Credit union conference attendees are usually there to focus on expanding their understanding of specific aspects of the industry. Experts from organizations and credit unions share their insight and knowledge to help inspire others. The recent 2018 CIMRO Conference was no exception, while geared toward payment protection programs for financial institutions, the event offered a plethora of informative topics and presentations from relevant fields. Guest speakers shared their ideas and understanding in topics such as marketing, training, compliance, and business development. Although Oak Tree was unable to attend the conference, we know it was jam packed with information, so we’ll give you a brief recap of some of the industry areas that were covered.
Day one of three began on Sunday, June 10th,, but didn’t feature much besides the usual welcome reception and registration process. After that, Monday began bright and early with a breakfast and networking session then got down to business. From 8am to 6pm, guests of the conference attended back-to-back sessions covering everything from political climate updates, marketing ideas, training concepts, and a lender roundtable. These were designed for attendees to have something to take back to their credit unions, and also be able to have discussions with others in the industry. Once the day concluded, everyone was welcome to a reception at the venue’s rooftop bar.
The third and final day of the event wrapped up with more sessions but was not an all-day affair like the previous. Everything got started with another early breakfast and networking opportunity, and concluded before noon. In that time, attendees heard from some more speakers who focused on topics such as ancillary products, technology, optional products, and a motivational discussion for success. The motivational session concluded the event, and just like that, the 2018 CIMRO Conference was over.
Out of the variety of topics that were covered, there surely was something for everyone to take away. For example, marketing geared towards specific targets helps with creating opportunities for lending and membership. Also, keeping up with industry changes and events can help maintain compliant practices within consumer lending. So, whether it be a newfound spark of motivation or a better understanding of the CFPB environment, the conference provided many opportunities for growth and knowledge.
To read more on compliant marketing, check out these frequently asked questions from the NCUA’s blog. Here is a snippet of the marketing blog:
If a credit union offers deferred interest on credit cards for an introductory period, should it be concerned about advertising requirements under Regulation Z?
Regulation Z contains advertising requirements specific to deferred interest programs. If a deferred interest offer is advertised for a credit card (or other non-home-secured open-end loan), Regulation Z requires the credit union to state the deferred interest period in a clear and conspicuous manner in the advertisement, and include information about the terms that would apply when the transaction is not paid in full within the deferred interest period or if the account is in default before the end of the deferred interest period. These disclosures must be stated in a prominent location closely proximate to the first statement of “no interest,” “no payments,” “deferred interest,” “same as cash” or similar term.
Are there different requirements for advertisements that are inside the credit union, versus those that exist outside of a branch?
Truth in Savings has some different requirements for advertisements in these situations, but Regulation Z does not. Truth in Savings carves out advertisement-related exceptions for certain types of advertisements.
Must the credit union obtain its members’ consent under Truth in Savings or Regulation Z before delivering its advertising materials through email?
The advertising requirements of Truth in Savings (TISA) and Truth in Lending Acts (TILA) may be implicated when sending email advertisements, but credit unions do not need member consent to send email advertisements under these statutes/regulations. CAN-SPAM generally requires unsolicited commercial ads to be labeled as an advertisement or solicitation and to include opt-out instructions along with the sender’s physical and electronic address
If a “trigger term” is stated in the negative, is the credit union required to provide the additional advertising disclosures?
Under Regulation Z, “trigger terms” do require additional advertising disclosures when stated in the negative, or even when not stated explicitly, but readily implied
Given the differences between the rules for open-end and closed-end loans, how could a credit union convert an advertisement if a product is converted?
There are separate advertising requirements for open-end and closed-end loans in Regulation Z. The advertising requirements for open-end loans are found in 12 C.F.R. § 1026.16 and the requirements for closed-end loans are found in 12 C.F.R. § 1026.24. Unfortunately, there is no shortcut to converting open-end marketing pieces into compliant closed-end advertisements. A credit union would need to review the closed-end advertising rules and make sure its advertising includes all the necessary disclosures.
Read more on the NCUA Advertising Compliance blog here.