CUNA Mutual Group and WithClutch partner to help credit unions

By Edlyn Cardoza

CUNA Mutual Group recently announced partnering with WithClutch, a FinTech platform focused on allowing consumers to refinance high-interest consumer loans through a digitally enabled and frictionless process. The platform turns every member touchpoint into a recapture opportunity helping credit unions significantly increase the share of wallets of existing members.

Through the partnership, CUNA Mutual Group will work to bring WithClutch to more credit unions. CMFG Ventures, the venture capital arm of CUNA Mutual Group, invested alongside Andreessen Horowitz in WithClutch’s Series A funding round to drive its continued growth.

Founded by FinTech entrepreneurs Chris Coleman and Nicholas Hinrichsen, WithClutch helps credit unions better serve their members by leveraging lower rates combined with a seamless user experience. The founders sold their previous company to Carvana in 2017, helped the digital car retailer grow exponentially and started WithClutch in 2020. The company’s mission is to help Americans save billions of dollars on their debt.

“Our belief that brighter financial futures should be accessible to all squarely aligns with WithClutch’s mission to address income inequality. Together, we’ll work to drive more value to credit union members. WithClutch’s technology can help credit unions transform their relationship with members and cement their competitive advantage in an increasingly digital environment,” said Brian Kaas, president and managing director of CMFG Ventures. “The partnership and investment in WithClutch reinforces CUNA Mutual’s ongoing commitment to providing digital end-to-end solutions that help more consumers confidently make financial decisions that work for them.”

The software solution allows credit unions to identify high-interest loans that members hold outside the credit union and offer alternative loans reducing members’ interest rates and monthly payments. Through this fully automated process, credit unions can originate loans in minutes, reduce the burden on the loan officer, minimise paperwork, and increase wallet share with existing members.

“We are on a mission to address income inequality, and credit unions are the perfect partner to do that,” said Nicholas Hinrichsen, CEO and co-founder of WithClutch. “Since we’ve started WithClutch, we’ve grown the business to process billions of dollars in consumer loan applications. We’re humbled by CMFG’s vote of confidence and are excited to support the movement.”

Launched in 2016, CMFG Ventures is the venture capital arm of CUNA Mutual Group. CMFG Ventures houses two investment funds, one focused on strategic investments and partnerships to connect FinTechs with credit unions and financial institutions, and one focused on early-stage investments in FinTechs with diverse founding teams.