The importance of open architecture in credit union technology
One of the topics of recent conversation in credit union technology has revolved around the impact Millennials are having on the financial industry. Within the next few years, this tech-savvy group will represent close to 75% of the workforce and is becoming an influential part of the financial world. Keeping pace with the ever-changing face of credit union technology is vital to attracting Millennial members. The credit union industry has had to evolve to be able to offer the tools and technology members demand and what once was thought of as taboo in the industry, credit union APIs are now crucial to satisfying current technology needs and staying relevant. A core data processing system with a robust API allows for credit union open architecture so that you can offer the best-of-breed products that might otherwise be unavailable.
Being able to offer up-to-date technology and engage with the latest applications is important to staying at the forefront of your competition. For example, industry trends are showing that more and more people, many of them Millennials, are using non-traditional alternative banking tools. Alternative payment options such as Venmo, PayPal, and Applepay are just some of these third-party applications to offer this. FICO recently reported that an estimated 52% of Millennials and 27% of Baby Boomers are using these forms of payment. Having the ability to engage third parties via an API, and being able to offer additional options to your members is a great reason to seek a core processor with open architecture.continue reading »