First Tech Federal Credit Union, a $12+ billion credit union based in San Jose, California, has leveraged technology from Avoka to deploy an omnichannel digital platform that digitizes account opening for more than 40 offerings. These include deposit accounts, home loans, credit cards, insurance and more. The result is an enhanced, more efficient experience for members and lower application abandon rates for the firm.
Mike Upton, chief digital officer at First Tech FCU, called the launch “transformational,” and the metrics readily support the claim. He noted that the new platform has enabled more than 2,300 applications from all channels to pass through the platform in the first week of operation. In the first few weeks after the launch, overall completion rates had rallied to 65%, well above industry averages which are closer to 20%. Additionally, using Avoka’s Insights analytics capability enabled First Tech to determine that the time required by its members to complete account opening applications had been reduced by nearly 50%.
“The results speak for themselves,” Avoka general manager for North America David Gaydon said. “As far as we can tell, no community bank or credit union in North America has as many product applications available online as First Tech Credit Union.”
Founded in 2002 and headquartered in Denver, Colorado, Avoka demonstrated its Transact Insights offering at FinovateEurope 2017. This summer, the company released its Springboard Deposit Account Opening Solution, an off-the-shelf technology that combines digital KYC, fraud and risk evaluation, and funding to enhance customer acquisition and onboarding. In May, RACQ Bank of Australia announced that it would partner with Avoka, bringing digital account opening to the world’s first automobile club to launch a bank. Also this spring, the company teamed up with Alpine Bank – a Colorado-based FI with more than $3.5 billion in assets, using its Avoka Transact platform to enhance account opening, loan application, and business onboarding processes.
Avoka has raised $28 million in funding, and includes Regal Funds Management, Moelis Australia Asset Management, and individual investor Roger Allen among its investors. Philip Copeland is CEO.