May 10, 2010 in Blog by Ryan

Project overview video explains our initiative

So, people can get a better understanding of WaterlooBanking Project and our plans, we made a screencast presentation.

In it we describe our problem statement, our vision for student-run financial services, and the basics of our plan. We also outline our plans for the next two years and tell interested people how they can contribute to our efforts.

Please watch the video and tell your friends.

May 1, 2010 in Blog, Media Coverage by Ryan

TechVibes interviews Abhi about our initiative

Prashanth Gopalan from TechVibes interviewed Abhi about the Waterloo Banking Project in April.

He posted the interview in question-answer format. Abhi’s answers describe the project well and he mentioned Megan’s contribution too.

Here’s an excerpt.
Read more »

May 1, 2010 in Blog, Media Coverage by Ryan

Our project has now received ‘international media attention’

A student named Peggy from Taiwan’s Chengchi University e-mailed us asking to interview us a few weeks ago. We agreed and she sent us some questions. We sent back responses and answered her followup questions.

About a week later she sent us the link.

Read more »

April 21, 2010 in Blog, Media Coverage by Ryan

Project featured in Waterloo Region Record

After our press release a reporter from the local daily newspaper, the Waterloo Region Record, contacted Abhi. She interviewed him and arranged for a photograph. Our project was featured in the newspaper a couple days later.

Read more »

April 21, 2010 in Blog, Media Coverage by Ryan

Media release about launch of Waterloo Banking Project

Our survey is now closed and exams are finished. Now it is time to catch up on communications and analyze the survey data.

After we launched the survey we sent out a media release to try to inform more people about our vision and to attract more respondents to the survey.

This is what we sent out:
Read more »

April 1, 2010 in Blog, Project Updates by Ryan

We launched our student finance survey today

Abhi made the final changes and published our student finance survey today.

With the responses we hope to find out more about Waterloo students’ financial situations and requirements for financial and banking services. The responses will help us as we work to develop and improve financial services for students in Waterloo.

As an incentive for answering our questions, respondents will be eligible for a draw prize of an Apple iPad. Only current students at University of Waterloo, Wilfrid Laurier University and Conestoga College, who are registered at campuses in Waterloo Region, are eligible for a chance at the prize.

Alumni, faculty and staff and other people with relationships to the local university are welcome to respond, but are not eligible for the draw.

You can find the survey at:
http://www.askitonline.com/survey/waterloo-banking-project/

If you have questions, please comment below or e-mail us at:
waterloobanking.com@gmail.com

March 4, 2010 in Blog, Project Updates by Ryan

Results from our test survey on personal financial management

As a part of our market research we are implementing a survey to find out about their need for financial services, knowledge of financial management, how much people know about credit unions, and how willing they would be to support or use student run financial services.

In planning the full survey, we made a test survey specifically about personal financial management. The survey was not meant to represent the population, but help us with subsequent surveys. The results gave us an insight into people’s financial habits and ideas of how we might structure questions differently.

Here is a review of some of the results:
Read more »

November 19, 2009 in Blog, Project Updates by Ryan

Pitched the project at Waterloo StartupCamp

Yesterday night I presented this project idea at Waterloo StartupCamp. It starts out with people putting up ideas for presentation on a whiteboard. We each talk for 30 seconds. Then attendees would then vote on which ones they wanted to hear.

My 30 second pitch was like this:

Hello, I am Ryan Chen-Wing. We want to start co-operative student-run financial services for students. There would be three main benefits. One, student staff would have an amazing experience. Two, students could use financial services that not only save them money, but make them money. Three, students would be educated about personal financial management. I want to get ideas for possible innovative financial products that make sense for students and would be pleased to answer your questions. So, please vote for me.

Out of 12 ideas, I was voted tied for seventh.

Then when it was my turn to give my five minutes, I said:

So, our project name is Waterloo Banking Project. In offering the services of a deposit-taking institution there are two possible was to set up. One is to get a charter independently and the other is to operate in partnership with an existing credit union. An example of the first one is at Georgetown University which is entirely student run and they control $10 million in assets. Examples of the partnership model exist in the student caisse system mainly in Quebec where high school groups operate a student branch of a local caisse
populaire or credit union.

