New Business Membership
A member opens a business account for a new shop, restaurant, or service company. During onboarding, employees may ask whether the owner wants information about payment acceptance.
Credit Union Referral Partnerships
Credit Union Referral Partnerships That Deliver More Value to Business Members
Credit union merchant services can complement the business account relationship by helping members explore payment processing, payment technology, and practical ways to accept customer payments. Valued Merchant Services works with qualifying credit unions interested in offering these additional resources through approved referrals.
Whether your institution serves a few hundred local businesses or operates a growing commercial membership program, an appropriate referral relationship can provide another way to support business members without necessarily building an internal merchant processing department.
Member eligibility, referral responsibilities, permitted compensation, disclosure requirements, and third-party oversight are subject to credit union review and approval.
Since 2006
VMS industry experience
50 States
Nationwide business reach
Member Focus
Relationship-centered approach
Flexible Scope
Approved referral programs
Merchant services for business members
What Is a Credit Union Merchant Services Referral Partnership?
A credit union merchant services referral partnership allows a qualifying institution to introduce interested business members to a separate payment solutions provider through an approved process. VMS can then help evaluate merchant processing, payment acceptance, and related business technology needs.
Any referral compensation, service responsibilities, member communications, and reporting procedures should be defined in a written agreement. Consequently, the arrangement must reflect the institution's own legal authority, supervisory requirements, and internal policies.
Member Value Comes Before Referral Revenue
For a member-owned financial cooperative, the strategic question extends beyond potential compensation: does the service add meaningful value to the businesses the institution exists to serve?
A useful program should therefore prioritize relevant member needs, voluntary choice, transparent information, reliable merchant support, and appropriate institutional oversight.
Four moments in the business-member relationship
MOMENT 01
MOMENT 02
MOMENT 03
MOMENT 04
Where Credit Union Merchant Services Fit Into the Business-Member Experience
Credit union employees often develop personal relationships with local business owners. As a result, their conversations may reveal relevant payment needs without turning branch staff into payment processing salespeople.
Local Business Growth
An established member adds online sales, employees, or another location. Those changes may create new POS, ecommerce, or terminal needs.
Business Services Conversation
During discussions about business accounts or operational needs, the member may ask about processing expenses or payment tools.
Long-Term Member Relationship
A business member wants to review an existing payment setup. With authorization, VMS can discuss eligible alternatives while the credit union continues its financial services relationship.
The member-first principle:
An introduction should
address expressed
interest or a
real business need.
Maintaining a deposit
account does not
automatically authorize
marketing contact
or sharing member
financial information.
A program should fit the institution
COMMUNITY CREDIT UNIONS
GROWING COMMERCIAL PROGRAMS
Credit Union Merchant Services for Community and Regional Institutions
A three-branch credit union does not need the same referral program as a large regional institution. Instead, an appropriate model reflects existing staffing, member demographics, branch coverage, and commercial service objectives.
Smaller Community Institutions
A smaller credit union may have loyal business members but limited commercial services staff. Employees may lack the time or specialist training to support payment processing directly.
For example, an approved program could focus on recognizing interest, obtaining permission, and introducing the member to an appropriate VMS contact.
Operational priority: Simple procedures, clearly defined roles, and minimal additional branch workload.
Regional and Expanding Institutions
A credit union developing its commercial membership may have business development officers, dedicated staff, or branches serving different markets.
Consequently, a structured program may require participating-location rules, referral tracking, service escalation, compensation reporting, and management review.
Operational priority: Consistent member experience without inconsistent promises across departments and locations.
Different size, same obligation:
Every participating
institution should
evaluate the
third-party relationship
in a manner
appropriate to
its risks,
applicable requirements,
and operational scope.
Practical member-service opportunities
Four Business Members. Four Different Payment Needs.
Business members are not one uniform segment. An independent coffee shop, contractor, retail store, and professional services firm may each require different approaches to payment acceptance.
