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How Credit Unions Can Partner With Fintech Companies and Stay Competitive

On January 11, 2022, Posted by , In Fintech, By , , With No Comments

When we think about what draws members to your credit unions, we generally point out the low rates, accessibility, convenience, and trust as compared to your bank counterparts. However, when we consider that financial technology (fintech) companies such as PayPal and Square are coming onto the scene more rapidly and…

What Subordinated Debt Is and How Credit Unions Can Benefit from It

Capital planning is an essential step in helping your credit union grow, remain regulatory-compliant, and seize opportunities as they arise, such as a merger or acquisition. In this episode of “C.U. on the Show,” Doug welcomes guest Jeff Cardone to discuss how accessing secondary capital in the subordinated debt (sub-debt)…

How Credit Union CEOs Can Make Bold Moves and Balance Personal Risk—At the Same Time

When is the appropriate time to undertake your boldest or most innovative projects? As a credit union CEO, you’ve likely considered how the risk of significant organizational changes may affect your future employment, and ultimately, long-term finances. These risks may arise from financial strain on your credit union or political…

Risks Credit Union Executives and Boards Should Consider With Collateral Assignment Split-Dollar Plans

Many credit union boards propose adding a collateral assignment split-dollar plan (CASD) as a desirable compensation benefit to help retain their top executives. At first glance, a CASD appears to perform similarly to a pension plan. However, this benefit is quite complex, and misunderstanding or making assumptions about a CASD…

How Strategic CEO Succession Planning Can Position Internal Executives for Success

Planning to exit your organization as a credit union CEO ideally occurs years before your anticipated retirement date. Strategic credit union leaders understand the logistical and emotional process ahead of them. As a result, succession planning is an essential component to ensure the credit union’s success in the future, and…

How Credit Union Executives May Optimize Early Retirement Cash Flow to Secure Low-Cost Medical Insurance

Early retirement may be a goal you’ve been working toward your entire career by strategically saving, allocating your risk, and positioning your personal finances.. As a credit union executive, if you choose to retire before age 65, the age at which most people qualify for Medicare, you may also have…

How Credit Unions May Overcome Income Challenges with a Charitable Donation Account

Credit unions across the country are currently facing a common challenge—how to create more yield and income. They traditionally rely on reinvesting money from lending products as one form of income. However, due to the increase in government stimulus payments and record-low loan growth, credit unions have had to find…

How Credit Unions with Highly Compensated Executives Can Avoid the 21% Non-Profit Excise Tax

Do any of your executives currently earn more than $1 million in annual income? Perhaps not. But consider additional benefits and compensation for retirement, such as a 457(f); do any of your executives exceed the $1 million a year mark? These are the questions credit unions have begun to ask…

Why Due Diligence Is Essential to Your Executive Benefits Plan

Credit unions charge board members with making decisions that are best for the membership and retain top management. One of the incentives they use is providing executive benefits and compensation packages that supplement an executive’s salary or bonuses. A common benefit is a split-dollar collateral assignment, a legal agreement between…

Webinar: Don’t Tell Anyone…But You’re Planning Your Exit Strategy

As a CEO or senior executive, exiting your credit union for retirement requires planning years ahead of your last day, mainly because your exit planning is more complicated than the average  credit union employee. For example, you have various savings instruments available to you, each with its own funding frequency,…