When I worked at a big bank, I thought I had it all figured out—bigger was always better, and success meant optimizing profits and efficiency. Credit unions? Sure, they had a noble mission, but they weren’t playing in the same league as the big banks. And CUSOs? Well, I didn’t even know what those were.
So, when I was offered the opportunity to build a treasury management CUSO, I was skeptical. “What’s a CUSO, and why should I care?” I wondered. But I quickly realized this was more than just a job offer—it was an opportunity to be part of something with game-changing potential for the community financial movement.
What makes CUSOs essential
CUSOs hit the scene a little over twenty years ago as a way for credit unions to share resources and cut costs—smart, but not groundbreaking. It’s like neighbors sharing a lawnmower to save a few bucks. But over the past few decades, CUSOs have evolved into much more. They’re now the next wave of fintech, giving community financial institutions access to competitive, if not leading, services and technology.
With the right investment and investors, CUSOs have the potential to become high-growth organizations that serve their credit unions and generate returns. This is a big shift—one that positions CUSOs as real players in the financial world. But for this potential to be realized, credit unions need to go all in on CUSOs. And that’s exactly what we’re seeing now. Venture funds are starting to back CUSOs, recognizing their power to shape the future of financial services. These investments aren’t just about making money—they’re about ensuring that leading technology stays within reach of credit unions.
The numbers tell the story: credit unions serve over 131 million members in the U.S. but manage only about $2 trillion in assets—compared to the $23 trillion held by U.S. banks. That’s where CUSOs come in. They’re helping level the playing field, driving growth that wouldn’t be possible otherwise. The CUSO market has grown to over 1,200 organizations, generating hundreds of millions in non-interest income for credit unions. This growth isn’t accidental—it’s the result of credit unions recognizing the power of collaboration and making a strategic choice to invest in their future.
I’m proud of what we’ve accomplished at my CUSO. In 2020, a group of innovative credit unions recognized that the industry was missing out on the lucrative treasury management market—a space dominated by big banks—so they seized the opportunity to launch Tru Treasury. Fast forward four years, and we’re helping credit unions compete on more equal footing, creating new revenue streams, and building stronger relationships with business members. It’s proof that CUSOs can turn challenges into opportunities.
It’s a team effort
But here’s the bottom line: For CUSOs to truly reach their potential, credit unions must be fully committed. It’s not enough to have an ownership interest or just be interested—you’ve got to invest, collaborate, and innovate alongside your CUSO’s leadership. This commitment is what will ensure that credit unions thrive in a competitive landscape. It’s about coming together, embracing new ideas, and delivering unmatched value to members.
Looking back, I see that CUSOs aren’t just an option—they’re a necessity. The future of the credit union movement depends on credit unions investing in CUSOs and leading with a vision focused on innovation and member service. With the right support, CUSOs will continue to shape the financial world, keeping credit unions strong, competitive, and relevant.
It’s been a privilege to be part of this journey, guiding the industry toward a future where credit unions, powered by CUSOs, can compete with the biggest financial institutions and continue serving their members with excellence. The key to this future is simple: Credit unions must fully commit to investing in and partnering with CUSOs, making them central to the movement’s success.
