SPONSORED - Advanced reporting is increasingly essential for credit unions aiming to optimize operations and better serve members. During a webinar, Stuart Bain, SVP of Product Management at Alacriti, explored how features like dynamic reporting in loan payment systems transform billing and payment management for credit unions. Bain highlighted how modern reporting tools can help credit unions track payment trends, monitor returns, and respond to member needs more effectively.

How Credit Unions Use Reports

Credit unions use detailed reports to analyze payment trends, monitor return rates, and adjust staffing based on activity peaks. Beyond basic settlement data, advanced reports allow institutions to quickly reconcile ACH and card payments, track refunds, and monitor returns to address discrepancies. Bain emphasized the need for credit unions to visualize data to spot trends and ensure a smooth flow of financial management.

Monitoring refunds and returns helps credit unions understand fund movement, and reports that show the volume of returned payments or notices of change can help mitigate risks. Additionally, tracking non-payment events, like card expirations, helps credit unions proactively engage members and ensure smooth transactions.

Unexpected Trends in Member Behavior

Bain discussed trends like late-night payments, where 3.5% of one-time payments occur between 12:00 a.m. and 4:00 a.m. While it may seem unusual, it supports the need for financial institutions to ensure their systems are operational and secure 24/7.

Another intriguing trend is members' proactive behavior in scheduling payments well in advance. Bain shared that around 32% of one-time payments are made 7 days before the due date. This suggests that members are planning ahead and leveraging the ability to schedule payments to ensure they meet their financial obligations on time. This behavior is critical for credit unions to understand as it can influence the features and functions they implement in their payment channels.

Credit unions also leverage member behavior data, differentiating between staff-led and member-led payments to improve services and better allocate resources during peak times. Payment timing is also important, as many payments are initiated between 8:00 a.m. and 12:00 p.m., informing staffing decisions.

The Power of Visual Reporting

Visual reporting transforms data into insights that are easier to interpret and act upon, which is especially beneficial for credit unions. Unlike traditional data tables, visual reports use charts, graphs, and dashboards to present information in a way that highlights trends and outliers at a glance. For credit unions, this means team members across departments can quickly understand critical metrics, like payment volume spikes or member engagement rates, without sifting through raw data.

For example, using ring charts to display payment return rates or bar graphs to show peak payment times helps credit unions spot areas needing attention. Visual dashboards enable real-time tracking, giving staff current financial health and operational performance overviews. Stuart Bain noted that visual tools not only save time but also improve accuracy, making it easy to catch irregularities, like spikes in returns or unexpected changes in payment times, which might indicate underlying issues. In addition, visual reporting tools allow for more accessible, impactful presentations to leadership, supporting better decision-making and ultimately enhancing member experience.

Advanced reporting and visualization tools play a vital role in helping credit unions optimize payment processes, enhance member satisfaction, and mitigate risks. To learn more, watch the full webinar, Can Your Loan Payment Reporting Do This?, featuring Alacriti.