Credit Union Financial Advisors Are Losing to TikTok (feat. Wellthi)

credit union financial advisor losing to social media

There are more than 141 million Millennials and Gen Zers. Gen Alpha is just coming into banking age now that youth accounts are taking off.

This is a really, really big market. It’s nearly half of the United States’ population.

And credit unions are doing a historically bad job of catering to them.

In fact, unqualified people on social media are crushing your credit union’s financial advisors right now. But Wellthi, a social banking platform, could be the counter… and the credit union ticket to relevancy for Millennials and Gen Z.

TikTok and Social Media Financial Advisors

Financial advisors don’t give financial advice on social media. And yet, social media is a hotbed of “financial advice,” with channels that share tips, tricks, education, and recommendations.

Get this:

80% of Millennials and Gen Z get financial advice from social media.

At this point, the majority of that advice comes from TikTok. Also prominent are Reddit, YouTube, and even Facebook and Instagram.

If you think this is an unfortunate failure, you’re right. But this failure isn’t on the people giving advice or making financial “infotainment…” And it’s not a failure by the people consuming said “financial advice” content.

This is a failure of credit unions and banks. They’re not making financial advice accessible.

How to Compete with TikTok for Financial Advice

If you can’t beat ‘em, join ‘em, right? No financial institution will ever get the user base that TikTok has. It’s not realistic for credit unions to create a forum quite like Reddit.

But what credit unions lack in user base and momentum, they make up for in expertise and trustworthiness.

Overall, the major credit union advantages include:

  • Verifiable financial advisory pedigrees;
  • A member/user base with a real financial stake;
  • Actual products and services;
  • Member support services; and
  • A vested interest in their members’ financial success.

What credit unions lack is a way to capitalize on the social banking phenomenon. They can’t beat TikTok for sheer engagement numbers, but they can win just about everywhere else.

But what if credit unions could make financial advice more accessible? And what if they could do it in a more controlled and trustworthy environment than on a massive social media platform?

They can. Here’s how:

Introducing Wellthi

Wellthi offers social finance software to credit unions. Essentially, they embed in your mobile banking app—all white-label—and help people connect through banking.

Who gets connected?

  • Your member service reps to your members
  • Your financial advisors to your members
  • Your members to other members (if they want)
  • Your members to non-members

Here’s why each is important:

For the first two, connecting member service and financial advisory staff to members helps your team discuss and provide guidance on issues that members are actively trying to learn about. It makes financial advice more accessible.

(Remember, that’s a big CU failure right now.)

For the third one, studies consistently show that people stay more engaged—and reach their goals more consistently—when they share those goals with other people. It’s an accountability thing. And it’s just more fun.

Finally, the fourth one:

With Wellthi, your members can connect to non-members and bring them into their social banking sphere. This exposes non-members to the credit union, its member service representatives, and its financial advisors. Oh… and its products and services.

That pushes Wellthi beyond a social banking tool into the world of memberization.

You can learn more about Wellthi—and statistics about how one credit union has benefitted—by filling out the form below:

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