TAMPA, Fla. — Credit unions are rethinking what branches are for as routine transactions move online, with new research pointing to a role for in-person account opening and financial guidance even among younger members who usually prefer digital advice.
Only 28% of Gen Z consumers prefer receiving financial advice in person, compared with 46% who prefer online guidance. But 76% say they would act on personalized guidance received during an in-branch conversation, according to research titled “The Branch Changes Jobs: How Credit Unions are Reimagining Physical Banking,” released by as part of the Credit Union Tracker series by PYMNTS Intelligence and Velera.
The figures measure different things: The first describes how Gen Z prefers to receive advice; the second describes what respondents say they would do after a branch conversation. The report does not suggest Gen Z generally favors branches for financial advice.
Branches As Advisory Hubs
Among credit union executives planning to repurpose existing branches, 76% intend to turn them into advisory hubs, according to Wipfli research cited in the tracker. Another 64% are enhancing ATM capabilities.
The report says digital tools and ATMs can handle balance checks, transfers, withdrawals and other routine transactions, giving branch employees more time for financial consultations and other interactions that call for personal assistance.
Gen Z’s use of branches appears selective. Although fewer than a third prefer in-person financial advice, 65% prefer opening new accounts in person, according to research cited in the report.
A Different Measure Of Success
PYMNTS and Velera recommend measuring branch performance by relationship outcomes rather than transaction volume alone, including member engagement, financial guidance delivered and long-term relationship growth. They also recommend using branch space for advice, education and community engagement.
In network planning, surveyed credit union executives reported that:
- 62% plan to open new branches.
- 58% intend to repurpose existing locations.
- 18% anticipate branch closures.
Executives planning new branches cited digital adoption rates at 63%, operating costs relative to revenue at 55% and younger-member growth at 47% among the factors influencing their decisions.
The findings suggest that fewer teller transactions or visits do not necessarily capture a branch’s value. For some members, the report says, a branch visit may matter most when it helps them open an account, make a financial decision or act on personalized guidance.
