Credit Unions Lead the Way in Adopting Digital Signatures

Digital signature technology is gaining momentum in a lot of different industries, and credit unions are leading the charge. A study from Gartner Research shows that the e-signature market increased 48 percent from 2011 to 2012.

Credit unions face unique challenges, and they’re looking to digital signatures to meet their needs. From convenience to increased security, each credit union picks digital signature technology for a different reason.

Many credit unions pick e-signature technology to improve their member experience. Credit union members are pushing for their relationships to go online, and small credit unions are struggling to meet the demand. Digital signatures are an easy way for credit unions to offer additional online services. This technology lets members sign applications and forms wherever they are, whenever they are ready to sign.

In January, Caprock Federal Credit Union (CFCU) adopted digital signature technology for this very reason.

“Our members are going to love being able to sign documents online, and we look forward to reducing the paperwork we have to process to comply with regulations,” said Dale Hansard, the CEO and president of CFCU.

Other credit unions adopt digital signatures to ease the burden of compliance.  Regulation Z and the requirements for closed-end loans have become a hassle both for credit union staff and for members who need to sign additional forms. With digital signatures, credit union staff can spend less time shuffling paperwork and more time interacting with members.

“Our members have been seeking a way to eliminate the extra paperwork and cost caused by the recent Regulation Z changes for closed-end loans. We recognized that electronic signatures could significantly reduce the burden on our members,” said Bob Gallman, Executive Vice President of Resources at Credit Union Resources.

To learn more about adopting digital signatures at your credit union, download our free eBook.