CUNA News
  • LOG IN
  • Create Account
  • Sign Out
  • My Account
  • LOG IN
  • Create Account
  • Sign Out
  • My Account
  • Topics
    • Community Service
    • Compliance
    • Credit Union Hero
    • Credit Union Rock Star
    • Credit Union System
    • Directors
    • Human Resources
    • Leadership
    • Lending
    • Marketing
    • Operations
    • Policy & Issues
    • Sales & Service
    • Technology
  • Credit Union Magazine
    • Buyers' Guide
    • COVID-19
    • Digital Edition
    • Credit Union Hero
    • Credit Union Rock Star
    • Subscribe
    • Advertise
    • Contact
  • Advertise
  • Awards
    • Nominate Credit Union Hero
    • Nominate Credit Union Rock Star
  • Podcasts
  • Videos
  • Contact

News

Home » SECU’s successful business card journey
Technology

SECU’s successful business card journey

Educating business members about card benefits helps grow the portfolio 41%.

November 5, 2019
Bill Merrick
No Comments
Steve Hazan

Steve Hazan likens the introduction of a new credit card for business members to Homer’s Odyssey.

“There were a lot of challenges along the way—you don’t just slap down a piece of plastic and send it out,” says Hazan, director of business services for $3.8 billion asset SECU in Linthicum, Md. “But while it took Homer 10 years to get home, it took us only two.”

Hazan, who addressed the 2019 CUNA Lending Council Conference Tuesday in New Orleans, walked attendees through the process of SECU’s business credit card journey.

Keys to card’s success include:

  • Changing from a fixed rate to a variable rate, which reduces interest-rate risk.
  • Upgrading its rewards program to cash-back options.
  • Boosting marketing and advertising efforts to expand its presence in the marketplace.
  • Research members’ wants and needs.
  • Updating underwriting guidelines.
  • Increasing efficiency by streamlining processes.
  • Improving collections efforts, although delinquencies and charge-offs remain low.
  • Training staff on the card’s features and other business services.
  • Beefing up staff incentives and adding quarterly and annual goals.
  • Adding preapprovals to business members who take out other loans.
  • Targeting business owners who were heavy debit card users and explaining the benefits of using the business credit card.
  • Identifying business members’ pain points and educating them about how the card will address those challenges.

The result? SECU has grown its business card balances 41%, Hazan says.

“We’re benefitting mightily from this,” he says. “Credit cards are the most profitable line of business at the credit union. Our journey continues.”

►Click here for more conference coverage from CUNA News, and get live updates on Twitter via @CUNA_News, @CUMagazine, @CUNACouncils, and by using the #LendingCouncil hashtag. Learn more about the CUNA Lending Council, a member-led professional society for credit union executives, at cunacouncils.org.

KEYWORDS CUNA Lending Council

Post a comment to this article

Report Abusive Comment

Credit Union Magazine: Spring 2022

Spring 2022

Credit Union Magazine’s Spring 2022 edition profiles four Credit Union Heroes and examines CUNA's advocacy priorities, the advocacy army, and financial well-being for all.
Digital Edition •  Subscribe

Trending

  • FOM modernization bill passes House Financial Services Committee

  • CISA issues emergency directive on VMWare vulnerabilities

  • Central bank digital currency creation needs ‘serious, exacting’ consideration

Tweets by CUNA_News

Polls

Are you ready for CECL?

View Results
More

Champion for the Credit Union Movement

Credit Union National Association is the most influential financial services trade association and the only national association that advocates on behalf of all of America's credit unions. We work tirelessly to protect your best interests in Washington and all 50 states. We fuel your professional growth at every level and champion the credit union story at every turn.

More CUNA

  • Membership
  • Contact Us
  • Careers

Resources for

  • Credit Union Advocates
  • Leagues
  • Press
  • Providers

Our Affiliates

  • American Association of Credit Union Leagues (AACUL)
  • Credit Union Awareness
  • Credit Union House
  • CUNA Strategic Services
  • National Credit Union Foundation
GET CUNA UPDATES
© 2022 Credit Union National Association | ADA Compliance Notice & Legal
Email Us