Charter changes: The art of maintaining inclusivity

With the rising number of financial institutions opting for community charter conversions, it’s common to find that members still want to feel like they belong. Believe it or not, members, and future members still want to be part of something inclusive and club-like. Here are a few steps to ensure your credit union maintains this inclusivity factor:

Step One: Complete Transparency

Not all members will be supportive of a plan to change from a single sponsor/SEG based charter to a community charter, and many won’t even know what it means. Change is difficult, but by preparing for a degree of resistance, you can help to head off any insecurities and worries that your members may have. The best way to do this is to be as transparent as possible and communicate why your members will benefit from being a community charter as opposed to a SEG based credit union. For example, perhaps transitioning to a community charter will help your credit union diversify product offerings, or grow your geographic footprint (more branches), both of which are direct benefits to the member. Presenting these facts to your members in a clear and concise way will help to alleviate any fears or concerns that they may feel about the change, but will also make them feel included in the process. Incorporate why your credit union is evolving into any and all member communications such as newsletters, retail signage, website, and by having your front line employees talk about it with members on a daily basis. Staff can wear badges that say “Ask Me About Our Expansion” or anything that will get the discussion started with current members. Just be sure your staff is prepared to answer any member concerns that may arise. Maintaining complete transparency will ensure members that their financial institution isn’t going anywhere, and that they are still the credit union’s top priority.

Step Two: Communicate Your Commitment

You need to articulate your commitment to each member often, and at every possible opportunity. Write it down and state it wherever it is relevant; in annual reports, monthly newsletters, email blasts, and essentially any written statement that your members will see. Putting your commitment in black and white and making sure that all members know that your mission is still being upheld and without change, will remind them why they chose to join your credit union. This will put emphasis on the guarantee and security that you pledged to them when they first chose to do business with you, as well as ensure that their business with you is invaluable, and that they are a significant and necessary for your credit union to survive and flourish.

The Final Step: Prove It

When you take action and put your charter change in motion, don’t just talk the talk, walk the walk. Talking members through each step and each change that is happening is great, but can you truly maintain the same service your members are used to? It’s important to take an introspective look at your staff, operations, and potential growth to ensure you can really live up to the promise of providing the same quality service to your members. Remember that any small errors, inconsistencies in service, or product or service downtime will be magnified in the eyes of your members during the transition to a community charter, along with the assumption that you’re turning in to “just another bank.” You won’t be able to please everyone, but remaining personable and empathetic will be crucial to maintaining the inclusive experience.

As you expand and gain more members, your original members will start seeing new faces and perhaps a larger and changing branch footprint. It is important to remember that these original members have helped you get where you are today. Consistently training your staff on member engagement and building deeper relationships will undoubtedly improve your inclusivity factor and prove to members that your community charter transition will be a positive experience.

Hilary Reed

Hilary Reed

Hilary Reed, founder of EmpowerFi, is an innovative thought-leader who has been involved in various aspects of strategic sales and marketing for 15 years. Her career began in 2000 when ... Web: www.empowerfi.org Details