NAPERVILLE, Ill.–Alloya Corporate FCU and TruLync, a wholly owned subsidiary of the Minnesota Credit Union Network (MnCUN), have entered into a partnership under which Alloya Corporate will acquire TruLync’s item processing services.
The transaction is expected to be completed by third quarter of this year, Alloya Corporate said.
“We are thrilled about this partnership with Alloya,” said Mark Cummins, president and CEO of TruLync and MnCUN. “Credit unions continue to depend on affordable, reliable and efficient check processing services. With check volumes in a steady decline over the past decade, it was time for TruLync to evaluate its strategic options. We know credit unions need a solution for the future and Alloya’s TranzCapture suite will ensure access to exactly that for many years to come.”
Approximately 4,500 credit unions use check processing technologies powered by TranzCapture, which includes full suite of remote deposit capture services for ATM, branch, business, ITM and mobile and an “efficient check clearing and home banking solution,” the organization said.
Support Provided
Alloya added it further provides support via research, adjustment, file processing and cash settlement services, with the company adding the nationwide check processing solution helps credit unions overcome the challenges of diminishing check volumes while significantly reducing their operating expenses as compared to in-house or competitor alternatives.
In 2020, Alloya reported it processed 136 million checks valuing $131.2 billion.
“Launched in 2016, TranzCapture is a credit union service organization co-owned by Alloya Corporate FCU,” Alloya stated. “At that time, Alloya’s board of directors realized credit unions throughout the country would need a credit union owned and controlled solution to support check processing as volumes declined. As a result, Alloya partnered with other corporate credit unions to design, invest and build a solution that ensures credit unions have an efficient, secure and cost-effective option.”
Added Alloya CEO Todd Adams, “Alloya is honored to have been selected by TruLync. We share common values and both businesses represent strong examples of the power of cooperation. At Alloya, our mission is to support credit union success by simplifying back-office operations. Many of TruLync’s credit union members already use Alloya’s Premier View technologies. Through this acquisition, check processing will simply be one more feature those credit unions can efficiently access through the platform. Working together, we anticipate a smooth transition.”
Other Services Not Affected
TruLync Services, including the business lines of Prize Linked Savings and M360 Data Analytics, will not be impacted by the transaction, TruLync said.
“This as an opportunity for us to expand TruLync’s efforts in offering technology solutions such as WINcentive PLS and M360 Data Analytics. We look forward to continuing to provide services which improve credit union efficiency, increase performance, reduce risk, and enrich member relationships,” added Cummins.