The pandemic has changed our lives in a number of ways, hasn’t it? From curbside pickup at pretty much any restaurant you can name to online schooling for our kids. But one thing is pretty consistent among all those changes – technology.
And it’s not just schools and retail that have seen a digital transformation. It’s also made a significant impact in the way people interact with their financial institutions. I mean, how many times have you visited a branch or actually made face-to-face contact with a teller since Covid first prompted lockdowns and social distancing? Odds are not many.
Most people haven’t, in fact. And that’s evident in the statistic that 42 percent of consumers completed their first mobile deposit transaction in 2020. But that number is only poised to grow as more and more people have been adopting the convenience and safety of contactless payment methods.
Need more proof of that? Well, in the Ipsos-Forbes Advisor U.S. Weekly Consumer Confidence Survey conducted earlier this year, it cited that nearly three quarters of all Americans now utilize their financial institutions’ mobile app. And the top-ranking feature of these apps according to consumers? You guessed it – mobile deposit!
Now, if that data isn’t enough to convince you that mobile deposit is an incredibly important piece of any credit union’s service lineup, I don’t know what is. But just in case, let’s look at four reasons why it’s something your institution might want to consider.
Reason #1: This is only the beginning of the mobile payments migration.
Sure, mobile payments have been on the rise in recent years, but the pandemic ensured that they are only going to grow and become more prevalent in the future. Think about it…during the height of the pandemic, members were not always able to go to the branch to cash their checks or would have to sit in a long line at the credit union window to get the check cashed.
That’s not the member experience we want for them and it’s most likely not the ideal situation for their busy lives either. What works for both parties, though, is the convenience of mobile deposit. After all, what could be easier than taking a picture of the front and back of a check, uploading the images and submitting to your credit union?
And not only is mobile capture more convenient, but it’s also a faster and contactless deposit method. These types of payments – mobile deposit included – are continuing to rise. So much so that contactless payment transactions are expected to reach $4.6 trillion by 2027, from $1.05 trillion just two years ago in 2019.
Reason #2: A mobile deposit solution is right under your nose!
Now the question is, where you can find a mobile deposit solution for your credit union? It’s true there are many options that may suit your credit union and your mission to help members harness the independence of mobile check deposit. But here’s a good place to start your search…MY CU Services. MY CU Services offers a solution that is as simple as the steps mentioned before – snap pictures and submit – for your members with the use of any smart device or tablet.
Then, on the credit union side, the images are immediately captured and transmitted for processing, all while checking for any issues and ensuring compliance with Check 21 standards. All this technology converges so that there are no duplicate checks, security measures are strictly enforced and members are alerted in real-time if their images are acceptable or not.
There are other great features on the back end of the MY CU Services mobile deposit solution as well. One is that it can be integrated with your institution’s mobile banking application. It’s easy to implement within your current setup, which can save a bunch of headaches for your staff. Another is that item duplicate detection comes complimentary with the mobile deposit solution for credit unions that also utilize MY CU Services’ branch capture services.
Reason #3: It’s safer than you may think.
Or at least, MY CU Services’ mobile capture solution is. If you’re wondering about the frequency of fraud that comes along with mobile deposit, it’s a completely valid concern. But you can breathe a little easier with MY CU Services’ solution. That’s because you can elect to apply a fraud detection service to check for potential duplicates and fraudulent items through our partnership with Advanced Fraud Solutions.
It works by running the information in the check image against a database of counterfeit, non-sufficient fund, closed account, duplicate and fraud data collected from financial institutions, vendors and core processors. This fraud detection service comes with Reg-CC recommendations on how to handle suspicious items as well as continuous training and support, and it’s transparent to members.
Reason #4: Mobile and contactless deposits appeal not just to current members, but new and younger ones as well!
Whether you’re looking to meet current members’ needs or attract prospective members, mobile deposit appeals to everyone. It’s also an enticing feature for all generations – thanks to the convenience and ease of use I’ve already alluded to. However, it’s going to be particularly attractive to Gen Z.
One thing that really drives Gen Z consumption is technology. They’ve grown up with smartphones and all things tech, so it’s ingrained in every aspect of their lives. Mobile deposit is no exception, because it allows members to take the task of depositing a check and do it on their time from any location. And as quickly as the deposit occurs, the money is available for use. In other words, it meets the requirements of instant gratification and accessible technology that younger consumers look for, which could bring even more members to your institution (and with very little work on your credit union’s part).
There’s no getting around it – the pandemic made our society more reliant on mobile, contactless and technologically-driven financial services. Furthermore, the data shows that most people are looking at mobile deposit as one of the highest priority services from their financial institutions. Between the statistics and all of the reasons we discussed, it’s clear that now is the time to capture the benefits of mobile deposit!
Michelle Fludovich serves as the product manager of capture services and checks for Vizo Financial Corporate Credit Union. In this role, she assists credit unions and clients in meeting their check and image capture needs. As such, Ms. Fludovich provides support and information on the following services so that credit unions can boost their payment operations: teller/branch/mobile/ATM/merchant and ITM capture, fraud detection services, member share drafts and Positive Pay official checks/money orders.