Part 2: Building on the Lessons: 3 More Strategies for Credit Union Growth and Relevance from Latin America
In Part 1, we explored three powerful insights inspired by Latin American credit unions that U.S. credit unions can adopt to strengthen their relevance and better serve Latino members and all members. From embracing digital innovation to building impactful partnerships and proactively engaging with communities, these insights set the stage for growth and transformation. Now, in Part 2, let’s dive into three more strategies that focus on empowering members, fostering long-term loyalty and driving economic impact. These lessons not only highlight the unique strengths of the credit union model, but also provide actionable ways to enhance member experiences and community connections in an ever-evolving financial landscape.
1. Support members at every stage of their financial journey
Latin American credit unions excel at creating long-term relationships by offering products and services tailored to members’ evolving needs – from debit cards to business loans – ensuring they remain trusted partners throughout their lives. These products and services also extend to remittance services, funeral insurance, utility payment services, amongst many more. All credit unions we heard from at the conference shared that the ancillary products and services that they offered their members were just as meaningful and needed as the traditional banking solutions offered. In some cases, these additional products and services also attracted new members to the credit union.
2. Build loyalty by investing in youth early
By focusing on financial education, participation in governance and outreach for young people, these credit unions are fostering early loyalty and equipping the next generation with tools to succeed financially and ambassadorship for the credit union movement. This approach pays dividends in building long-term relationships. Two particular Colombian-based credit unions, Cooperativa Coogranada and Cooperativa Creafam, stood out for their development of a children’s and young adult only program Cooingra, developing youth through participation in arts and sports activities, as well as financial education and encouraging them to become credit union board members at a young age. Credit union staff shared that one of the first things a mother does in towns where the credit union has a presence is open a credit union account for their child. The loyalty is very strong.
Cooingra youth staff and members.
Cooingra children and young adult branch.
3. Empower growth by championing business owners and entrepreneurs
Supporting micro and small businesses is at the heart of many Latin American credit unions’ missions. Providing accessible funding and resources to entrepreneurs not only strengthens communities, but also fuels economic growth and member loyalty. Many of the credit unions we heard from had a strong focus on micro and small businesses lending, as well as supporting business owner members in additionally unique ways. Cooperativa Coogranada discussed their e-commerce site built for members to facilitate the sale of goods and services online from their small business clients. In addition, Mexican-based credit union Caja Popular Santiago Apóstol shared how they make farming drones accessible for their agribusiness clients to reduce costs, increase operational efficiency, amongst other benefits.
Carlos Almaraz Mendoza, CEO of Caja Popular Santiago Apóstol, discussing the credit union’s farming drone program.
The insights and strategies drawn from our Latin American credit union counterparts showcase the potential of the credit union movement to continue driving meaningful change for years to come. By supporting members throughout their financial journeys, investing in the next generation, and championing entrepreneurs, U.S. credit unions can build stronger communities while securing their own growth and relevance. These lessons remind us that collaboration and innovation are key to navigating an evolving financial landscape. By embracing these strategies, credit unions can not only better serve their members, but also deepen their impact as pillars of financial empowerment and economic development.
