MOUNTAIN HOME, Idaho,–Pioneer FCU here said it has made an investment after Incent, a provider of youth digital banking solutions, launched CUSO.
The $712-million Pioneer FCU said it invested to support the CUSO and drive the product roadmap.
“Through the Incent CUSO, Pioneer and other credit union investors will have a definitive voice in guiding and building a leading youth banking solution that educates, engages and fosters long-lasting relationships with younger consumers,” the organizations said.
“Credit unions are uniquely positioned in their communities to provide services and guidance to our members, no matter their age. However, we need digital tools to meet consumer’s evolving technology needs to build those relationships early in their financial journey,” Tracey Miller, EVP/VP of Operations at Pioneer, said in a statement. “Pioneer is proud to support the Incent CUSO and its mission of building tools that attract the next generation of members.”
About Those Aging Members
In a statement, Incent said that as credit union members continue to age, attracting new, younger members is a growing priority. It cited research by America’s Credit Unions that only 7% of credit union members fall within the 18-24 age range, compared to 18% of the total U.S. population.
Incent said its fully integrated, white-labeled solution helps credit unions grow their share of wallet by maintaining ownership of the relationship and seamlessly transitioning the child to an “adult” account when the child turns 18.
“Additionally, the platform keeps deposits and interchange revenue within the credit union rather than diverting them to third-party fintech sponsor banks,” the company said.
‘Lifelong Relationships’
Added Miller in a statement, “A banking platform specifically designed for children and teens presents an opportunity to engage and educate younger members while building lifelong relationships and brand loyalty. Incent’s platform offers inventive and fun ways to encourage saving, giving and fostering positive money management skills, while offering financial literacy tools to build a solid financial foundation for the future.”
