Sparrow

Sparrow is a fintech platform that powers white-labeled student loan marketplaces for credit unions. Credit unions that work with Sparrow capture all the benefits of offering student loans to their members without becoming a student lender.

• Capture Gen-Z Members: Student loans are one of the first financial services a young adult experiences. By offering an embedded student loan product, credit unions can efficiently capture college-bound members, without becoming the lender.
• Enhance Member Experience: Sparrow’s turnkey, white-labeled product allows credit unions to offer a cutting-edge digital experience to their members while maintaining full control over the branding.
• Accelerate Non-Interest Income: Sparrow introduces a new non-interest income revenue stream to further monetize new and existing members. With Sparrow, credit unions earn 144% more revenue per funded loan and are paid 4.5x more often than compared to the industry average student loan affiliate relationship.
• Increase the Lifetime Value of Your Members: In addition to the upfront disbursement revenue, two-thirds of consumers who take out student loans from their primary bank or credit union add additional products after the student loan.
  • 65% opened a checking account
  • 57% opened a credit card
  • 44% opened a savings account
  • 20% took out a mortgage
  • 19% took out a HELOC
  • 16% took opened a brokerage account
  • Source: Cornerstone Advisors
• Reduce Member Churn: Sparrow helps decrease churn by allowing members to apply for loans directly from the credit union’s website, rather than linking out to a third party to apply.
• Access Best-in-Class Analytics: All member-level data (personal, financial, and credit data) that Sparrow captures during pre-qualification is made available to credit unions in real time for seamless analysis to help inform marketing initiatives.