2023 CUToday

By John Vardallas

Screen Shot 2023-01-06 at 1.09.15 PM

According to the Chinese Calendar 2023 is the Zodiac Year of the Rabbit. The Rabbit personality is focused on peace, prosperity, longevity and access. People born in this year are calm, decisive, rarely panic and cautioned to think twice before acting to be successful in their plans.

In terms of wealth, Rabbits will be careful about watching their money and entering monetary relationships with others. So do not expect a big windfall achievement in the year of the Rabbit. Bracing for trouble and being cautious and reasonable about money will help one go through the year smoothly. 

Like the rabbit, credit union leaders must monitor the changing economic conditions and impact on consumers’ (our members’) lives and invest in analytics that look for opportunities to meet new needs. 

And like Rabbits we must be wary and keep an Eye on the Two I’s-—inflation and interest rates.

2023 will be the real year of test regarding the contracting economy and the recessionary carry over from 2022. It will give our credit unions a chance to put into practice our re-imagining strategies for the future during a challenging economy.

More than ever, 2023 will be the time for our CU leadership to be bold, think more like futurists and implement recent post-COVID lessons learned that have impacted our operations and serving members.

Dangle Some Carrots

And, like getting a rabbit’s attention, your credit union should dangle some “incentive carrots” to get members to use more of your services: rewards programs, rate specials, free education seminar/webinars, credit reports and easy mobile payments.

Credit unions should value even more the contributions employees bring to the workplace, especially during the Great Resignation, and support them in embracing our business transformation while generating value from exceeding member expectations and experiences.

More than ever during an uncertain economy, credit unions must continue to tell our story more, be heroes to our members and keep demonstrating our mission/purpose and community inclusiveness. Focus on continuing to be a trusted advisor/first financial responder and life-line to our members financial needs.

Suggested Strategies

Some suggested recession-buster growth strategies to consider for 2023 include:

  • Offer incentives/rewards (low-rate cards) to members for doing more business with your credit union
  • Increase CU’s products/services
  • Give members a strong member experience (MX)
  • Provide more electronic ad remoted lending/online ordering transactions capabilities, and do its 24/7/365
  • Offer retirement planning (Wills) serviced
  • Increase non-interest income (credit life/disability insurance products)
  • Promote home equity loans (home offices/family caves/backyard landscaping)
  • Help more members needing financial assistance and counseling
  • Provide loans for boats/personal watercraft, RV, camper, ATVs
  • Be ready to respond to pent-up desire for new/used cars
  • Provide member business loans (including to cannabis businesses and suppliers)
  • Offer green loans for solar panels (for commercial and home use), as well as hybrid and EV autos
  • Offer first (second vacation) and travel loans
  • Pursue the those unhappy customer refugees (Wells Fargo) and demonstrate how credit union membership is a better financial value 

One Final Thing

Finally, the overall economy is likely to be weaker in the coming year. However, due to strong net worth, earnings and assets, credit unions will have the capacity to lend and grow. Credit unions have always survived challenging times and members will be looking for guidance, help and their assets preserved. 

2023 will be no time to go down rabbit holes. Credit union leaders will need to work smarter, be brave and pounce upon this opportunity for the credit union difference to shine. 

It may mean the difference between just surviving and thriving. 

That’s all, folks.

John A. Vardalas is founder/CEO of The American BoomeR Group, a Madison, Wis. based speaking/business consulting firm for credit unoins. He can be reached at jvardallas@aol.com/www.theamericanboomer.com

Comments

Post a Comment

Please no profanity or political comments.

Popular posts from this blog

Sunday Reading - Social Security 101

  Social Studies   Social Security 101 The US Social Security   system is best known for providing income to the nation’s elderly population based on the amount of money they earned during their working years.   The Social Security Act of 1935 established the program  amid the worsening poverty crisis that older Americans faced during the Great Depression. By 1934, more than half of those aged 65 and older lacked sufficient income to cover their basic living expenses.    Today, most US workers are familiar with seeing a percentage of their pretax income deducted from their paychecks and contributed to the nation’s Social Security trust funds. Starting a...
Post a Comment
Read Complete Article HERE>»

Dolphin Debit Drives Efficiency

  Contact Us   4k Surcharge-Free ATMs for Free   Dolphin Debit Access | 1340 Rayford Rd | Spring, TX 77386 . Joe Woods, CUDE  | SVP, Marketing & Partnerships Dolphin Debit Access, LLC | A Euronet Company 1340 Rayford Park Rd., Spring, TX 77386 (M) 614-378-0367   www.dolphindebit.com ================================================= Remember, you're not alone with  NCOFCU.org Join/Upgrade Check out some of NCOFCU's additional features: First Responder Credit Union Academy Financial Literacy Podcasts YouTube Mini's Blog Job Board
Post a Comment
Read Complete Article HERE>»

“The CU Teller of the Future”:

  “The CU Teller of the Future” : Credit union tellers will continue to play an important role, but their work will shift from routine transactions to relationship-driven financial guidance. Technology will handle more basic tasks, freeing tellers to focus on personalized service, financial coaching, and member trust. What Future Tellers Will Focus On The teller of the future will deliver member-centric, personalized experiences by anticipating needs, offering proactive guidance, and explaining financial products in simple, supportive ways. They’ll need to be comfortable working across multiple channels —in person, mobile, chat, and video—while keeping service seamless. A security-first mindset will be essential, including fraud awareness and helping members practice safe digital habits. Tellers will also play a growing role in financial wellness , assisting with budgeting, saving, debt management, and long-term planning. Strong knowledge of compliance and documentation will...
Post a Comment
Read Complete Article HERE>»

'Tis the season for fraud! Teller questions if member fraud is suspected.

