Responding to Rising Costs & Tough Times

These past few weeks, it seems like every headline and every passing conversation comes back to how expensive things have become. Gas prices have everyone talking today, but the truth is, families have been feeling the strain for quite a while. Utility bills started rising over the winter, insurance has gotten more expensive this year and childcare and grocery costs have been creeping up steadily for months. When you put all of that together, it creates a cumulative financial strain that’s hard to ignore. 

I also hear from credit unions that many of you are seeing the impact firsthand — members struggling to come up with down payments on autos and credit scores shifting. That makes it tougher to lend and to price loans in a way that’s manageable for both your credit union and your members. 

I don’t know about you, but when the news looks like this day after day, it’s easy to feel like all you can do is brace for whatever goes up next. But here’s the thing: tough times are when we shine.  It is when MCUL, CUSG and your credit unions show why we are here. 

At a chapter meeting last week, I was talking with a young professional who mentioned he had a hard time connecting with the traditional credit union origin story — the one that begins in Germany. I told him that the story I tell about credit unions is about how the industry really got under way in the U.S. — during the depression where teachers, factory workers, educators and others got together to pool money, often from an abandoned office at a plant, a church basement or someone’s home. This was done when people had to rely on their co-workers and neighbors for loans as the banks were saying no.

This origination story is part of the reason I love our movement. The story of persevering when things get tough. And given the way things are looking lately, I’ve been thinking a lot about the work we’re doing at MCUL and CUSG to help our credit unions support members who are feeling stretched. I’ve also been inspired by some of the incredible things our credit unions are doing to give their members some much needed breathing room. So I thought it might be helpful to share a few of these efforts in case you’re also thinking about new ways you can reach members right now.

The Michigan Credit Union Foundation has a couple of relevant programs right now, and the first is a new training we’re rolling out through GreenPath to help frontline, member‑facing staff lead with more empathy. Of course, empathy isn’t going to fix every financial challenge someone is dealing with, and it won’t make rising costs go away. But it does set the tone. When someone comes in worried about a bill or a tight month, they need to feel heard first. This training helps staff handle those moments in a way that eases stress instead of adding to it. Contact Andrea Tucker if you want to find out more about this.

MCUF is also offering Inclusion Grants, launched alongside a recent demographic study. These grants help credit unions see who’s in their community and where the biggest gaps are, so more people can get the financial support they need.

Our CUSO, CUSG, is launching a couple new tools designed specifically to help members manage financial stress. Equipifi is a buy-now-pay-later solution that allows members to spread out expenses without falling into debt traps. And Reset, a fee‑free earned wage access option, lets people access pay they’ve already earned, giving families a bit more control during tight weeks. Both solutions are about giving people smart choices so they don’t end up turning to options that could set them back.

And as I mentioned, there’s tons of good work happening at credit unions across Michigan. I know that last month, Vibe Credit Union launched its Good Vibes Foundation to deepen their community support. Their focus on food security and housing stability feels especially important right now, as more families struggle with the basics.

Another great example is United Bay Community Credit Union’s new Green Loan Program. This is great because it cuts monthly costs and makes energy‑saving upgrades easier to afford. Similarly, One Detroit Credit Union recently joined many other credit unions in partnering with Michigan Saves to bring similar energy financing to their community. Projects like weatherizing a home, upgrading appliances or getting a hybrid or electric vehicle can all lower utility bills, but the upfront cost is a real barrier, and removing it is an important step.

We’re also seeing credit unions continue their commitment to teachers, another group that’s feeling the squeeze of rising costs. In the past few months, I know Lake Michigan Credit Union, PFCU and Michigan Schools and Government Credit Union have given grants to help educators cover classroom expenses they often have to pay for out of pocket. These grants may seem small in the big picture, but for the teachers receiving them, they’re a big deal. And it’s great to see those grant programs continue through the school year.

I also want to recognize the work Genisys Credit Union is doing around affordable housing. They secured $1.5 million from the Federal Home Loan Bank of Indianapolis to support the development of 138 affordable housing units. I know this is a longer-scope solution to a problem affecting people right now, but again, housing affordability is one of the biggest financial stressors for Michigan families right now, and this kind of big-picture planning is going to make a difference.

All of these efforts, whether big or small, are a good reminder of what makes the credit union movement so reliable. We pay attention to what’s happening around us, and we act accordingly to meet member needs. And I know the examples I’ve shared here are only a small sample of what you and your teams are doing across the state. As we move through this stretch of rising costs, my team and I appreciate hearing what you’re working on throughout the year. If you have a project or story you think MCUL should be aware of, please send it our way at Publications@mcul.org. This helps us highlight your work and have a better picture of the support happening in our movement. 

Also, for those credit unions serving diverse and immigrant populations, the application window for the Juntos Avanzamos designation (offered through Inclusiv) is now open through May 1. It’s a great way to strengthen your commitment to inclusive financial service, especially for communities that often deal with the greatest challenges and need a trusted place to turn. Learn more about that here.

Thank you for everything you do. This is a difficult time for many families, but I know it would be even more challenging without the work you do.

Thanks for reading. 

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