CostPro™

Deposit Model

In addition to the CostPro™ Loan Pricing program, Thompson Consulting & Training also offers the CostPro™ Deposit Model. This program is a budgetary tool that allows credit unions to pay fair and consistent rates on member deposits.

Credit Unions that have implemented the CostPro™ deposit model in conjunction with the Loan Pricing model have experienced an additional 25 to 35 basis points.

The CostPro™ Deposit Model allows credit unions to:

• Proactively Manage the cost of funds
• Eliminate expensive dividend premiums
• Declare rates in advance
• Accurately predict the cost of funds

The CostPro™ Deposit Model is a budgeting tool that allows a credit union to pay a fair and consistent return to its members by providing a ‘what if’ scenario to pinpoint the most cost effective rates. This tool also allows credit unions to determine if a rate will be profitable. In addition to providing guidance in setting initial rates, the CostPro™ Deposit Model also provides a comprehensive tracking system, allow credit unions to measure the rate impact on the loan to shares ratio.

The CostPro™ deposit management model optimizes the income/expense Ratio by budgeting expenses based on the income generated from loans.

Risk Based Pricing Validation Report Sample

I am so pleased to have Randy’s consulting support for WHFCU. I have taken advantage of both his marketing and strategic planning programs. Both of these programs have provided value to me and WHFCU.

The marketing programs we received include; research, the development of a comprehensive marketing plan and training for employees and leadership. I was pleased with the clear insight that his research has given us into our field of membership. His research findings were especially valuable to the board as they used the findings to guide their strategic discussions. Randy presents the findings in a way that is easy to understand and discuss.
He has helped us create an effective marketing program that is getting results. We are getting new members and core deposits though the application of his marketing programs.

I can say, without reservation, that the strategic planning session, that he facilitated, was the best session we have ever held. Each member of the board commented on the effectiveness of his planning process. The session resulted in a plan that was developed by and is supported by the entire board. Randy is sensitive to all opinions and views and works to incorporate those ideas into the plan.

The real measure of his value to WHFCU is that we have elected to continue to use his services through the next year.

- Diana