With the recent national market trends in the payments industry, the smaller card issuers are struggling more and more. What this means is that to create a successful card program you must closely weigh all the options. Here are some that are worthy of consideration:
- Don’t stay stagnant: create and execute a growth strategy for the long term benefit of your business
- Make sure to evaluate the current card processing partner completely, making sure they are doing the best job possible for you
- If they are not working to expectations, explore partnering with other card processors
- If no card processors seem to be working for you, having a third party evaluation of your credit card portfolio can be a smart decision as well
Each of the above options has its own benefits as well as difficulties. But some credit unions have found great success using alternative card processing, such as new partnerships, to benefits such as these:
- Reduction of loan loss, delinquency, and fraud
- Enhanced operational efficiency and card technology
- Lowered cost of operations within the card program
- Increased card use by members, along with improved satisfaction and profitability
- Offered a more competitive card product
Not all of the above strategies work for all credit unions. Before taking strong measures such as the ones listed above, make sure to do extensive research, and seek third party advice.
Tags: card processing, card processors, card programs, card technology, cost of operations, Credit Card, credit unions, payments industry