The Independent Coffee Shop
A longtime member prepares to open a neighborhood cafe. Beyond establishing a business account, the owner needs to consider countertop payments, contactless acceptance, and a possible POS system. An introduction may help when the owner expresses interest.
The Local Contractor
A contractor asks whether customers can pay invoices or deposits remotely. In that situation, VMS can explore eligible mobile payment, virtual terminal, or ACH options, subject to provider requirements.
The Growing Retail Store
A family-owned retailer expands into online orders. However, its existing payment setup may not support ecommerce. VMS can discuss available gateway or integrated payment alternatives.
The Professional Services Firm
An established business member wants to make invoice payments more convenient. For example, the company might consider card acceptance or eligible electronic payment collection methods.
These examples illustrate why credit union merchant services referrals should respond to the member's particular business model, rather than advertise one solution to everyone.
Practical enough for daily branch operations
An Effective Business-Member Referral Conversation Doesn't Need to Be Complicated
A credit union can give participating employees a simple way to identify interest, obtain member permission, and make an introduction without discussing detailed processing rates or promising merchant approval.
Example: A Member Asks About Accepting Credit Cards
"We may be able to introduce you to a merchant services provider that can review your payment acceptance needs. Would you like us to arrange an introduction?"
1. Recognize the Need
The member asks about accepting cards or reviewing an existing processing arrangement.
2. Offer an Optional Introduction
The employee follows the institution's approved communication, consent, and disclosure procedures.
3. Let the Provider Assist
After authorization, VMS discusses appropriate merchant solutions directly with the interested business.
Illustrative language only:
This is not
an existing credit
union's approved
script. Employees
should use only
the terminology
authorized by
their institution,
including required
financial relationship
disclosures.
Complementing the business-member relationship
Credit Union Merchant Services: Practical Solutions for Business Members
VMS provides or facilitates merchant processing and related business solutions. The right option depends on the member's business model, transaction needs, existing technology, eligibility, and provider requirements.
A referral doesn't require the credit union to replace its deposit services, assume merchant underwriting, or support processing technology outside its agreed role.
In addition, a merchant referral does not automatically direct settlement funds to the referring credit union. Settlement-account eligibility and provider arrangements must be evaluated separately.
Merchant Processing
Processing Cost Reviews
Payment Terminals
Point-of-Sale Systems
Contactless Payments
Mobile Payments
Ecommerce Payments
Virtual Terminals
ACH & Check Options
Gift & Loyalty Tools
Looking beyond the referral count
MEASURE 01
MEASURE 02
MEASURE 03
How Should a Credit Union Evaluate the Value of a Merchant Referral Program?
Approved referral compensation and activity counts may be useful business metrics. However, an institution should also consider whether the program serves members effectively and fits its operating model.
Member Experience
Are interested members receiving timely contact? Do they understand that merchant services are separate from credit union deposits? Are complaints directed to the correct team?
Operational Fit
Can participating employees make introductions without assuming duties they aren't trained or authorized to perform? Is the procedure practical for the branch network?
Program Accountability
Are referrals, permitted compensation, service issues, and obligations properly documented? Does management receive useful information to evaluate provider performance?
Better member service may support an institution's business membership proposition. Nevertheless, retention, program profitability, merchant savings, and referral revenue are not guaranteed.
Responsible financial-institution partnerships
Credit Union Merchant Services: Third-Party Due Diligence, Oversight and Member Protections
A referral relationship should fit the institution's governance, risk tolerance, member-service obligations, and operating model. The level of review depends on its charter, supervisory authority, and the program's scope.
Institutional Oversight and Provider Selection
Before launch, appropriate management and governing bodies should evaluate strategic alignment, institutional authority, and organizational policies. Moreover, the review should consider relevant third-party risk, contract responsibilities, and expected member outcomes.
1. Management and Board Oversight
Identify the internal decision-makers, required approvals, and governance procedures. Board involvement, where applicable, should reflect the scope and risks of the proposed relationship.
