Providing a Seamless Payments Experience

For most credit union members, waiting for a replacement credit or debit card to physically arrive in the mail is a major inconvenience. Cardholders do not want to be hindered—by a lost or stolen card or a data breach—from transacting or paying their bills until a new plastic arrives. Instead, they expect seamless use and access to their cards 24/7/365. In other words, they seek an uninterrupted payments experience.

To provide and maintain such uninterrupted payments experiences for their members, credit unions should consider these four solutions:

1. Digital Wallets. Through Apple Pay, Samsung Pay and Google Pay, among others, members can utilize their phones or other wearable devices—like smart watches—to complete a payment using near-field communication technology, all without a plastic card in hand. With the help of tokenization, cardholders can continue to conduct efficient, secure transactions wherever digital wallets are accepted. According to Visa, eight out of the top 10 merchants are already accepting NFC payments, and many more merchants are committed to turning on their NFC functionality in the near future.
2. Digital Issuance. Digital issuance enables cardholders to conveniently transact via digital wallets through push provisioning card credentials seamlessly from the credit union’s app, providing a secure, real-time ability for members to continue transacting digitally without interruption. Enabling access to members’ card credentials for online purchases through the credit union’s app will be added in the near future for additional convenience, allowing for an omnichannel payment experience. When all available channels are connected, enabling cardholders to effortlessly switch between devices to complete transactions, cardholders are able to achieve the cohesive experience they have come to expect. As a result, they will most likely continue choosing their credit union card over other cards in their wallet.
3. Automatic Billing Updates. After a card is lost or stolen or a data breach occurs and a replacement card has been issued, this service will automatically update card-on-file credentials with merchants in real time. Utilizing Visa and Mastercard application programming interfaces, subscriptions will be auto-updated when possible, and members can view recurring payments as a visual reminder to update them. This feature will allow for a reissue with no downtime and avoid the window of a missed payment with card-on-file merchants for recurring payments.
4. Instant Issuance. With instant issuance, physical replacement cards can be printed on-site so members that are comfortable conducting business in person at branches do not have to wait on a newly issued card to arrive in the mail. This solution is ideal for members in close proximity to a branch, providing new plastic within hours of an incident and allowing transacting to continue as usual.

In these times of uncertainty, it is important for credit unions to provide flexible options and seamless access through a member’s preferred channel. Offering these solutions allows credit unions to continue transacting even when members do not have a physical card in hand, giving them an advantage over competing banks and other financial institutions when it comes to achieving the coveted top-of-wallet status. These solutions can and should complement each other, working in tandem to serve the member. Cardholders expect sophisticated digital and in-branch banking experiences, and they will use the cards and tools that provide them with the most value and uninterrupted experiences. Credit unions should make sure they are meeting—and exceeding—these expectations.

As VP/digital experience, Cindy McGinness directs the initiatives of CUESolutions Bronze provider PSCU, St. Petersburg, Florida, to empower the company's Owner credit unions with innovative and engaging digital solutions. Cindy leads an experienced team dedicated to delivering PSCU’s B2B and B2C solutions in the mobile and online channels, in addition to online bill-payment services.