Credit unions and Payrailz™ partner to form new CUSO, CU Payz
Innovative partnership expands digital payment services for credit unions looking to take control of their future in a competitive banking environment
GLASTONBURY, CT (August 8, 2019) — Payrailz™, a digital payments company offering smarter more engaging payment experiences to banks and credit unions announced at the close of the MEMBERS Development Company (MDC) FinTech Expo in Chicago, the launch of its new credit union service organization (CUSO), CU Payz. CU Payz was founded to enable credit unions to take control of their future by partnering with Payrailz to develop new, innovative technologies and services that will revolutionize the payments experience.
The formation of CU Payz came out of a working relationship with established CUSOs MDC and Constellation Digital Partners. CU Payz includes six founding member credit unions: Coastal Credit Union (Raleigh, NC), Farmers Insurance Federal Credit Union (Los Angeles, CA), Georgia’s Own Credit Union (Atlanta, GA), Meritrust Credit Union (Wichita, KS), Teachers Credit Union (South Bend, IN) and TwinStar Credit Union (Lacey, WA).
“Credit unions need next-generation products in order to compete with banks, non-traditional offerings and fintechs”, said John Carew, Chief Strategy Officer of Georgia’s Own Credit Union, one of the founders of CU Payz. “To truly succeed in this environment, credit unions must collaborate on a large scale on strategic technology investments and leverage our collective influence through group buying and/or equity ownership opportunities.”
“From our point of view, one such collaborative partnership is the formation of CU Payz,” added Jeff Kline, President and CEO of MDC. “Here we have a group of forward-thinking credit unions, forming a partnership with Payrailz to create smarter payment experiences and next-generation payment services that will allow credit unions to leapfrog the current offerings in the marketplace.”
Open to all credit unions and other CUSOs, CU Payz provides its members with the ability to become owners in CU Payz, and they will also have a voice in the direction of the product, favorable pricing and the ability to deliver new and innovative services to their members. As strategic partners, member credit unions of CU Payz will also influence the development of new payment technologies and experiences, which is particularly important as they compete in the highly competitive banking environment.
“As the industry becomes more competitive, credit unions are looking for innovative ways to address the growing discrepancy between traditional tools built for the financial services world, and the rapidly changing fintech payments players,” said Kris Kovacs, CEO of Constellation Digital Partners, LLC.“CU Payz is dedicated to giving credit unions the means to adapt and better compete.”
“Credit unions have been handcuffed by some of the current providers, and we strongly believe we will offer a solution that enables them to compete against all the other tech competitors jumping into the market. It’s time for credit unions to take control of the member experience, and we are excited to be able to empower these FIs through our own CUSO,” said Fran Duggan, CEO of Payrailz. “Technology is instrumental in helping today’s credit unions create the optimal member experience, and we are proud to not only provide this technology, but to now work directly with credit unions to partner on the development of our technology moving forward.”
Payrailz’ payment services leverage their innovative, smart platform based on AI technology that allows clients to create unique digital experiences and build valuable digital relationships with both consumers and businesses. Payrailz’ PayWayz™ smart routing technology and its Action Insight Generator™ make proactive, intelligent and personalized insights and provide the ability to take action on those insights to build stronger relationships with members and ensure they stay financially healthy.
Payrailz is a digital payments company offering advanced payment capabilities and experiences including consumer and business bill pay, external and internal transfers, new account funding, P2P, B2B, B2C and other related solutions to banks and credit unions. In a society that increasingly has become focused on a “do it for me” culture, Payrailz’ smart technology makes the difference. Payrailz creates smarter payment experiences for the financial services industry that are predictive and more engaging than currently available alternatives. Financial institutions
can confidently embrace Payrailz’ API-first and cloud-native technology engine, to offer unique payment solutions to their consumers and businesses. Payrailz helps financial institutions meet the payment expectations of today and the payment innovation needs of tomorrow. For more information, visit payrailz.com, follow them on Twitter @Payrailz, Facebook or LinkedIn, or contact Mickey Goldwasser at 860.430.9245.
MEMBERS Development Company is an interactive network of industry leaders serving as a catalyst for success in the credit union industry by identifying and connecting disruptors in financial services. MDC’s owners pool resources to enable relevant research, develop innovative products and services, create valuable vendor relationships, share knowledge, provide economies of scale and keep a consistent focus on the horizon. Combined, our owners serve 14.5 million members, hold nearly $206 billion in assets, maintain over 1,800 branch locations across the nation and employ more than 37,000 employees. For more information, visit membersdevelopment.com or contact Jeff Kline at 512.569.0450
About Constellation Digital Partners, LLC
Constellation provides a patented, secure and flexible cloud-based marketplace that enables upper to mid-tier credit unions and innovative app developers to provide safe, reliable, and next-generation digital financial service experiences while giving the freedom to compete, innovate, and thrive in the financial services industry. Constellation redefines what credit unions offer, delivering digital financial services in a way that enables them to place members at the center of their business strategy. Visit www.constellation.coop to learn more.