GLASTONBURY, Conn.–Payrailz, a provider of digital payments, has launched a new CUSO called CU Payz.
The goal of the CUSO is to allow credit unions to “take control of their future by partnering with Payrailz to develop new, innovative technologies and services that will revolutionize the payments experience,” the company said.
Payrailz said the new CUSO came out of a working relationship with established CUSOs Members Development Co. (MDC) and Constellation Digital Partners. CU Payz includes six founding member credit unions: Coastal Credit Union, Raleigh, N.C.; Farmers Insurance FCU, Los Angeles; Georgia’s Own Credit Union, Atlanta,; Meritrust Credit Union, Wichita, Kan., Teachers Credit Union, South Bend, Ind., and TwinStar Credit Union in Lacey, Wash.
The CUSO is open to all credit unions and other CUSOs, and provides its members with the ability to become owners in CU Payz, and they will also have a voice in the direction of the product, favorable pricing and the ability to deliver new and innovative services to their members, the organization said.
“As strategic partners, member credit unions of CU Payz will also influence the development of new payment technologies and experiences, which is particularly important as they compete in the highly competitive banking environment,” the CUSO added.
“From our point of view, one such collaborative partnership is the formation of CU Payz,” added Jeff Kline, president and CEO of MDC. “Here we have a group of forward-thinking credit unions, forming a partnership with Payrailz to create smarter payment experiences and next-generation payment services that will allow credit unions to leapfrog the current offerings in the marketplace.”
CUs Have Been ‘Handcuffed’
“Credit unions have been handcuffed by some of the current providers, and we strongly believe we will offer a solution that enables them to compete against all the other tech competitors jumping into the market. It’s time for credit unions to take control of the member experience, and we are excited to be able to empower these FIs through our own CUSO,” said Fran Duggan, CEO of Payrailz. “Technology is instrumental in helping today’s credit unions create the optimal member experience, and we are proud to not only provide this technology, but to now work directly with credit unions to partner on the development of our technology moving forward.”