NEW YORK–The first two credit unions have moved to the first shared core processor created specifically for community development financial institutions (CDFIs).
According to the National Federation of Community Development Credit Unions and Birmingham, Ala.-based EPL, Inc., the $72.9-million Tuscaloosa Credit Union in Alabama and the $7.9-million Red River Mill Employees FCU in Natchitoches, La., have moved to CU Impact. In addition, the $49.9-million Lower East Side People’s FCU and the $10.2-million Neighborhood Trust FCU, both in New York City, said they will convert to CU Impact in late 2017.
CU Impact, developed by the Federation and powered by EPL's i-POWER system, combines the Federation's expertise and 40+ years of experience in working with unbanked and underbanked consumers, and EPL's innovative, open-architecture software solutions, according to the two organizations.
“CU Impact's customized core platform supports and measures the impact of credit union products and services that build members' financial security,” the organizations said. “By aggregating the accounting, compliance and processing functions across credit unions with a shared mission, CU Impact also achieves efficiencies that allow credit unions to invest more in their members and communities.”
"Tuscaloosa CU competes with multi-billion dollar banks and fintech companies," said Tommy Cobb, CEO at Tuscaloosa CU. "To remain sustainable, we had to choose a core provider who provides dynamic software that can outpace the changing financial services industry, addresses evolving security challenges and offers strong back-office solutions – all at an affordable price. CU Impact gets 5 stars in each of these areas," he added.
EPL is a CUSO that provides technology and software solutions to credit unions nationwide, along with its majority shareholder Dedagroup, an IT group. The company said CU Impact comes equipped with automated lending tools that can be tailored to the underwriting criteria relevant to low-income consumers, mobile banking apps that integrate with user-friendly online banking, data analytics to provide insight into the varying needs of all member segments and a committee of credit union leaders whose focus is on product development that meets the needs of low-income members.
"CU Impact is transformative technology that combines the expertise, commitment and capital of the Federation, EPL and Dedagroup," said Blake Myers, fintech director at the Federation. "Together, we're able to provide a solution for credit unions of all sizes that allows for the expansion of community-oriented growth, increased impact and an improved member experience."
Unique to CU Impact, the company said, is a product enhancement committee whose purpose is to guide system enhancements specific to serving low-income consumers. CU Impact's Product Enhancement Committee includes: Pat Neighbors, CEO, Community CU of Southern Humboldt; Fadhila Holman, CEO, Cooperative Center FCU; Carla Decker, CEO, District Government Employees FCU; Brenda Dominguez, Chief Lending Officer, Guadalupe CU; Linda Levy, CEO, Lower East Side People's FCU; Rafael Monge, CEO, Neighborhood Trust FCU; Eunice Rogers, CEO, NRS FCU; Laura Ryll, COO, Peach State FCU; and Tommy Cobb, CEO, Tuscaloosa CU.