2. Vendor Due Diligence
Assess the provider's background, business model, service capacity, financial considerations, reputation, relevant security controls, and contractual obligations through the institution's risk-based process.
3. Member Privacy and Consent
Define exactly what information may be shared and how permission is obtained. Account histories, loan files, confidential financial records, and access credentials should not be disclosed simply to generate referrals.
4. Clear Member Communications
Explain that VMS is an independent provider. Avoid implying its services are credit union deposits, federally insured shares, or approved by a regulator.
5. Service Accountability
Define responsibilities for merchant onboarding, equipment assistance, processing questions, service escalations, complaints, and member communications if problems arise.
6. Compensation and Monitoring
Document permitted referral fees or revenue sharing, eligibility, reporting, provider monitoring, periodic reviews, and termination procedures in an appropriate written agreement.
Supervisory Guidance and Continuing Review
Due diligence should not end when an agreement is signed. Instead, the institution should monitor relevant activities and concerns as required by its policies, contracts, and supervisory expectations.
NCUA reference:
The National Credit Union
Administration's
guidance on evaluating third-party relationships
addresses planning,
due diligence,
and risk controls.
This guidance
does not endorse
VMS or approve
any proposed
referral arrangement.
State-chartered institutions
should also
review applicable
state supervisory
requirements.
From initial discussion to approved program
How to Establish a Credit Union Merchant Services Referral Program
A good program should be understandable to management, usable by participating employees, and useful to business members. Accordingly, clear expectations should come before the first referral.
01
Understand Your Membership
Discuss business member types, branch structure, current commercial services, and common payment acceptance needs.
02
Review Program Fit
Evaluate institutional authority, policies, third-party risks, disclosures, permitted compensation, and contractual terms.
03
Prepare Participating Staff
Establish approved introduction language, consent procedures, referral tracking, and service contact information.
04
Review Member Outcomes
Monitor service experience, eligible referrals, provider performance, and relevant compliance and contract requirements.
Approval required:
The workflow
is illustrative.
Program launch,
personnel participation,
marketing practices,
data sharing,
and compensation
depend on
appropriate institutional
approval and
signed terms.
Established business solutions experience
A Business-Member Referral Should Reflect the Credit Union's Values.
Founded in Idaho in 2006, Valued Merchant Services has grown into a nationwide merchant processing and business solutions provider.
Led by co-founders Sean Ruppel, CEO, and Chris Del Grande, President, VMS emphasizes personalized support and long-term business relationships.
We recognize that credit unions often build their reputations on accessible service and strong member relationships. Therefore, an appropriate partnership should complement those priorities, not complicate them.
Explore the VMS Business Referral Partnerships program or compare our Bank Referral Partnerships .
Illustrative image, not a photograph of an actual credit union partner.
Questions from credit union leaders
Credit Union Merchant Services and Referral Partnerships: Frequently Asked Questions
These answers cover business-member services, branch operations, due diligence, privacy, compensation, and the distinct responsibilities of credit unions and merchant processing providers.
What is a credit union merchant services referral partnership?
An eligible credit union introduces interested business members to a separate payment services provider using approved procedures. VMS can evaluate relevant merchant solutions. Responsibilities and any permitted compensation are governed by written terms.
Can a small community credit union offer merchant services referrals?
Potentially. A small institution may consider a narrowly defined program focused on authorized introductions rather than operating an internal payment processing department. Appropriate oversight and due diligence still apply.
How do merchant services complement business membership?
Business members may need payment acceptance in addition to deposit accounts and other financial services. A relevant referral provides an additional resource without necessarily changing the underlying credit union relationship.
Can credit unions receive recurring revenue from merchant referrals?
Qualifying arrangements may provide eligible one-time fees or recurring revenue sharing. Compensation depends on institutional authority, applicable rules, contractual terms, and qualifying merchant activity. Revenue isn't guaranteed.
Do credit union employees need to sell payment processing?
Not necessarily. A referral-only approach may let authorized employees recognize member interest and make an appropriate introduction. VMS handles agreed merchant service activities.
