TransUnion: Extra Credit

With Steve Manion joining the podcast this month, the conversation kicks off with a year-over-year review of consumer card usage. Josh examines shifts in bankcard balance and origination growth; Craig reveals which consumers are taking on far less new debt; and Steve wants to know how current charge-off balances compare to pre-COVID levels.

Steve and Craig then discuss how lenders are leveraging technology to enhance marketing and speed to market. Josh emphasizes the need for lenders to diversify their consumer engagement tactics, ensuring relevant offers at every touchpoint and channel, and delivering personalized experiences efficiently.

Craig details the ‘strategic imperatives’ for issuers in 2024 — including efficiency in marketing, evolving fraud threats, changing regulatory environments and the role of artificial intelligence — and Steve asks if higher fraud rates are being observed in certain channels compared to others.

The information discussed in this podcast constitutes the opinion of TransUnion, and TransUnion shall have no liablity for any actions taken based upon the content of this podcast.

Part Two: Live From TransUnion’s 2024 Financial Services Summit, Las Vegas

In part two of the 2024 FS Summit episode, TransUnion’s Sean Flynn sits down with Union Credit co-founder and CRO Barry Kirby to highlight some key challenges facing credit unions today.

Sean and Barry start by discussing the contradiction credit unions are running into as they balance growing their young member bases with needing more deposits due to liquidity constraints.

Barry shares the widening average age gap between credit union members (57) and US consumers (37), and describes why educating younger generations on the benefits of credit unions is critical for the health of the entire banking system.

Sean notes how Barry’s company helps community banks automate and scale in new ways, leading him to wonder what kind of fraud Barry is seeing these days and how credit unions are responding.

Finally, Barry looks back on 25 years as an entrepreneur in the community banking space to offer advice for those pursuing a similar path.

The information discussed in this podcast constitutes the opinion of TransUnion, and TransUnion shall have no liablity for any actions taken based upon the content of this podcast.

Part One: Live From TransUnion’s 2024 Financial Services Summit, Las Vegas

In part one of the 2024 FS Summit episode, credit union VPs Heather Dufourny (Service Credit Union) and Heather Sullivan (Randolph-Brooks Federal Credit Union) sit down with Craig and Josh in Las Vegas to discuss the goings-on in the credit union industry.

Craig is curious to hear which products members are most interested in, and wonders how Dufourny’s and Sullivan’s credit unions are responding to the financial squeeze many members are experiencing.

Dufourny and Sullivan share how each of their organizations are utilizing this slow period — from preparing for an eventual refinance boom to diversifying portfolios — and agree balancing a seamless member experience with the need for increased fraud controls has been a challenge within the industry.

Josh wraps things up by asking which key elements they’re focusing on to draw in a younger demographic, and is keen to know how a credit union decides when to bring in new technology or systems.

The information discussed in this podcast constitutes the opinion of TransUnion, and TransUnion shall have no liablity for any actions taken based upon the content of this podcast.

Guest FJ Guarrera puts Craig and Josh in the hot seat this month with questions around recent consumer performance, trends and preferences in the card industry.

The conversation kicks off with a macroeconomic view of the market since last quarter — ranging from consumer sentiments to card balances and originations to the impact consumer stress levels are having on their financial health.

FJ asks how issuers should be responding to elevated risk in the marketplace, and Josh shares strategies lenders might consider to alleviate some of that pressure.

Craig shares an update on the private label market; Josh weighs in on when migrating scores may start to normalize; and the conversation ultimately shifts to what issuers can be doing to better understand Gen Z preferences and behaviors — particularly given market dynamics over the last few years.

The information discussed in this podcast constitutes the opinion of TransUnion, and TransUnion shall have no liablity for any actions taken based upon the content of this podcast.

Matt Spiegel and Patrick White join the podcast this month to discuss the ongoing transformation of marketing strategies and operations.

Josh kicks things off by remarking on the lack of financial advertising in this year’s Super Bowl; Matt discusses how financial services marketers should be connecting brand and performance data for more precise results; and Craig and Patrick discuss the opportunity costs of disconnected datasets, including deterministic versus probabilistic data matching.

Plus, Josh details some surprising marketing solicitations he’s received from his bank; Patrick describes three things lenders can focus on to ensure they’re maximizing their customer insights; and Matt shares marketing tactics financial organizations should consider that can be achieved on any budget.

