In a perfect world, the reputation of any given credit union would precede it. People would flock from far and wide to join thanks entirely to word of mouth. Not a dime would be spent on marketing.
Unfortunately, it’s not a perfect world. Any credit union growth strategy is going to rely on marketing for brand recognition. Growth depends on it.
The real question is, how much does a new member cost? And, just as importantly, is it worth it?
The Problem: Most Credit Unions Don’t Know Their Numbers
One of the more telling issues that we’ve repeatedly seen is that credit unions don’t know how much it costs to acquire a new member. Usually, this is because of two variables.
Variable #1: No Standard Methodology
This is the most common reason why credit unions don’t have solid numbers for member acquisition costs. There is no set methodology for calculating member acquisition costs. Each credit union might include different variables.
For example, one credit union might consider only the cost of advertisements, banner ads, newspapers, email campaigns, and the like. Another credit union might add in a portion of their marketing team’s salaries or the cost of their online account opening platform. You might want to include operations’ salaries and the cost of any conference or speaking engagement as well. Yet another credit union may read the average cost somewhere (like here) and call it good.
According to recent industry research, 40% of bank and credit union executives don’t even know their member acquisition cost. Far too many haven’t done the math.
What We’re Seeing in 2026
When we first published this blog in 2021, we estimated the average credit union member acquisition cost sat somewhere between $350 and $700.
That number is trending higher.
Recent industry research (from Debbie) shows the average now sits around $498 when you calculate educational and promotional expenses divided by member growth. If that’s the average you know that many CUs spend much more than that.
The bottom line: the only way to truly know your acquisition cost is to run the numbers yourself. Use your actual marketing spend, include the expenses that make sense for your operation, and divide by your net new members.
Variable #2: Market Conditions Matter
Depending on the market, different account types may be easier or more difficult to market to.
In a bull market, there’s more monetary velocity. Businesses see good profits, unemployment falls, and the paychecks are fat. People are willing to spend money because they can count on more money coming in.
When the market is strong, credit union member acquisition costs for loan accounts are much lower. More people are ready to improve or buy houses, purchase new cars, and so on. They’re already looking for the best loan terms out there, so it doesn’t take as much nurturing to convince someone to open an account.
It can be easier to attract members for loan accounts than for deposit accounts in a bull market. That’s because instead of finding better ways of saving, people are finding better ways of spending.
However, in bear markets, the opposite is true. Fewer people splurge on a new car when the economy’s in the dump. Fortunately, it’s easier to attract new members for deposit accounts when the market is bad. That’s because people are looking for better ways of saving rather than finding better ways of spending.
The bottom line: Your marketing team should adjust its messaging to reflect the market.
Why Rising Acquisition Costs Matter
With member acquisition costs trending upward, it’s more important than ever to think strategically about growth. Long-term growth strategies must be profitable. If they’re not profitable, then what’s the point?
No credit union wants accounts that cost more to maintain than they make in profit. Loan accounts increase long-term profitability significantly. However, an imbalanced loan portfolio carries considerable risk.
For total member ROI, balance is key. A member with deposits and loans is better than a member with loans only. Not only is that better for your balance sheet, but it’s also better for member loyalty and retention. Members with more products are less likely to leave… and more likely to pick up another (profitable) product.
With high acquisition costs, it’s more important than ever to effectively cross-sell to new and existing members.
The Strategic Advantage of Fintech Partnerships
Here’s where rising acquisition costs create an opportunity: fintech partnerships that bring new members through the door become significantly more valuable.
When you’re spending $400-700+ to acquire a member, anything that brings that number down helps. A fintech partnership that delivers qualified new members—either through rewards programs, digital banking improvements that drive referrals, or embedded financial products—can dramatically improve your acquisition economics.
The best fintech partnerships don’t just improve member experience. They actively help you grow your member base at a lower cost per acquisition than traditional marketing alone.
Marketing helps, but passing off some of the marketing burden to fintechs helps even more. Fintechs that serve as member acquisition channels usually offer their own marketing at no additional cost to you.
Fintechs That Drive Member Growth
If you’re looking to improve your member acquisition economics, here are a few partners we work with that specialize in bringing qualified new members through the door:
Glide streamlines digital account opening, onboarding, and cross-sell.
Ribbon handles complicated inheritance issues in a way that brings new family members into the credit union.
PayOnward lets credit unions bring in and support commercial accounts.
Each takes a different approach, but all share one goal: reducing your cost per acquisition while bringing in quality members who stick around.
What’s Next?
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If you’d like to see solutions for lowering member acquisition costs through strategic fintech partnerships, join our Fintech Call Program. We’re happy to discuss best-fit fintechs in the marketplace that can address your pain points. The Fintech Call Program is free to credit union leaders.