  When a credit union employee suspects a member may be subject to fraud, they should initiate a careful conversation focusing on the nature of the transaction and external influences. The goal is to help the member identify red flags without the employee asking for sensitive personal information that the credit union should already have on file.  Initial Verification Questions    .pdf Before discussing the specifics of the suspicious activity, the employee should confirm the member's identity in accordance with established internal protocols.  Questions About the Transaction/Activity If the member confirms they are conducting a suspicious transaction (e.g., a large wire transfer or purchase of gift cards ), the employee should ask questions to help the member pause and think critically:  "What is the purpose of this transaction?" "Do you personally know the person or business you are sending money to?" "Have you ever met the...
Post a Comment
Read Complete Article HERE>»

‘No One Wants a New Car Now.’ WSJ Columnist Offers His Take on Why

NEW YORK–That new car smell isn’t quite the intoxicating perfume it has been for a long time, according to one automotive analyst. Under the headline, “No One Wants a New Car Now. Here’s Why,” the Wall Street Journal’s well-regarded automotive columnist, Dan Neal, observed that “America’s fleet of cars and trucks is also getting long in the tooth.” Neal’s reference was to a study by S&P Global Mobility that found the average age of vehicles in the U.S. is now 12.6 years, up more than 14 months since 2014, with the average age of passenger cars hitting14 years. All-Time High Burden “In the past, the average-age statistic was taken as a sign of transportation’s burden on household budgets,” Neal wrote. “Those burdens remain near all-time hig...
Post a Comment
Read Complete Article HERE>»

Advice On Winning Over Gen Z In ’25

NEW YORK—As 2025 approaches the close of Q1, how can credit unions win over Gen Z? By tailoring credit rewards for a digital-first generation, a new report recommends. Gen Z is reshaping the workforce and redefining financial behaviors. As of 2024, this generation is poised to surpass Baby Boomers in workforce size and will make up 30% of the workforce by 2030. This rapid growth presents a major opportunity for financial institutions to tap into a younger, digitally native audience with distinct spending habits and financial needs, emphasized a GlobalData report authored by Zachary Johnson, specialist, campaign execution & strategy, financial services at VDX.tv. “Unlike previous generations, Gen Z’s economic journey has been shaped by inflation and delayed career starts due to the pandemic and skyrocketing living costs. These factors have made them highly dependent on credit, with Gen Zers being 23% more likely to own a credit card than Millennials at the same age, and carrying...
Post a Comment
Read Complete Article HERE>»

Sunday Reading - Budweiser 101

Draft Horses   Budweiser 101 Perhaps best known for its Super Bowl Clydesdale ads, Budweiser   is among the world’s most popular beer brands. It was among the first beers to achieve national distribution in the late 19th century, thanks to its revolutionary refrigeration and pasteurization techniques, setting the stage for the modern US beer industry.   Founded in the 1850s as the “Bavarian Brewery,” the company was acquired in 1860 by Eberhard Anheuser. He sold half of it to his son-in-law,  Adolphus Busch ,   in 1869, forming the partnership that would become Anheuser-Busch in St. Louis, Missouri.   In the 1870s, Carl Conrad , a St. Louis distributor, traveled through a Bohemian town called “Budweis” in German and drank a pale lager. Upon returning home, he worked with Anheuser-Busch to brew its own light lager, marketing it under the ...
Post a Comment
Read Complete Article HERE>»

IRS Issues Ruling on Federal Credit Unions and COVID Credit

WASHINGTON–The Internal Revenue Service has issued a ruling that credit unions can receive a 2021 COVID Credit, but not 2020. In other words, federally chartered CUs can’t claim the employee retention credit for periods in 2020 but can do so for periods in 2021, because later amendments to the terms of the credit made them eligible, according to the IRS. Specifically, FCUs can’t claim the credit for wages paid after March 12, 2020, and before Jan. 1, 2021. The ruling was issued by the IRS Office of Chief Counsel in a newly released legal  memorandum . According to the IRS, FCUs are able to claim the credit for wages paid after Dec. 31, 2020, and before Oct. 1, 2021, the IRS said. The Employee Retention Credit (ERC) – sometimes called the Empl...
Post a Comment
Read Complete Article HERE>»

Chairman Hauptman’s Remarks for FLEC Public Meeting (Trump Accounts)

  As Prepared for Delivery on February 6, 2026 Meeting Focus: Implementation and Outreach for Trump Accounts Good morning and thank you to our colleagues at the U.S. Department of the Treasury and members of the Financial Literacy and Education Commission for convening today’s important discussion. I also want to express my appreciation for this body’s leadership in encouraging savings and advancing the broader goal we all share—ensuring that every American has a meaningful opportunity to build financial capability, resilience, and long-term financial security. There’s a lot to like about Trump Accounts, including how easy it is to start the process when filing your taxes. These accounts were clearly designed with behavioral economics in mind. That is to say, things that are easier to do are more likely to get done. Trump accounts also turn all these kids into investors. The more Americans that identify as investors, the better off we are. Investing done by regular people turns Mar...
Post a Comment
Read Complete Article HERE>»