CULedger announced today a strategic partnership with Autonomous Lending, Inc., a provider of digital credentials for lenders, to deliver credit unions with next-generation digital credentials that improve the member experience while decreasing friction and fraud.
To address the rapidly evolving, tech-focused demands from members, CULedger and Autonomous Lending’s partnership is designed to help credit unions remain competitive, relevant and technologically advanced. According to research from MarketWatch, global fintech growth will exceed 22% year-over-year through 2023. These fintech companies have leveraged “AI, blockchain, cryptography, biometrics and identity management,” which allow them to engage customers without brick and mortar locations. Additionally, the Credit Union Tracker, a monthly resource by PSCU and PYMNTS that monitors credit union industry trends and changes, earlier this year found that 79% of credit union members reported that they would stray from their credit unions to access fast, convenient services from a fintech provider.
“The process for obtaining a consumer loan from traditional lenders hasn’t changed much in the thirty years I have worked in the space,” said Michael Cochrum, Autonomous Lending CEO. “The process is wrought with friction and highly vulnerable to fraud, particularly in remote transaction scenarios, such as internet-based and mobile transactions. MyCUID combined with our Persistent Credit Credentials removes the friction and significantly reduces the fraud risk, transforming a timely process to as simple as pressing a few buttons via the credit union’s mobile app.”
CULedger, a credit union owned CUSO, currently provides decentralized identity credential capabilities to credit unions nationwide. The MyCUID credential allows credit unions to easily identify members when they login, walk-in or call-in to their credit union, eliminating the need for multiple login credentials. Autonomous Lending has developed patent-pending verifiable credential technology that will allow the same lenders to issue Persistent Credit Credentials (PCC) over the same infrastructure.
“Our partnership also reduces the potential for human-based errors, which traditionally create vulnerabilities for both the credit union and member related to fraud or accidental errors,” Julie Esser, chief experience officer of CULedger explained. “Both CULedger and Autonomous Lending’s solutions provide a unique benefit unlike any other in the industry by leveraging technology that creates an indisputable record of data that is secure, private and meets regulatory standards. This collaboration allows members to swiftly and securely use their credit union-provided digital credential to open accounts, transact and engage with their financial institution.”
CULedger and Autonomous Lending’s solutions are now available to U.S.-based credit unions.