SUMA Federal Credit Union selects Sparrow to power its newly launched private student loan marketplace.
NEW YORK – May 25, 2023 – Sparrow, an award-winning financial technology startup redefining how credit unions attract and engage the next generation, unveils a strategic partnership with SUMA Federal Credit Union, a $420 million credit union serving over 7,000 members. The new partnership provides SUMA with the ability to offer its members pre-qualified student loans from 20+ lenders, without having to balance sheet any of the risk.
We’d had a relationship with a single student lender for decades. Switching to Sparrow was a no-brainer. It’s a 10x better experience for our members and the credit union. We’re excited to have found a trusted partner.
The launch couldn’t have gone smoother. We had our partnership signed within three weeks of our first conversation. This platform is a game-changer for credit unions looking to effectively engage Gen Z.Roman G Kozicky, CEO and President of SUMA FCU
Historically, most credit unions have chosen to stay out of student lending. Sparrow’s platform offers credit unions the ability to reap the benefits of student loans (most notably engaging and cross-selling Gen Z) without having to become a student lender. In less than three minutes, a credit union can launch a white-labeled student loan marketplace connected to 20+ non-competitive student lenders. Using Sparrow’s platform, credit unions can automate digital marketing to all members and non-members who pass through their marketplace.
“Credit unions that work with a single student lender on an affiliate basis are leaving tremendous opportunity on the table for themselves and their members,” said Harrison Hochman, co-founder and CEO of Sparrow. “We’re honored to have found a forward-thinking partner in SUMA FCU. We cannot wait to work closely towards this mission.”
As students begin thinking about the upcoming summer and following school year, SUMA FCU’s new marketplace has experienced an immediate impact since it went live, including:
- Three minutes to launch a fully customized, white-labeled marketplace.
- Access to 260+ unique data points per non-member using the marketplace.
- Full control over which of the 20+ lenders is offered on the marketplace.
We conducted an exhaustive search for the best provider to replace our existing student loan relationship. Sparrow was a clear decision for our management team and Board. No other solution offers as high quality of control over the member experience, as much access to the data for marketing, and as high a payout as Sparrow does.Yuriy Fizer, VP of Technology & Innovation of SUMA of SUMA FCU
Sparrow was founded in 2020 by Hochman, Griffin Morris and Daniel Kahn. Sparrow has become one of the fastest growing student financing platforms in the U.S., facilitating the search of over $400 million of private student loans.
Sparrow, one of the country’s fastest growing student financing platforms, offers solutions to borrowers and businesses. Borrowers use Sparrow to search and compare personalized student loan offers through a single application, bringing simplicity, choice, and transparency to an otherwise inefficient and opaque lending process. Businesses use Sparrow to offer their customers a white-labeled student loan marketplace. Founded by students for students, Sparrow’s mission is to make education accessible and affordable for all. Learn more at www.sparrowfi.com/crest and follow us on LinkedIn.
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