June 29, 2010

Ventura County Credit Union, in compliance with Regulation E, has been asking members to opt in to its courtesy pay program. The response thus far has been overwhelmingly positive.

In spite of the negative press over bank- and credit union-imposed overdraft fees, Ventura County CU has found the vast majority of its members prefer to have the option of being protected with courtesy pay, whether by ATM/debit card or by check.

Ventura County CU had always offered its courtesy pay program to all 25,000 members with checking accounts, and is now going through the process of verifying with members that they still want the program. To ensure the CU hits its goal of getting 17,000 members to opt in by the Aug. 15, deadline, Ventura County CU began reaching out to members in April through e-blasts, mailing inserts, Web site banners, in-branch merchandising and in-person communication through the branch and call center staff. A team-oriented incentive plan was also created that set up company-wide monthly goals and rewards for achieving those goals. Ventura County CU has celebrated hitting its target numbers two months in a row.

As of June 1, 9,000 Ventura County CU members have opted in—an opt-in rate of 95 percent. The most effective method has proven to be speaking to members as they come into the branch and explaining to them the details of the courtesy pay program while their attention is focused on their finances. Ventura County CU attributes its high rate of success to the trust their members have for the credit union.

“We have implemented programs that waive or reverse fees for first-time overdrafts, and we also teach our members how to avoid future overdrafts and lower their courtesy pay fees,” says Gavin Bradley, VP/member service. “Because of this, our members have developed trust in us over the years that we are looking out for their best interest. This gives them a further sense of security with Ventura County CU and with the courtesy pay program.”