Archive Links

Consumer Archive
CU System Archive
Market Archive
Products Archive
Washington Archive

News Now

CU System
CUs learn how to beat payday lenders to help young adults
AUSTIN, Texas (12/6/07)--There are more payday lending stores in the U.S. than McDonalds and Burger King restaurants combined, according to Lois Kitsch, national program manager of Real Solutions at the National Credit Union Foundation. Kitsch shared some insight on how credit unions can help young adults avoid payday lenders by offering alternatives at the Credit Union National Association’s Your Essential Strategies (YES) Summit in Austin. Credit unions should think about the following when deciding to offer payday loans: target market, product mix and delivery system, education, finding Generation Y employees and resources. “Remember that not all of Gen Y are college students,” Kitsch said. “In this country today, only about 70% of high school seniors actually graduate from high school. This dramatically decreases their earning power over their life times.” Credit unions must be ready to offer low-cost financial products for this very diverse market niche, she said. As an example, Kitsch mentioned the Appleton, Wis.-based Prospera CU’s GoodMoney program. GoodMoney is a collaboration with Goodwill Industries and the Financial Information Service Center, which places credit union services in Goodwill retail stores. GoodMoney provides short-term loans at lower rates than those of payday lenders, as well as check-cashing, money orders, bill payments and international wire transfers (News Now Oct. 10).
Other Resources

RSS print
News Now LiveWire
Stay tuned for coverage of @CUNA's BSA conference which starts Sunday. #CUNABSA #CUNACompliance
1 Day ago
Today's the last day to complete @CUNA's Home Depot data breach survey http://t.co/UcB8G9bVXe #StoptheDataBreaches
1 Day ago
Brenda Davis of Cross Roads Ministries will walk through 83 communities during the Ending Hunger Walking tour. (2 of 2)
1 Day ago
The Ending Hunger Walking tour, coordinated by the Maine CU League, kicked off at Old Maine CU in Augusta today. (1 of 2)
1 Day ago
Darwin Brokke of Citizens Community CU represented the #CU Association of Dakotas at a housing summit hosted by @SenatorHeitkamp
1 Day ago