Newsroom
ICYMI: Google shares checking account plan with NAFCU
Technology companies are increasingly seeking ways to enter the financial services marketplace, and Google last week detailed its intentions to start offering checking accounts during a meeting at NAFCU's headquarters with association President and CEO Dan Berger and Executive Vice President of Government Affairs and General Counsel Carrie Hunt.
Berger said NAFCU held the meeting with Google executives "in an effort to protect our member credit unions' interests" and determine how the checking accounts could impact the credit union industry and its 118 million members.
"While we believe it is extremely important that our industry continue to explore innovative solutions, NAFCU will always work to protect credit unions and ensure any developments in the marketplace do not disrupt their ability to compete and serve their members," Berger said. "We will hold additional meetings with Google and other payment system stakeholders to assess the value and challenges this new partnership may bring."
The tech company told NAFCU that it is partnering with Citigroup and Stanford Federal Credit Union to offer the checking accounts through its Google Pay app, though additional banks and credit unions would likely have the opportunity to join later.
Unlike traditional methods of opening an account with the financial institution, consumers would open the checking account with Google through Google Pay. Google would be responsible for collecting all necessary paperwork as required for account opening and Know Your Customer, but financial institutions would still be responsible for financial and compliance activities related to the checking accounts.
In addition, the checking account and associated debit card would be Google branded – not the financial institution providing the products. As this is intended to be an online-only checking account, consumers wouldn't have access to physical branches of the bank or credit union.
Google explained to NAFCU that it does not intend to charge financial institutions for offering the checking accounts, but would likely make money from debit card transaction fees. It would also allow peer-to-peer money transfers through the Google Pay app.
Share This
Related Resources
Add to Calendar 2024-06-26 14:00:00 2024-06-26 14:00:00 Gallagher Executive Compensation and Benefits Survey About the Webinar The webinar will share trends in executive pay increases, annual bonuses, and nonqualified benefit plans. Learn how to use the data charts as well as make this data actionable in order to improve your retention strategy. You’ll hear directly from the survey project manager on how to maximize the data points to gain a competitive edge in the market. Key findings on: Total compensation by asset size Nonqualified benefit plans Bonus targets and metrics Prerequisites Demographics Board expenses Watch On-Demand Web NAFCU digital@nafcu.org America/New_York public
Gallagher Executive Compensation and Benefits Survey
preferred partner
Gallagher
Webinar
Add to Calendar 2024-06-21 09:00:00 2024-06-21 09:00:00 The Evolving Role of the CISO in Credit Unions Listen On: Key Takeaways: [01:30] Being able to properly implement risk management decisions, especially in the cyber age we live in, is incredibly important so CISOs have a lot of challenges here. [02:27] Having a leader who can really communicate cyber risks and understand how ready that institution is to deal with cyber events is incredibly important. [05:36] We need to be talking about risk openly. We need to be documenting and really understanding what remediating risk looks like and how you do that strategically. [16:38] Governance, risk, compliance, and adherence to regulatory controls are all being looked at much more closely. You are also seeing other technology that is coming into the fold directly responsible for helping CISOs navigate those waters. [18:28] The reaction from the governing bodies is directly related to the needs of the position. They’re trying to help make sure that we are positioned in a way that gets us the most possibility of success, maturing our postures and protecting the institutions. Web NAFCU digital@nafcu.org America/New_York public
The Evolving Role of the CISO in Credit Unions
preferred partner
DefenseStorm
Podcast
AI in Action: Redefining Disaster Preparedness and Financial Security
Strategy
preferred partner
Allied Solutions
Blog Post
Get daily updates.
Subscribe to NAFCU today.