Amplify Credit Union Market Research Report

Background

Overview

Established in 1967 as the IBM Texas Employees Federal Credit Union, Amplify Credit Union is a member-owned financial cooperative headquartered in Austin, Texas. Over the years, it has expanded its membership base to include all individuals residing, working, or studying in Texas, serving over 50,000 members. The credit union offers a comprehensive suite of financial services, including fee-free banking accounts, home loans, auto loans, personal loans, commercial banking, and wealth management services.

Mission and Vision

Amplify Credit Union is committed to enhancing the financial well-being of its members by providing accessible and innovative financial solutions. Its mission centers on delivering personalized services that cater to the diverse needs of its community, fostering financial success and stability.

Industry Significance

As a member-focused financial institution, Amplify Credit Union plays a pivotal role in the Texas financial landscape. Its emphasis on fee-free banking and community engagement distinguishes it from traditional banks, contributing to the growth and diversification of the credit union sector in the region.

Key Strategic Focus

Core Objectives

Member-Centric Services: Prioritizing the financial needs and goals of members through personalized banking solutions.

Technological Advancement: Integrating cutting-edge technologies to enhance service delivery and operational efficiency.

Community Engagement: Strengthening community ties by supporting local initiatives and fostering economic development.

Areas of Specialization

Digital Banking: Offering mobile-first banking experiences to ensure accessibility and convenience for members.

Lending Services: Providing a range of loan products, including home mortgages, auto loans, and commercial lending, tailored to individual and business needs.

Wealth Management: Delivering investment and retirement planning services to assist members in achieving long-term financial security.

Key Technologies Utilized

Fiserv DNA Core System: Adopted to gain a comprehensive understanding of member relationships and to drive growth through a member-centric technology strategy.

IllumaSHIELD™ Voice Authentication: Implemented to enhance security and streamline member authentication processes in the contact center.

Primary Markets Targeted

Individual Consumers: Residents of Texas seeking accessible and fee-free banking solutions.

Small and Medium-Sized Businesses: Local enterprises requiring commercial banking services and business loans.

Community Organizations: Nonprofits and local groups aiming to collaborate on initiatives that promote economic development and financial literacy.

Financials and Funding

Funding History

As a member-owned cooperative, Amplify Credit Union's funding primarily originates from member deposits and retained earnings. The credit union has demonstrated consistent growth, with total assets reaching $1.31 billion in 2024, a decrease from $1.42 billion in the previous year. This reduction was strategically implemented to increase liquidity levels and reduce interest rate risk.

Recent Funding Rounds

Specific details regarding recent funding rounds are not publicly disclosed, as Amplify Credit Union operates as a cooperative and does not engage in traditional funding rounds.

Notable Investors

As a member-owned institution, Amplify Credit Union's "investors" are its members, who hold shares in the cooperative and benefit from its services and financial performance.

Utilization of Capital

The capital is strategically allocated to:

Technological Enhancements: Upgrading systems like the Fiserv DNA Core System to improve service delivery.

Community Initiatives: Supporting local programs and partnerships, such as the collaboration with Workforce Solutions Capital Area to increase access to banking services.

Operational Expansion: Opening new branches and enhancing existing facilities to better serve the growing membership base.

Pipeline Development

Key Pipeline Candidates

Amplify Credit Union continually evaluates and develops new financial products and services to meet the evolving needs of its members. While specific pipeline candidates are not publicly detailed, the credit union focuses on:

Digital Banking Solutions: Enhancing mobile and online banking platforms to offer seamless user experiences.

Lending Products: Developing competitive loan offerings, including home mortgages and business loans, to support members' financial goals.

Wealth Management Services: Expanding investment and retirement planning services to assist members in achieving long-term financial security.

Stages of Development

The credit union employs a structured approach to product development, encompassing:

1. Market Research: Identifying member needs and market trends.

2. Product Design: Crafting solutions that align with member requirements and regulatory standards.

3. Testing and Feedback: Implementing pilot programs and gathering member feedback.

4. Launch and Evaluation: Rolling out products and assessing their impact on member satisfaction and financial performance.

Target Conditions

The credit union's product development is guided by:

Member Demand: Addressing the specific financial needs and preferences of the membership base.

Market Trends: Aligning with technological advancements and industry best practices.

Regulatory Compliance: Ensuring all products adhere to financial regulations and standards.

Anticipated Milestones

While specific timelines are not publicly disclosed, Amplify Credit Union aims to:

Short-Term: Enhance digital banking platforms and introduce new lending products.

Medium-Term: Expand wealth management services and community partnerships.

Long-Term: Achieve sustained growth in membership and assets, maintaining a strong capital position.

Technological Platform and Innovation

Proprietary Technologies

Amplify Credit Union leverages advanced technologies to enhance member services:

Fiserv DNA Core System: Provides a comprehensive view of member relationships, facilitating personalized service and efficient operations.

IllumaSHIELD™ Voice Authentication: Enhances security and streamlines member authentication processes in the contact center.

Significant Scientific Methods

The credit union employs data analytics and machine learning algorithms to:

Predict Member Needs: Anticipate financial requirements and offer tailored solutions.

Optimize Operations: Enhance efficiency in service delivery and resource allocation.

Assess Credit Risk: Implement advanced models to evaluate loan applications and manage risk.

Leadership Team

Executive Profiles

Kendall Garrison – President and CEO

With over 40 years in the banking industry, Garrison has been instrumental in Amplify's growth, tripling its size to over $3 billion in assets under management. He holds a B.A. in Economics from Rhodes College and is a Texas Certified Public Accountant.

Angela – Chief Experience Officer

Angela brings extensive experience in human resources and is recognized for her advocacy in diversity and inclusion. She holds two senior-level human resources certifications and is actively involved in organizations such as Austin SHRM and SHRM.

JC San Pedro – Senior Vice President, Mortgage Banking & Loan Administration

San Pedro oversees the mortgage and loan administration departments, focusing on enhancing lending services and member satisfaction.

Leadership Changes

In 2024, Amplify Credit Union restructured its home lending department to better serve members and support long-term growth. JC San Pedro was promoted to Senior Vice President of Mortgage Banking and Loan Administration, and Yvonne Case returned to Amplify in her new role as Vice President of Real Estate Production.

Competitor Profile

Market Insights and Dynamics

The Texas financial services market is characterized by a diverse range of institutions, including large banks, regional credit unions, and community banks. There is a growing emphasis on digital banking solutions, fee-free services, and community engagement. The market is competitive, with institutions vying to offer innovative products and superior customer service.

Competitor Analysis