Young couple planning their finances together.

Keeping credit union members engaged is increasingly difficult in the digital age. With rising competition among banking institutions and the plethora of new fintech products available, consumers have more choices than ever. The typical member engagement strategies of high yield accounts and low borrowing rates are no longer enough to keep your credit union top-of-mind when members make their product choices.

To stay competitive, credit unions must double down on what they’ve always done best – developing personalized relationships and building loyalty by focusing on their members’ financial well-being.

What is Financial Well-being?

The Consumer Financial Protection Bureau (CFPB) aims to provide answers to consumers’ pressing money questions. They focus on improving the financial health of the general public, and through conversations with consumers, they have come to define financial well-being as:

“…having financial security and financial freedom of choice, in the present and in the future. More specifically, having financial well-being is when you:

• Have control over day-to-day, month-to-month finances
• Have the capacity to absorb a financial shock
• Are on track to meet your financial goals
• Have the financial freedom to make the choices that allow you to enjoy life”

— Why financial well-being?, CFPB

4 Ways Focusing on Financial Wellness Improves Credit Union Member Engagement

1. Financial wellness programs are an accessible point for members to get more involved with their credit union

The majority of Americans struggle with their financial health. The Financial Health Pulse ® 2022 US Trends Report indicated that in any given year, between 66% and 72% of Americans were financially unhealthy.

Because financial health is a common problem, financial wellness programs are an extremely accessible point of engagement for members. What better way to deepen affinity with members than by helping them organize and take control of their financial lives?

And with the vast breadth of financial topics the average person needs to know about, financial wellness programs are not just for the financially unhealthy. Even a financially healthy person can benefit from more education and personalized insights.

2. Improved financial health gives members more resources to engage with their credit union

Credit union members living paycheck-to-paycheck typically don’t have the resources to engage with the credit union’s full suite of products, like savings products or investment services. To take advantage of everything their credit union has to offer, it’s likely that their financial situation would need to change.

Focusing on members’ financial health by providing the tools to improve their credit score, budget more effectively, or address their financial goals ultimately improves their financial situation and places them in a better position to engage with other financial products offered.

3. Members feel increased trust and loyalty when their credit union cares about their financial well-being

When a credit union makes a difference in their members’ financial health by improving their financial well-being, helping them meet their goals, and decreasing their stress around finances, the credit union earns their members’ trust and loyalty.

According to a Gallup study, 77% of financial institution members were found to have increased engagement when they felt like their institution cares about their financial well-being.

When consumers feel like their institution will make a change in their overall financial health, they become more emotionally invested in their membership. To learn how making an emotional impact on members creates advocates for your credit union, visit this page.

4. Financial wellness tools keep credit unions top-of-mind

Digital financial wellness tools can provide members with guidance on how to improve their financial situation and spot gaps in their planning. This provides credit unions with a unique opportunity to offer solutions and products that fulfill a financial need in the right place at the right time.

Having these tools available online and within mobile apps helps your credit union reach members where they are and stay at the center of their financial lives.

To learn more about the importance of digital tools for credit unions, click here.

Happy businesswoman looking at her finances on her phone on the street while going back home from work.

Implementing an Effective Financial Wellness Strategy

Financial wellness is not a one-size-fits-all solution—every member’s financial situation, challenges, and goals are unique. To build a truly effective financial wellness strategy, credit unions must prioritize personalization, accessibility, and proactive engagement.

1. Prioritize Personalization

Members need to feel that their credit union understands and empathizes with their financial journey. A successful financial wellness strategy goes beyond generic advice and instead provides:

Tailored financial insights based on individual financial behaviors and goals
Customizable action plans that guide members toward smarter financial decisions
Personalized product recommendations that align with their immediate and long-term needs

2. Offer Financial Coaching for Deeper Engagement

While digital tools are essential, human guidance remains invaluable. Offering one-on-one financial coaching—whether in person or through virtual sessions—helps members navigate complex financial decisions with expert support.

3. Leverage Digital Tools for Accessibility

Modern members expect on-demand, easy-to-use digital solutions. Ovation (formerly Paperwork) is a comprehensive financial wellness platform that equips credit unions with:

A centralized dashboard for tracking finances, including transactions, savings, and spending habits
AI-driven chatbots for real-time, interactive financial education
Automated action lists & goal-setting tools to keep members on track
Seamless integration of financial coaching directly within a mobile-first experience