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“My wife’s email inbox is a graveyard of spam, but she’s always on top of her texts. There is much less spam in text; it’s where friends and family live.” Ashish chuckled.

Texting has become a preferred communication channel for most, embraced by businesses and customers alike. A recent Gartner report also highlights the growing potential of text messaging, which has an impressive 98% open and 45% response rate, compared to 20% and 6% for email, respectively.

However, this widespread adoption has also attracted widespread use by bad actors seeking to exploit it for unlawful purposes, such as excessive or intrusive messaging, scam robocalls, or robotexts, which can lead to breaches of privacy and the theft of personal information.

We recently sat down with Brandy Bruyere, Partner at Honigman LLP, and Ashish Garg, Founder and CEO of Eltropy, to discuss the latest FCC updates to the Telephone Consumer Protection Act (TCPA) and what credit unions and community banks can do to maximize member engagement while staying compliant with the new regulations.

Watch the full webinar here.

Here are some key takeaways from that discussion that are helpful to CFIs looking to build a secure, compliant, and successful texting strategy.

Obtaining Member Consent

“Clear consent is your best defense,” says Brandy Bruyere. If a member alleges that you violated TCPA compliance, the burden of proof lies with you. To safeguard your institution, it’s critical to maintain explicit consent. Brandy also recommends adding a separate pop-up box to membership and product service agreements during the online sign-up process—explicitly seeking consent for telemarketing messages. Additionally, It is equally important to document member responses thoroughly, tracking who has opted out and offering easy ways for them to opt back in if they choose.

Building on this, Ashish Garg explained how Eltropy simplifies this process: “One of the ideas we have in Eltropy is that we maintain an opt-out list. So essentially, if you are on the Eltropy platform, texts and phone calls are flowing through the same system. It’s very easy to track and very easy to comply. But of course, if you’re using another phone system, we will give you an exported list of opt-outs that can be ingested into any phone system.”

Respecting Member’s Choice

Honoring a member’s choice to opt out of communications is critical. 

The new FCC order allows a caller to send a confirmation message to the member regarding the opt-out request as long as it does not include any marketing or promotional information. 

“When someone revokes consent,” Ashish explains, “we can send them a one-time message to confirm if they wish to continue receiving other communications. If they respond affirmative, then we only opt them out of the specific types of messages, else if they respond no or do not respond at all, then we opt them out entirely of all text messaging. 

Limit the Frequency of Messages 

Bombarding members with frequent text messages can be counterproductive.
FCC clearly states that the ‘caller is required to comply with specific conditions including number and frequency limits of such communications.’

Hence, it is essential to establish a reasonable messaging frequency that aligns with member/customer preferences and needs. You’ll build trust and maintain positive member relationships by respecting their time and communicating relevant information.

What’s Next?

Texting is a powerful tool for CFIs. The benefits of engaging through this channel far outweigh the risks—especially with proper compliance in place. Eltropy’s experience with over 630 CFIs and nearly 10 million unique contacts shows that members appreciate relevant, timely messages. The opt-out rate for collections texts was only 1.3%, proving that members remain engaged when credit unions and banks use text messaging thoughtfully.

Partner with a trusted platform like Eltropy to unlock the full potential of text messaging. Serving over 600 community banks and credit unions, Eltropy’s unified digital conversations platform ensures compliant messaging that transforms customer engagement—whether you’re sending fraud alerts or personalized marketing messages. With Eltropy, you’re equipped to deliver valuable, secure communications that keep your members coming back for more.

Disclaimer: The information provided here is for informational purposes only and does not constitute legal advice. Please consult your legal counsel for guidance tailored to your specific situation.