CU Direct has formed a new partnership with CU Direct Connect (CUDC), a credit union service organization that provides vehicle lending and origination funding platforms.
Based in Colorado, CUDC currently serves more than 40 credit unions for vehicle lending, which supports the auto dealer partners currently enrolled in the CUDC program.
The Ontario, Calif.-based CU Direct provides lending technology solutions to credit unions.
According to CU Direct, this collaborative agreement will leverage the “strengths of the two largest indirect lending credit union service organizations to better meet the growing indirect lending needs of credit unions, and strengthen the position of the credit union industry nationally with auto dealers.”
As a result of the partnership, CUDC will be able to provide CU Direct’s CUDL auto lending network/platform to its credit union partners.
The CUDL platform, with 14,000 dealers nationwide, will provide CUDC with “access to new expansion markets, as well as an opportunity to offer their full service indirect auto loan origination model” to prospective new credit unions in those expansion markets via the CUDL platform.
By providing the platform to its current credit unions and dealers, CUDC will help further expand the CUDL network nationally in both breadth and depth.
The agreement will also give credit unions a “greater unified focus” on a credit union- specific indirect channel that distinguishes them from banks and finance companies.
“Our CUSO has always valued and promoted collaboration between our member credit unions,” said Blair Korschun, president and CEO of CUDC, in a statement. “Therefore, it only makes sense that CU Direct and CU Direct Connect should collaborate for the mutual benefit of all our credit unions.
Korschun also said this agreement “will make new, competitive credit union lending options available to our dealer partners with the highest service levels, fast decisions and fast funding.”
CU Direct’s president and CEO, Tony Boutelle commented that his company looks forward to working with CUDC to provide the CUDL platform to their credit unions and to “advancing the overall success of our respective credit union partners in the auto lending marketplace.”