Credit Union Members Want Rewards on the Tech Agenda

AI summary of the source article

A study by PYMNTS Intelligence and Velera reveals that 27% of consumers seeking financial institution innovation prioritize loyalty or rewards programs over the next three years, outpacing fraud protection and mobile banking. Small- to medium-sized businesses showed similar sentiment, with 24% prioritizing rewards. While 44% of credit union members decide which card to use based on incentives, only 14% currently use a rewards program at their primary credit union, compared to 25% of national bank customers. Currently, 47% of credit unions offer rewards programs, and 31% plan to launch one by 2029, often utilizing external partners.

Why it matters

Rewards programs are expanding beyond simple perks into essential financial technology investments that drive primary account adoption and card usage.

Key facts

• 27% of consumers seeking innovation cited loyalty or rewards programs as their top priority over the next three years.
• Only 14% of credit union members used their primary institution's rewards program in the past year, compared to 25% of national bank customers.
• 47% of credit unions currently offer a rewards program, and an additional 31% plan to launch one by 2029.