Choosing the right technology for a brick-and-mortar credit union is a tall task, and self-service coin counters are part of this decision process. While, as My Bank Tracker pointed out, only a handful of financial institutions still offer this service, giving customers an option to exchange their coins for paper money is a valuable way to stay relevant in an increasingly digital marketplace. Credit Unions have certainly caught on to this fact, as up to 25 percent more credit unions have coin counting machines as compared to banks. That said, there are a number of criteria credit unions should consider when choosing the right technology:
It is crucial to partner with a technology vendor that has solid intellectual property protection. American Banker reported, according to Brian Knight, associate director of the Milken Institute, it is important to leverage technology that is patented, otherwise credit unions risk interruptions in equipment service because of disputes or higher fees in litigated licensing fees.
Whether intentional or accidental, many foreign coins or pieces of debris are mixed into members' coin holders. Credit unions can experience notable losses in paying out on fake coins if their machines do not have advanced coin discrimination that can analyze each coin and detect and reject even sophisticated fakes.
Self-service coin counters with simple, intuitive bag management screens make managing the equipment easier for employees. By simplifying this process, staff can focus on other essential tasks that are more customer-facing.
Credit unions should be able to invest in technology that accommodates their budget and long-term growth plan.This in mind, it is helpful to invest in coin counting machines - or any type of technology - that is available through multiple procurement options. The best route is to choose a vendor that offers options to buy, lease, rent or place the machine.
Choosing the right technology is important for credit unions that hope to stand out among the competition while still making financially sound choices that do not put them at risk of liability. Patent history, enhanced coin discrimination, bag management and procurement options should all be included in the vendor screening checklist.
March 17, 2016