More CU directors are starting to hear the term “funds transfer pricing,” which may sound like a fee members would pay for moving money from one account to another, but which is actually something quite different and more complicated. It’s one of the latest stops in the long march from the days when smart credit union executives could make strategic decisions based on their experience and intuition. Now leaders are expected to make technology-informed decisions, and FTP is technology-based.

FTP is a decomposition tool, explains Orlando B. Hanselman, education program director at CUES Supplier member