Visa Forms Alliance with Credit Union Group's Card Unit
Fickenscher, Lisa, American Banker
Visa U.S.A. is pushing to attract more business from credit unions.
It has formed an alliance with CSG Card Services, the card processing affiliate of the Credit Union National Association, to provide commercial card services to credit unions. CUNA is the largest credit union trade association.
While CSG Card Services will provide processing for its customers that issue MasterCard International's commercial cards, it will promote exclusively Visa corporate, business, and purchasing cards to the nation's 12,400 credit unions.
As part of the alliance, Visa and CSG Card Services will develop a sales support and training program designed for credit unions to promote the use of business cards. The program will include marketing packages, advertising, activation, usage, and educational support.
Currently, 15% of card issuing credit unions offer corporate cards, representing $2.5 million per corporate card program, according to a CSG Card Services survey.
An additional 27% of credit unions said they would offer commercial card products during the next two years, the survey found.
The fifth-largest card processor, CSG Card Services handles the card processing needs for approximately 2,600 credit unions, or about 50% of the institutions that issue credit cards. …