Your Members Are Making Their Payments. So Why Are They Still Financially Vulnerable?
What the first CU POWER Report baseline reveals about the difference between financial stability and financial resilience.
Your member makes their car payment.
Their mortgage is current.
Their credit card isn't delinquent.
Their paycheck arrives regularly.
By almost every traditional measure, this member looks financially healthy.
But what happens when their car needs a $600 repair?
Suddenly, that financial picture may look very different.
And that's the problem.
We've become very good at measuring whether members are meeting their financial obligations. But are we measuring whether they have the strength to withstand what's coming next?
Those are two different questions.
What the First CU POWER Report Revealed
Earlier this year, THRIVE partnered with Valley First Credit Union to develop the first CU POWER Report baseline, examining member financial condition through the CU POWER Core 7.
And one of the most compelling discoveries came from comparing two indicators.
84.3% of measurable members demonstrated debt resilience.
That's encouraging. Many members appear to be managing their debt obligations successfully.
But then we looked at emergency savings.
54% of measurable members had less than $400 in savings.
Think about that contrast.
Many members are successfully managing their financial obligations, yet a substantial share lack the financial cushion needed to absorb even a relatively small unexpected expense.
These percentages reflect different measures and don't necessarily describe the same individual members.
But together, they reveal something important.
Making payments is not the same as being financially resilient.
THE CU POWER SIGNAL
84.3% — Demonstrated debt resilience.
54% — Had less than $400 in emergency savings.
What it means: Financial stability and financial resilience are not the same thing.
The question for your credit union: How many of your members are making their payments but remain financially vulnerable?
Source: First CU POWER Report baseline, Valley First Credit Union. Percentages reflect measurable members for each indicator.
Looking Beyond the Products
Credit unions have long measured delinquency, charge-offs, balances, credit scores, and loan performance.
Those measures matter.
But they don't tell the whole story.
Stability tells us whether members are managing today. Resilience asks whether they can withstand tomorrow.
That's why the CU POWER Core 7 examines emergency savings, debt resilience, transportation, housing, retirement, credit health, and financial confidence.
No single measure tells us how a member is doing.
Together, they help us begin understanding where members may be Vulnerable, Coping, or Stable across different dimensions of their financial lives.
And that changes what we can do.
Rather than simply counting savings accounts, we can begin asking how many members are building a meaningful financial cushion.
Rather than waiting for delinquency, we can look for emerging financial pressure.
Rather than measuring only product adoption, we can begin measuring financial improvement.
The Ultimate Proof of Relevance Is Movement
For decades, credit unions have celebrated their commitment to people helping people.
It's a mission worth protecting.
But I believe the next evolution of that mission requires something more.
We need to demonstrate that members are financially stronger because of their relationship with their credit union.
Not simply that they're satisfied.
Not simply that they make their payments.
But that their financial lives are improving.
That's what we're working to measure through CU POWER.
Baseline → Identify → Act → Remeasure.
Because the ultimate proof of relevance isn't how much business a member does with the credit union.
It's whether that relationship helps the member build a stronger financial future.
What Would a CU POWER Report Reveal About Your Members?
The first CU POWER Report, developed with Valley First Credit Union, demonstrates what becomes possible when we look beyond traditional performance measures and begin measuring member financial condition.
Are your members financially stronger—and how would you know?
Click 👆🏻 on the image to learn more & request the CU POWER Report.
Click 👆🏻 on the image to learn more.
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