What TMG and CO-OP Move Means For Credit Unions
There are Big Changes Coming with the Transition of TMG and CO-OP
You’ve seen the news…
“In a move expected to impact more than half the nation’s credit unions, CO-OP Financial Services announced the acquisition of TMG (formerly The Members Group), the Iowa-based card processing and payments firm,” said CU Journal. Read the full article here.
“CO-OP Financial Services has acquired the Des Moines, Iowa-based payments processor TMG in a $100 million all-cash deal and has restructured its management team, according to an announcement today,” remarked CU Times. Full article available here.
…TMG And CO-OP are Reassuring Credit Unions the Acquisition is a Positive Move
In a quick effort to clarify why the acquisition is great for credit unions, CO-OP released this article.
It goes without saying this is a huge transition for all parties involved. This move will change the landscape of vendor options for credit unions looking for Credit and Debit providers, but it can also add some confusion.
The good news in this partnership is that both TMG and CO-OP become stronger together than they would apart. The investment that CO-OP made for TMG allows for additional investments in products and services that hopefully have a positive impact on the credit union, not only operationally, but also for the membership.
What Does This TMG and CO-OP Transition Mean for Credit Unions?
The concern with this news is the transition time, the uncertainty of long-term product direction, (CO-OP’s In-House Credit and Debit platform and surcharge-free ATM network vs. First Data-TMG’s platform) and what that means to credit unions on either product offering.
Both CO-OP and TMG have reassured credit unions that the change will be positive and communication forthcoming, which is great, but now is the time to consider your options. Do you know what your options are? Do you know what to do? What moves will make the overall best impact for your credit unions and your members?
If your contract is up in less than 24 months then you have options, leverage and negotiating power. Contact us and we can guide you through it. We have done it hundreds of times for credit unions all over the country and are here for you.