Credit Union Research
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[TOC]

## Questions for Credit Unions

#### Organization

- Reliable based on history and partners
- Established unit to support small businesses

#### Day-to-day support

- Digital self-banking services (web and mobile services)
- Accessible physical branch locations in Toronto and GTA
- Availability (we want to be able to get help when needed)

- We need to:
- Hold and move money (account types and fees)
- Receive member dues/shares
- Handle expense reimbursements
- Pay operating costs (one-time and recurring)
- Do payroll runs

#### Small business services

- Payroll services
- Tax services
- Simple process to send and receive wires (to/from different countries in different currencies)
- Business loans for cooperatives and community enterprises
- Other services to support small businesses?

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## DUCA Richmond Hill (Ramsey)

- 4000 members at Richmond Hill branch
- Starting to have more business clients
- Many small businesses like landscapers, but starting to have more IT and become diverse
- Most people come to DUCA because of the fees
- Anna is the small business specialist, goes around branches and meet with small business clients for specific things like business loans < 200k (large loans > 200k is "commercial lending")
- Like many other CUs, business support is a new thing, last two years have been a big focus and it's going well
- Multisig accounts
- No monthly fees
- Multiple delegates, any two to approve transactions, etc.
- No bank cards for multisig accounts, use ID such as driver's license at branch
- Online each person gets their own login
- Can we do autopay with multisig accounts?
- Void cheque for authorized withdrawals to pay recurring bills may be a problem with multisig setup
- Money held
- 1.3% interest on accounts
- Cheques
- Order cheques
- On no monthly fee accounts 0.75 to send a cheque
- Free to receive, can process with app, 5 day hold for new accounts
- Wires
- We got a copy of the form
- Through intermediary partners
- Simple form, depends on currency of account, but not on currency of origin or geographic location of origin
- Send and receive wire:
- < 25k: $15-20
- 25k: $25
- 100k: $100
- If there is trouble with a wire it's best to sort it at a branch
- Collabria Visa
- Doesn't show on web interface
- Not sure if autopay can be set up for multisig accounts
- Class A Bonus Shares
- DUCA dividends to Members
- Based on the interest you receive/pay over the year
- Payroll partner: Dejardins, people like the cost structure
- Chase for POS payments
- No tax services
- Not sure if export / integration into accounting software is possible, Anna probably knows
- Branches are all similar, usually don't have to do things at the home branch, except preference to add ppl to account at home branch but it is possible to do so at different branches
- Overall Ben feels pretty good about DUCA, this Richmond Hill branch, and working with Ramsey

## Meridian Markham (Brian)
4/4/2019 @ 5:30
- Fairly new to Meridian
- Worked with TD for a very long time
- Loans can be referd or done in house
- Accounts start at $9.00 and go up to $30 /month
- Can do US fund account $5.00/month
- Recently launches a "virtual bank" caleded Motis
- Similar to Tangarine for scota bank
- Emphasized that credit unions have more of a personal touch compaired to bigger bank
- No time for the client at TD
- He provided personal phone number for after hour questions
- To create an account they "screen" members
- Articles of Incorporation
- Personal credit check of all "officers"
- Process takes about 2 days
- Two trips required to make this happen
- Multisig
- No online/atm support for multi sig
- In persons withdrawls required
- Possiblity to have teired levels (ie 1 sig for under $5,000) but still needs to be in branch
- Deposits can be processed via ATM
- Interact e-transfer would need to be done in house
- Cheuqes
- 0.85 per check (Send and Receive) ??
- 10 Day Hold
- After 6 months hold is lifted
- Wire
- They can provide information sheet with information to receive transactions
- Seemed to make it sounds very easy, no forms to fill out etc
- $10 per incoming trasnaction
- Money Held
- "about" 1%
- Visa
- 4% csh back
- Dividens
- No dividens
- Didnt seem to know that other CC did this, maybe be inaccurate information
- Said they profit share with better interest rates
- Payroll partner
- Pay Works
- No tax services
- Not sure if export available for integraion
- Can email with more questions and to clarify above.

## Desjardins (Joseph)

- The Desjardins umbrella houses all business services and retail/personal banking... (though services are somewhat silo'd e.g., payroll, insurance)
- Desjardins owns Meridian? **NO**
- back and forth purchase of capital assets in early 2000s
- completely seperate today
- Desjardins caisse populaire founded 1900, one of the largest co-operative networks offering financial services
- One business branch in Toronto. In Ontario there is growing business banking and personal banking, largest insurance providers in Canada (ON based team for that)

#### Banking

- Set up account online
- Ontario incorporated company
- articles of incorporation
- photo ID
- directors/signatories
- Account opening for co-operatives not common
- In-peron (business and retail) services offered through King St. branch
- Multisig
- available online, one acct is "supervisor" that delegates the approvals to others (<< so the other accts are a different type)
- no additional fees, follows fee schedule/plans
- "multi-user access to several accounts, with dual signature approval"
- Tons of [Account Services](https://www.desjardins.com/ca/business/accounts-cash-management/index.jsp?navigMW=mm&)
- Mobile app, online, remote deposit
- [Fees](https://www.desjardins.com/ca/business/accounts-cash-management/plans/index.jsp) per transaction unless have other products
- "Community" fee (we might qualify if not-for-profit, tho appears more for charity/foundation)
- Confirmed on call we probably aren't eligible
- Multiple currency accounts (USD, Euro, Pounds Sterling)
- [International fund transfer](https://www.desjardins.com/ca/business/international-services/index.jsp?navigMW=mm&): Wires can be executed by ownership group (aka just us, no physical requirement, no external service)
- no overdraft for foriegn currency accounts if "non-borrowing accounts" (aka no attached line of credit)
- Asked whether people do all their banking at Desjardin v. only access business services varies for context:
- have payroll, insurance, credit/loans-only clients
- some start with one product and get more over time
- usually people do all their banking ("ease of use")
- goal to have every product available to members

#### Business Services

- Do offer payroll, payment processing, etc..., generally would have seperate account managers (e.g., Joseph does Loans primarily)
- Payroll services
- Online quote: EmployerD
- https://www.desjardins.com/ca/business/hr-payroll-management/
- Business Loans
- 3 years for financial history
- new businesses: "business freedom solution", Visa, CC, line of credit, [AccorD financing](https://www.desjardins.com/ca/business/pos-payments-financing/point-sale-financing/accordd-retail-financing/index.jsp?navigMW=cvc&) <$5000 (Joseph mentioned startups use this)
- no separate critera from not-for-profit v. co-op v. llc / other business
- [Point-of-sale](https://www.desjardins.com/ca/business/pos-payments-financing/index.jsp?navigMW=pp&)
- [Insurance](https://www.desjardins.com/ca/business/insurance/index.jsp?navigMW=mm&)