The information discussed in this podcast constitutes the opinion of TransUnion, and TransUnion shall have no liablity for any actions taken based upon the content of this podcast.

Paul Siegfried who leads the card and banking business at TransUnion returns to Extra Credit for the third time to discuss what’s ahead for card issuers and consumers in 2024.

Paul cautiously forecasts how rates, delinquencies and charge-offs might look by the end of the year; Craig asks what the market can expect to see in terms of unemployment and wage growth; and Josh wants to know how priorities and agendas are looking when broken out by segment.

Plus, Josh digs into whether fraud has really evolved (or does it just feel different in this economy?); Craig shares a scheme fraudsters recently tried (and failed) to pull on him; and Paul offers advice to issuers struggling to feel confident in today’s environment.

The information discussed in this podcast constitutes the opinion of TransUnion, and TransUnion shall have no liablity for any actions taken based upon the content of this podcast.

TransUnion financial services sales leader Stephanie Donaghy joins this month's podcast to ask Craig and Josh about recent trends in the card market — based on key questions she’s hearing from within the industry.

The conversation covers everything from consumer credit health and sentiment continuing into 2024; how consumer spending is impacting balances across risk sectors; and the relationship between utilization and stress.

Josh and Stephanie also discuss the right balance of anti-fraud measures within application experiences geared toward younger consumers. Craig speaks to private label card balances being at an all-time high, and Josh weighs in on the drivers and impacts of high delinquency rates and charge-off balances.

The information discussed in this podcast constitutes the opinion of TransUnion, and TransUnion shall have no liablity for any actions taken based upon the content of this podcast.

Craig kicks off the last Extra Credit episode of the year with a macro recap of 2023, ranging from the impact of increased interest rates on markets and consumers to economic and geopolitical disruptions to the growing presence of artificial intelligence.

Taking a more micro view of the market over these last 12 months, Josh highlights interesting patterns around originations, delinquencies and card balances; discusses lender investments into marketing and fraud programs; looks at capital markets and consumer affordability; and describes the impact and uncertainty stemming from increased regulations.

Finally, Craig and Josh look back at some memorable guests and episodes from 2023, and give a peek at what listeners can expect to hear on Extra Credit in the new year.

The information discussed in this podcast constitutes the opinion of TransUnion, and TransUnion shall have no liablity for any actions taken based upon the content of this podcast.

SMBC ManuBank CRO Mike Leary joins the podcast this month to discuss the relationship between risk and financial institutions in today’s economic environment.

Mike and Craig discuss the lesser-known risks impacting portfolios today, including hidden buy now, pay later loans and credit score inflation.

Mike weighs in on positioning a card portfolio in uncertain times; explains why some banks are using credit cards as transactional products; and stresses the need for working tools to properly assess the stability of consumer credit scores.

Josh asks for Mike’s opinion on which market innovations hold the most promise or red flags, and Mike ideates on what younger generations of employees can do to be successful in today’s unusual workforce.

Plus, Mike thinks back on his time as a collegiate cross country athlete and how a team-oriented mentality has helped positively shape his career.

The information discussed in this podcast constitutes the opinion of TransUnion, and TransUnion shall have no liablity for any actions taken based upon the content of this podcast.

TransUnion SVP of Auto, Satyan Merchant, joins Craig and Josh this month to discuss emerging trends within the US auto financing market.

We begin with Satyan touching on today’s top auto industry headlines — from supply chain issues and high interest rates impacting consumer affordability to major shifts in market share.

Satyan describes how technology-forward dealerships and lenders are modernizing the industry by offering online-to-offline car shopping experiences, and shares how lenders should be thinking about the growing number of credit-active Gen Z consumers.

Josh and Craig ask for Satyan’s opinion on the future of vehicle values and supply, and what that means from a credit standpoint; they discuss the return of incentive programs; and Satyan draws comparisons between the auto and mortgage financing markets.

*Plus, take a look at the TransUnion study Satyan references in the episode: https://www.transunion.com/lp/impact-of-unsettled-vehicle-values

The information discussed in this podcast constitutes the opinion of TransUnion, and TransUnion shall have no liablity for any actions taken based upon the content of this podcast.