Insights from Catalyst

The stress test scenarios include measures of overall economic activity, asset prices (i.e., home and commercial real estate values), inflation and interest rates. The scenarios for 2024 (consistent with 2023) include a Baseline and a Severely Adverse scenario, but credit unions are also encouraged to create internally designed scenarios based on their unique market and member segment.

As 2024 continues to unfold, interest rates remain high, inflation is moderating but still elevated, and the economy continues to grow. We anticipate liquidity remaining a challenge at least through the first half of 2024. This means credit unions will need to diligently monitor and manage their liquidity positions.

Crafted to deliver an optimal viewing and interaction experience, responsive websites seamlessly adapt to a spectrum of devices, spanning from desktop computers to mobile phones. Credit unions, parallel to other businesses, stand to gain immensely from a website that marries visual appeal with functional efficiency across diverse devices.

In 2022 alone, financial institutions issued 680,000 reports of check fraud to the Financial Crimes Enforcement Network – an increase of 94% over the previous year. How can credit unions protect themselves against the threat of check fraud? It’s beneficial to understand the importance of detecting fraud in real-time.

A strong governance structure is important to credit unions seeking to fulfill their mission effectively. Not surprisingly, technology has provided tools that make it easier to establish a strong governance structure. One advancement that is streamlining credit union governance practices is online board portals.