CU Tomorrow Projects

Young Americans are inundated with credit card offers and many of them are barely treading the water of the resulting debt. College students in their final year carry an average of $2,864 on their cards, according to data from student loan giant Nellie Mae (See Cold Hard Facts). Graduate students, on average, carry more than three times as much. At least one major credit card issuer has made new student accounts 25% of its annual new card goal, according to author Anya Kamenetz. And students aren’t the only ones building mountains of high-interest debt at an early age.

Credit unions need to serve Generation Y. It’s not enough, however, to send good financial products and cutting edge delivery into the marketplace without a team that can follow up with even better products five, ten, or fifteen years from now. Recruiting talented young professionals is necessary for credit unions to further serve their memberships and continue to grow.

This Filene business brief highlights opportunities and simple, proven tactics for attracting recent college graduates and young professionals.

Demographics is destiny. Credit unions face myriad marketplace uncertainties, but one thing is certain: Existing members will always grow older. Demographic shift is one of the few sure things in the world of business. Generation Y, commonly understood as those born between 1980 and 1995, comprise the largest demographic surge since the late 1940’s and already they are reshaping both the workplace and the marketplace. Understanding their needs on a local and specific level will help credit unions attract and retain Generation Y members.