Eight Technologies That Can Take Your Credit Union Paperless
The paperless credit union is not a myth; it's a reality. Credit unions have a lot to gain by going paperless. Not only can it save on costs, but it can also make the credit union more efficient and organized. Plus, members reap the benefit of greater access.
Why go paperless?
There are many great reasons for a credit union to go paperless. Here are just a few:
Save money
Decrease clutter
Reduce printed document liability
Increase efficiency
Better for the environment
Greater member satisfaction
Show me the money!
Perhaps the most obvious reason is to save money. Paperless credit unions save on paper and printing costs, as well as the cost of storing paper documents. Onsite copiers can be leased for between $100 - 650 per month. When you eventually run out of square footage for file cabinets, choosing to store documents securely offsite can run $0.65 per month per banker's box. Plus, retrieval charges can add up over time.
Declutter
Going paperless can also help to declutter the credit union. This is especially important if the credit union is growing and space is becoming limited. By going paperless, credit unions can clear out old filing cabinets and make room for new employees or member-facing products and services.
Break the Chain of Custody
In a word, paper documents are a huge liability. From the moment they are printed until they are ultimately destroyed, paper documents are vulnerable to unauthorized access. They can be quickly stolen, photocopied, or photographed right from your staff members' desktops. This paper liability is broken when documents are digitized and stored in a secure server location.
For security's sake, most credit unions make digital documents only available through digital banking. With this model, the credit union requires members to enter their secure login credentials for access. Plus, Multi-Factor Authentication (MFA) can be implemented, requiring members to enter a secret, unique code sent via SMS message to their smartphones - making online documents more secure.
Get Organized
Credit unions have a lot of moving parts. Going paperless can make your credit union more efficient. Tasks that once took hours, like pulling member files or sending faxes, can now be completed in seconds. There are no more misplaced or misfiled documents hanging up a loan application. Replacing paper-based processes can help speed up transactions and improve accuracy. In addition, digital documents are available at every branch of your credit union - a huge plus for your members that move from one branch service area to another.
Saving the Planet
Of course, paperless is better for the environment. Fewer paper documents mean less deforestation, paper mill pollution, and less paper waste in our landfills. When you add in transportation cost, shredding, and disposal, paperless is the clear winner for environmental sustainability.
Member Satisfaction
Your members will be thrilled that your credit union has gone paperless! They'll have any time, anywhere access to their documents from any digital device. No more waiting in line at the credit union or searching for a misplaced paper statement. They can now access important documents from the comfort of their homes or even on their cell phones. Plus, members are often happier with their overall experience at a paperless credit union.
Technology-Driven Applications
So how can your credit union go paperless? Here are ten technologies that can help take your credit union paperless:
Online Member Application - Potential members apply for membership entirely online.
Online Loan Origination - Borrowers fill out loan applications and submit supporting documentation online.
Secure File Sharing - This platform allows the sharing of large sensitive files and can include E-Signature capability.
E-Statements - Member statements are available through digital banking instead of through the mail.
E-Notices - Member notices such as NSF and loan maturity are sent via email and are available online through digital banking.
E-Receipts - Members can choose to receive transaction receipts via email or through digital banking.
Digital Documents - These are generally documents that can be scanned and digitized in the branch. Examples include power of attorney,
Check Imaging - Members can view and print digital copies of deposited checks; also, available through digital banking.
In Conclusion
Overall, paperless credit unions have many advantages over traditional paper-based organizations. They are more efficient, more secure, and more environmentally sustainable. Plus, members are often happier with their overall experience.