In credit unions’ early days, each production line in a factory might have its own credit union office, a volunteer treasurer often did the accounting by hand, and a credit committee assessed risk, relying on personal knowledge of the borrower when making loan decisions.
“Recommended for you” or “you might also like” came from familiarity with the member’s character, not an algorithm.
These credit unions were relevant to their members, who might not have had other options. Even after credit unions grew larger, expanded their fields of membership, and used credit reports to approve loans, the maxim “you’re a name, not a number” prevailed.
Fast forward to the digital age.
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