Accounts+ is a service that can be added to any checking account and drives big revenue increases that consumers willingly pay.
While many banks and credit unions are addled by regulatory changes to interchange and overdraft services, non-bank competitors are targeting these same revenues and your existing account holders with payment services. They do it by offering premium rewards and cash back for purchases and bill payments, and then earn revenue in two ways: 1) they convert the transaction information to marketing revenue from merchants and billers; and 2) they provide payment liquidity loans for transactions or bill payments to preempt overdraft revenue.
With Accounts+, you can offer all existing account holders services they willingly will pay for with rewards, cash back offers and short term loans, just as non-bank competitors like PayPal's BillMeLater and BillFloat are doing. Not only will you keep existing accounts and revenues, but Accounts+ also enables FIs to capture new service charge revenues that account holders are already paying others for alternative services.
Our research into account transactions at financial institutions shows that as much as 20% of your checking account base pays these fees for alternative services. They use transaction payment services where they earn higher cash back offers in return for sharing their purchase information, and use alternatives to overdraft services to manage short term liquidity needs. In fact, non-bank competitors earn more in fees than financial institutions do.
Accounts+ is the service you need to grow revenue in the new environment while also winning more accounts. Best of all, Accounts+ plus ensures you offer these services to your account holders at a lower cost than competitors, and in an automated manner that profitably serves consumers. Most importantly, these services are more attractive to consumers because they are offered through your trusted relationship and under your brand.
To find out more, contact Velocity Solutions today and ask about Accounts+.