PODCAST: The pros and cons of financial fragmentation

How payment apps are impacting credit unions.

December 15, 2022

Lee Wetherington’s job is to connect dots, forecast the future, and shape Jack Henry’s strategy. The senior director of corporate strategy brings that insight to the Jack Henry-sponsored episode of the CUNA News Podcast.

Wetherington tells CUNA Digital Media Design Specialist Yeekeng Yang that credit unions have never faced more competition, as the average American consumer uses between 15 and 20 different financial service providers and apps.

With that as a backdrop, Wetherington discusses the effect of payment apps on credit unions, the pros and cons of financial fragmentation, and what credit unions can do to promote financial health in a fragmented environment.

You can listen to the CUNA News Podcast in Apple’s iTunes StoreGoogle PodcastsSpotify, and Stitcher Radio.

In this episode:

1:11: Intro to Lee Wetherington

2:28: Competition in the marketplace

6:11: The threat of financial apps

8:09: Third-party app payments

13:50: Is financial fragmentation a threat or opportunity?

17:04: Credit unions' role in improving the financial health of small businesses

19:10: How can these tools improve credit unions' financial health?

23:30: New digital disruptors on the horizon

26:30: The changing financial service ecosystem

28:09: How credit unions can start on the path to digital