Is it time to change your credit union core?

The credit union needs to make a change, but where does the credit union even begin? The first step in deciding if a core conversion is on the horizon is reviewing some of the credit union’s internal processes. Before deciding if the credit union needs to convert cores, answer the questions below: 

  1. Are the credit union’s data processing costs rising each year? 
  2. Is the contract coming up for renewal? 
  3. Is the core growing with the credit union or preventing integration?
  4. Is the core provider still providing service excellence?

Depending on the credit union’s answers will allow the decision if a core conversion is the best possible fit. Some credit unions see a change in core with a change in management. If that is the case, it is usually due to one of the following factors. One, the predecessor knows the credit union needs to change, but holds off for the new management to make the selection. Two, the predecessor doesn’t want to “deal with” all the work that comes with a new system. Three, the new management understands a need for change that the former management team did not.

Now if the credit union has decided to switch cores fully, gathering the right information before setting up demos is crucial. The credit union should confirm all renewal dates for the core and any ancillary products, multiple contract dates can make the overall process confusing, expensive and difficult. Sending notification of cancellation will be extremely important in ensuring no auto renewals happen and allows the current core provider the opportunity to try and save the account by offering lower fees or better support. 

During the selection process, when credit unions focus on the various departments for best practices, utilizing the teams’ ideas and suggestions, the entire team has some buy-in to the upcoming change which helps substantially with the conversion. During demos, credit union management tends to focus on items they are comfortable with handling. There may be an issue in the teller line that could be resolved and speaking with those staff members would alert the credit union to that information. A good implementation team to help lead, guide and direct the credit union in best practices has been a huge difference in success as well. 

The best advice I have to offer credit unions looking to change cores is:

  1. Meet with other credit unions that have recently converted
  2. Ensure the new system is meeting the “absolutes” on your checklist of issues/concerns
  3. Involve as many key personnel as possible to help with the change
  4. Take the time for testing and training

United Solutions offers two Tier One Core Data Processing systems. Contact us today to learn more about our products and services! Check out our full Core Conversion Checklist Here! 

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Tami Webb

Tami Webb

Tami Webb joined United Solutions from Fiserv where she served as a Senior Sales Executive. She has 20+ years of experience in the financial services industry as Director of Sales ... Web: Details