HIGHTSTOWN, N.J.–NJCUL Services Corp. said it has entered into a partnership with San Francisco-based fintech company SimplyCredit. Through the relationship, SimplyCredit will enable consumers to dynamically refinance high-APR credit card balances with participating New Jersey credit unions using a seamless mobile and Web interface, the NJCUL said.
“American families have accumulated a trillion dollars of credit card debt and will revolve most of it from month to month,” said NJCUL Services Corp. Chairman David Frankil. “SimplyCredit encourages consumers to use credit unions to pay-down and manage their balances, even while providing New Jersey’s credit unions with analytics and online tools to facilitate the loan and membership growth.”
SimplyCredit’s Web and mobile experience enables members to not only apply for personal lines, but to also enroll credit cards and schedule balance transfers and line payments. As a result, many members are saving $2,000 or more in interest payments a year. Combined with this service are sophisticated analytics and marketing support that have achieved application rates of nearly 6% on marketing campaigns.
According to Karthik Sethuraman, CEO of SimplyCredit, four online lenders with a collective history of less than 30 years are now originating more personal loans than all credit unions combined.
“Fintech disruption began with card consolidations, but it’s rapidly expanding into other lending categories,” said Sethuraman. “Online lending is expected to be a $350 billion business by 2025 and we provide the fintech tools and approaches to help New Jersey’s credit unions earn a major share of that volume.”
Earlier this year the New York Credit Union Association also announced a partnership with SimplyCredit after Hudson River Financial FCU originally partnered with the company.