Credit Union Card Loyalty Pays Off in Deposits

Credit unions are finding that treating card usage as a payment metric can lead to increased deposits. According to a PYMNTS Intelligence report titled "Consumers Trust Credit Unions but Don’t Always Reach for Their Cards," members who choose their credit union card as their primary financial institution show stronger deposit growth.

Sixty percent of consumer members consider their credit union their primary financial institution, and satisfaction is high. However, only 48% of credit union cardholders use that card as their top choice, compared to 69% of national bank cardholders. The report suggests that card usage may be a stronger indicator of deeper financial relationships than mere ownership.

Among credit union members, those who made their credit union card the top of their wallet posted a 30% increase in deposits since 2024, more than any other segment. This behavioral primacy, where a member consistently chooses an institution at checkout, can demonstrate the breadth of their financial relationship. While national banks are more effective at converting card ownership into top-of-wallet status, credit union members are surprisingly satisfied, with 87% of those who made their credit union their primary institution reporting high satisfaction.

The report highlights that winning a transaction can strengthen a member's relationship with the institution, reinforcing primary-account behavior and potentially leading to greater wallet share across various financial products.