Can multiple branches participate in a referral program?
An approved program may include participating branches or business-service teams. Employee training, consent, reporting, and service responsibilities should be documented.
Does VMS replace a credit union's business checking accounts?
No. Merchant processing referrals remain separate from business deposit accounts and the institution's existing financial services relationship. Settlement-account arrangements require separate evaluation.
Will referred merchants automatically settle funds at our credit union?
No. Settlement-account availability depends on processing provider requirements, eligibility, merchant circumstances, and applicable agreements. No particular account or routing outcome is guaranteed.
What information is needed to refer a business member?
An initial introduction may use authorized business contact information and the member's expressed interest. Confidential account histories, loan files, credentials, or other protected records shouldn't be transferred unnecessarily.
Are VMS merchant accounts insured by the NCUA?
VMS merchant processing services are not NCUA-insured credit union share accounts. Funds in eligible federally insured credit union accounts are subject to the separate rules governing share insurance. Processing services must not be presented as federally insured deposits or shares.
Who is responsible for merchant underwriting?
The applicable processor or acquiring provider determines merchant approval and underwriting requirements. VMS may coordinate activities within its authorized role. An introduction doesn't guarantee approval.
Can a credit union help business members review processing expenses?
Through an approved introduction, VMS can review processing statements provided with the member's authorization. Pricing options depend on actual transaction characteristics. Savings aren't guaranteed.
What due diligence should credit unions perform?
Review may address strategic fit, provider reputation, financial and service considerations, information security, contract terms, member experience, ongoing monitoring, and termination. The appropriate scope depends on the program's risk and applicable requirements.
Can a credit union oversee the relationship without supporting payment terminals?
An agreement may allocate merchant equipment and technical support to VMS or the relevant processing provider. The credit union retains applicable vendor oversight and member-service responsibilities.
How does a credit union evaluate whether the program benefits members?
Management may review member satisfaction, provider responsiveness, complaints, employee workload, eligible referrals, vendor performance, and financial results against approved objectives.
Can a state-chartered credit union explore a VMS partnership?
Potentially. The institution should review applicable state credit union laws, supervisory guidance, federal requirements where relevant, internal policies, and contractual conditions.
What is the difference between a bank and credit union referral partnership?
Both may involve merchant service introductions. However, credit unions have distinct cooperative structures, membership requirements, institutional powers, and supervisory considerations. The program should reflect those differences.
How can our credit union start a conversation with VMS?
Complete the inquiry form below or call 208-243-0818. Share your general branch structure, business-member services, and goals for adding a merchant payment resource. The initial conversation creates no obligation.
Explore a business-member referral relationship
Let's Discuss a Credit Union Merchant Services Partnership That Fits Your Members
Whether your credit union has a small local branch network or an expanding commercial membership program, we'd welcome a conversation about the businesses you serve and their payment needs.
Tell us about your branch structure, business services program, member industries, and the type of referral relationship you're considering. No confidential member account records are needed for the initial discussion.
Form not displaying? Open the referral partnership inquiry directly.
Submitting an inquiry does not establish a credit union partnership, guarantee compensation, confer regulatory approval, or authorize sharing protected member information. Any program requires appropriate review and written agreement.
Valued Merchant Services offers or facilitates merchant processing and other business solutions subject to merchant eligibility, provider availability, underwriting, approvals, and contractual terms. VMS is not a credit union. No NCUA endorsement, regulatory approval, existing credit union partnership, or institutional affiliation is implied by this page. Merchant processing services are not federally insured credit union share accounts. Each credit union must assess its own legal authority, supervisory requirements, third-party due diligence, member privacy, required disclosures, referral procedures, and contract terms. Any permitted referral compensation is governed by an approved written agreement and qualifying activity. Merchant savings, referral income, settlement account routing, and member retention aren't guaranteed. This page is informational and is not legal, regulatory, or financial advice. Images are illustrative.