Credit union organization Velera has started a partnership with banking software company Kinective.
The partnership gives Velera’s credit union customers access to Kinective’s Gateway, an integration technology designed to eliminate the development challenges typically encountered when introducing new software products into a “diverse ecosystem of core banking systems,” according to a Tuesday (Oct. 8) press release.
“Historically, fintechs have been limited by the need for time-consuming and costly development work to integrate with each individual core system used by prospective financial institutions,” the companies said in the press release.
With the Gateway, however, credit unions gain a single “point of integration that opens access to an entire ecosystem of core systems,” the release said.
“For Velera, this means faster time to market for its products, streamlined development and significant cost savings, allowing it to deliver even more value to its credit union customers.”
The partnership comes at a time when community banks and credit unions (CUs) are capturing a significant share of younger consumers amid the continued rise of digital banking.
The PYMNTS Intelligence report “Local Roots: How Community FIs Can Win the Digital-First Generation” shows that 52% of Gen Z and Millennial consumers are considering switching to community banks, while 47% see CUs as viable alternatives .
“The trend underscored a growing dissatisfaction with the impersonal service often associated with larger banks,” PYMNTS wrote last week.
“While effective digital capabilities remain a priority, personal service becomes just as important. Nearly half of Gen Z consumers said they would switch banks for customized financial guidance and spend management tools. This reflects a broader demand for financial institutions to provide unique, targeted support rather than a one-size-fits-all approach.”
Jeremiah Lotz, senior vice president of product and data experience at Velera, emphasized the importance of personalization in an interview here last month.
The digital engagement that credit unions have with their users, he says, is about more than just how often they log in, but also about how members interact with those CUs, and how effective the financial institution is in meeting the needs of those digital settings. conscious consumers.
“One of the biggest measurements we look at is: Was a consumer able to complete something they expected, and then how did they feel about that experience as they went through that process?” he said.