5 priorities shaping credit union strategy in the second half of 2026

The following article was published by Credit Union Times here.

By Steven Nogalo

As credit unions plan for the second half of 2026, many are focused on the same goals: attracting deposits, operating more efficiently and building stronger member relationships. Achieving those objectives often depends on how well each part of the institution works together.

Members may begin in a mobile app, visit an ATM, call the contact center or turn to a branch for personal guidance. No matter the touchpoint, they expect each interaction to feel like part of the same relationship. That makes decisions about distribution, self-service and automation closely connected. Each one influences how easily members can manage their financial lives and how likely they are to make the credit union their primary financial institution.

These dynamics are shaping five priorities through the remainder of the year.

1. Distribution Is Becoming a Key Driver of Deposit Growth

Rates and products will always play a critical role in attracting deposits, but access matters too. A credit union may offer an attractive savings product, but if accessing that money is difficult, members will not hesitate to look elsewhere. This makes the reach and structure of the credit union's distribution network increasingly important. Branches, ATMs, interactive teller machines, shared networks and digital channels should be considered holistically.

Credit unions should also consider whether their distribution strategy reflects where members live, work and conduct their financial lives today. For some credit unions, this means expanding self-service access in communities where building a full branch would not be practical, but it might make sense to add an ATM or ITM. For others, it may mean plugging into an existing network so that everyday transactions and services are more widely available. The right mix will vary, but the goal is the same: Make it easier for members to maintain a meaningful relationship with the credit union and have easy financial access.

2. Non-interest Income Should Provide Clear Member Value

Credit unions are looking more closely at how to grow revenue beyond traditional lending and deposit activity. While finding new ways to increase revenue is important, so is identifying useful services that members may currently be obtaining elsewhere. Any new offering should have a clear benefit for the member, whether that is greater convenience, trusted guidance or easier access to an important service.

Wealth management, financial planning, insurance and small-business services are a few examples. In addition to adding revenue, these offerings can help members address more of their financial needs through an institution they already know and trust. They can also deepen relationships that might otherwise remain centered on a single account or loan. The opportunity often comes down to relevance and timing. By using the information they already have, credit unions can better understand members' needs and introduce services when they are most useful.

3. Branches Are Becoming More Focused on Guidance and Relationships

As routine activity continues to move to mobile and self-service channels, the role of the branch is becoming more focused. Members no longer visit a branch for every deposit, withdrawal or transfer. ATMs and ITMs support many everyday transactions, extending access beyond traditional branch hours. However, many members still value personal support when a financial decision or activity is unfamiliar or significant.

Homeownership, retirement or financial hardships, for instance, can be difficult to address via technology alone. In these moments, members often benefit from a person-to-person conversation with someone who understands their circumstances and can clearly explain the options. Credit unions should consider how members use each location before making decisions. The goal is not to move every routine transaction away from the branch. It is to give members convenient ways to handle everyday needs while preserving personal assistance for more complex decisions.

4. Efficiency Is Guiding Decisions About Automation

Credit unions are continuing to look for ways to manage costs and make better use of limited resources without reducing service quality such as through automation, streamlined processes and carefully selecting third-party support. The clearest opportunities are found in repetitive tasks that take considerable time but require little judgment, i.e., administrative work, reconciliation, cash management and portions of ATM operations.

Before introducing new technology, credit unions should understand the process they are trying to improve. Adding automation without addressing an inefficient process may simply move the problem somewhere else. Leaders should first identify where work is being duplicated, where employees regularly have to intervene and where delays affect members.

5. Member Experience Depends on How Well the Channels Connect

Member experience reflects whether members can easily access their money, receive help and complete a task in the channel they choose. They do not think about the technology or teams supporting the branch, contact center, mobile application and ATM network as separate; they experience one credit union. These channels need to connect so members do not have to repeat information, restart a request or find another way to complete it.

Members will use different options depending on what they are trying to accomplish. A mobile application may be the easiest choice for checking a balance, while an ATM may be needed to access cash, and a branch employee may be best suited to discuss a major financial decision. Credit unions should ensure that moving from one channel to another does not disrupt the relationship.

The second half of 2026 will require credit unions to make thoughtful choices about where they invest and how those investments support members. Distribution should make accounts easier to access. Additional services should provide clear value. Branches should preserve personal guidance, while self-service and automation make routine activity more convenient and efficient. By connecting the strength of long-term member relationships and trust with convenient access and a more efficient operating model, credit unions can continue to grow without losing the personal service that makes them different.

Steven Nogalo is General Manager, North America for the Atlanta-based ATM company NCR Atleos.