We see four main keys to success in our operations: cultivating a good partnership, raising capital from sponsors and from alumni, developing the students staff and building the organization, and attracting
students as customers.

So, I’d like to get ideas for products and answer your questions. We expect to offer a full suite of products like chequing accounts and savings accounts, credit cards and things like that, but we also want
to have products that make sense for students. I’ll give you an example:

There are many students in co-op at Waterloo. About half of them in any given year will have two co-op work terms and may end up owing some income tax. But under the lifelong learning plan funds only have
to be in a registered plan for three months before they can be withdrawn to pay tuition. So, we could set it up that in September of the year to put savings for tuition in an RRSP. In December they can withdraw it to pay tuition, just as they would from their savings account, but come tax time they would get more of a rebate.

So, that’s something that gives the student more money for switching to us. So, that’s it. The project is called Waterloo Banking Project and our website is waterloobanking.com. That’s our project blog.

Then I got questions about stability, revenue model, and alumni retention. I also got suggestions like bidding to be provider of the alumni credit card.

After the event more people talked to me including designers, a guy suggesting a training program, and someone suggesting places to look for similar models.

update: A friend pointed out that the registered plan idea wouldn’t work as described. Since lifelong learning plan is a loan and doesn’t give additional deduction, in many cases it would be better to save your deductions for when your income is higher.

November 17, 2009 in Blog by Ryan

Student caisses as a model for partnership

When I describe the idea of student-run financial services to people, many suggest exploring a partnership.

It is an attractive idea to be able to achieve our purpose as an independent credit union like at Georgetown, but achieving our goals doesn’t require strict independence and we would need help from other people and organizations along the way anyway.

The advantages of partnering with an existing financial institution include: greater stability, reputation, and avoiding need for direct regulatory approval.

By partnering we can focus more on our keys to success: investing in student staff & building our organization; raising capital; and recruiting member-customers. By taking this strategy building our partnership becomes another key.

One example I often give of a similar partnership PC Financial relationship with CIBC Direct Banking. PC can focus on marketing and customer service, while CIBC takes care of maintaining the deposit-taking institution.

Another example with more parallels is the student caisse system run mainly in Quebec by Desjardins caisses populaires — French for people’s bank or credit union.

A student caisse is a mini Desjardins caisse in a high school. It is managed and administered uniquely by volunteer students: a great student/school initiative! The caisse services are intended exclusively for the students and their associations. A student caisse operates under the authority and supervision of a local Desjardins caisse.
Student caisse: a cooperative for high school students Desjardins

Having models and examples helps people believe in our cause not only as sources of learning, but also as proofs of concept, so people will realize the possibility in the first place.

October 4, 2009 in Blog by Ryan

Learning more about Ontario’s newest credit union

I visited the ACTRA offices last week. The actors’ union founded Ontario’s newest credit union, the Creative Arts Credit Union, which got its charter last year and is launching this year.

Megan and I had met with the CEO Steve Mumford, but he was hired about a year before they were granted their charter.

To get more of the story of the groundwork and another perspective, I set up a meeting with the union’s executive director Brian Topp. Before the eight years he has served so far at the union, he was a senior vice president at Credit Union Central of Canada. That experience made him a key player in the founding of the institution.

Brian described how early on he approached VanCity to see if ACTRA could partner with their then subsidiary Citizen’s Bank of Canada, to offer financial services to union members. They couldn’t come to an agreement, so when ACTRA member Peter Kelleghan approached them to push the idea of an actor’s credit union Brian said his response was: “Congratulations you’re the chair of the committee.”

Brian told me the story over the course of an hour. Steve came in part way through.

They described the process of doing their survey, develping their business plan, getting government approval, and selling investment shares.

Brian emphasized knowing the value proposition and what you want to accomplish.

For them, and he came back to it a few times in the conversation, they wanted a financial institution where “‘I’m an actor’ is the beginning of the conversation and not the end of it.” Many of their members found that banks would not deal with them because they were actors without even considering their finances.

After we talked for a while, they led me to the main floor of the building where they are renovating the office for the credit union and ACTRA member services and, as well, a foyer with an ATM. Even if your organization is virtual, you need physical presence Brian told me, “[...] even if it is a shelf on campus.”

• Talking to Steve from Creative Arts CU 27 Aug 2009