The $516 million, Flint, Mich.-based Financial Plus Credit Union built a loyal member base by providing the basics, but recognized the need to introduce new technologies to remain relevant to members.
Founded in the 1950s by Chevrolet employees, Financial Plus’ history includes an extended period of organic growth and culminated in its transition to a state-chartered credit union in 2014. Today, Financial Plus maintains branches across central and eastern Michigan, and offers a full suite of financial products, including: Financial advisory services, checking and savings, commercial loan and deposit services, real estate loans, and several direct and indirect consumer loans.
However, Financial Plus recognized new technology and competitors had substantially changed the perceptions and requirements of members. Nowadays, consumers demand easier access, instant information and seamless support wherever they bank, especially when it comes to the lending process.
“The pervasive use of mobile devices has created a membership base who is, by and large, technically proficient. They’re comfortable performing all sorts of functions on their tablets and smartphones, including searching for and applying for loans,” Michael Furst, vice president of lending and collections for Financial Plus, explained.
The credit union’s management acknowledged the inadequacy of its legacy loan origination platform in addressing technology-savvy consumer expectations, which include a user-friendly online application process, expedited decisioning and the ability to track a loan application.
“Our mission was to create a ‘mobile-first’ strategy that would form the foundation of our service model. Our LOS platform did not have the capabilities fundamental for this initiative,” Furst continued. “We needed a system that would not only drive the mobile-first initiative, but would give us the flexibility to make changes to workflows and lending programs on our own.”
Financial Plus selected TCI’s DecisionLender 4 loan origination platform, a cloud-based consumer lending solution, which enables lenders to oversee all aspects of loan origination processes and workflows. The system manages all aspects of the loan origination process, such as collecting applicant data including third-party verification information, decisioning applications against the lender’s criteria, notifying managers if additional reviews are necessary, completing documentation with integrated e-signature capabilities, and generating reports to comply with regulatory mandates.
“Many of the credit unions we work with face situations similar to Financial Plus,” Barry Kirby, vice president of sales for the Islandia, N.Y.-based TCI, said. “Consumer preferences have certainly evolved to the point where many members are using their personal devices to apply for loans. They expect an inviting experience and instant decision, regardless of whether they use a smartphone or visit a branch. Savvy lenders understand that outstanding customer interactions should be delivered seamlessly using the member’s preferred channels to create truly enhanced customer service.”
“DecisionLender 4’s customer portal is very intuitive,” Scott Knopf, director of consumer lending for Financial Plus, noted. Among the capabilities resonating with members, Knopf explained, is the system’s login page, optimized for most mobile devices as well as desktop computers. Members can apply for loans any time and from any location without comprising security. Knopf added DecisionLender 4’s consumer portal contains multiple layers of authentication and security protocols built into the system.
Members can also upload documents such as driver licenses and other supporting materials from their smartphone or tablet. After members submit a loan application for processing, they can also follow its progress.
In addition to enhancing member-facing features, Financial Plus wanted its new loan origination platform to improve internal processes – most notably by capturing loan activity analytics – and meet operational needs such as 24/7 loan activity monitoring, and making instant adjustments to lending programs and workflows.
In addition, Knopf credited TCI’s support team for helping Financial Plus navigate the new system. “TCI has been a very cooperative partner. They’ve been supportive and patient in helping us learn the nuances of the platform. DecisionLender 4 has a lot of capacity for improving the entire loan origination process, and we’re constantly making changes with a member-driven focus.”
With its new mobile-first member service approach on track, Financial Plus said it appears well-positioned to compete with both traditional institutions and the new internet-based lenders entering the market.
