Nutmeg State Growing Strong as Banks Cut Branches

Recently, analysts have been bemoaning the demise of brick and mortar storefronts due to internet shopping. However, electronic innovations are actually spurring Nutmeg State Financial Credit Union to open more branches. Their ambitious growth plan kicked off with new locations in West Hartford and Orange, with many others in the works.

“As we constantly evaluate the impact we are having on our members, we found there is still a great need for physical branch locations,” Said John Holt, President & CEO of Nutmeg State. “While we promote the fact that our customers can do everything from their computer or mobile app 24/7, we still believe in the human element.”

Last year, Nutmeg became an electronic pioneer by completing the biggest Core Conversion in Nutmeg and the industry’s history that moved all of their member data into a new system. This made it easier for members to access account information and to use Nutmeg’s services. Nutmeg also launched a new look and feel of their website to appeal to Millennials, the largest users of internet banking.

Contrary to their older peers, young Millennials are “technology natives”, meaning they live in a world where social media or smartphones are a consistent norm in their everyday lives. Thus their relationship with financial services has to be built upon these tools from the beginning. Approximately 94% of Millennials are active users of online banking, according BBVA Research’s “US Banking Watch” report.

“While we still have traditional teller stations, we are emphasizing the convenience of a more consultative approach by utilizing our knowledgeable staff to educate our members on technology and e-Services as well,” explains Holt. “When you visit, you will see our convenient tablet station and our Intelligent Teller Machine, or ITM. It looks just like an ATM, but has even more to offer.”

In the future, Nutmeg will implement Intelligent Teller Machines with even more capabilities. These machines can do more than ATM machines. With Nutmeg’s ITMs, members will be able to deposit cash and checks, withdraw money of all denominations and coin, and research important account information. Long term, Nutmeg is working to also have the capability to speak with a representative, just like they would an in-person teller, over secure, live streaming video.

For many twenty-something Millennials, the housing crisis and financial recession significantly influence the way this demographic views banks and their spending habits. Holt notes Millennials are prone to embrace non-banks versus large institutions. This June, Nutmeg celebrated the anniversary of the Federal Credit Union Act by highlighting the benefits of membership. Since credit unions are member owned, not-for-profit, financial cooperatives, profits are returned to members in the form of excellent rates, programs and services. In 1934, President Franklin Delano Roosevelt signed the act authorizing the formation of federally chartered credit unions in all states, helping to make more credit available, and promoting the principle of thrift through a national system of nonprofit, cooperative credit unions.

“Larger consumer banks are scaling back in the name of cost savings. But the price is paid when the human touch is gone,” concludes Holt. “We believe in bringing in a strong customer experience to members’ everyday transactions as well as answering their questions and building their financial IQ.”

About Nutmeg

Chartered in 1936 and headquartered in Rocky Hill, Nutmeg State Financial Credit Union is open to anyone who lives, works, worships, attends school or volunteers in Hartford, New Haven, Middlesex or Tolland Counties as well as Shelton, Stratford and Bridgeport. They provide members a friendly environment in which to bank, and take pride in educating consumers about the advantages of joining a credit union. Visit them at www.nutmegstatefcu.org for more information.