List of Benefits of Credit Union Membership

Posted by William Woods on April 13th, 2018

The big banks would have you believe that a credit union is a second rate bank. After all, it is to their benefit. Big banks take depositors' money, and much like airlines, use the money to buy back stock, boost their balance sheet, and offer perks to bigger depositors – their first class flyers. They have tighter lending rules because they are so big that they can't give every depositor the personal attention and consideration they need. Credit unions are smaller, yes, but they are non-profit. The money stays in the community and benefits depositors with better service, rates, and lower fees. 

Big Bank Exodus?

A vast number of people open new credit union checking and savings accounts each year. Some are existing accountholders who simply need a supplementary account for personal and/or professional purposes. Others may have been recommended or referred by friends and family members to join local credit unions as new members. An entire generation is switching from big banks to credit unions for a better deal and better service. Either way, there are several key advantages that all credit union members can enjoy:  

First-Class Interest Rates:

Unlike other financial institutions that want to focus on generating bottom-line profits, a typical credit union essentially needs to cover its overhead costs – which results in lower interest rates and competitive loan offers for union members. Interest rates for savers are higher, too, when it comes to savings accounts, CDs, and even checking accounts. 

First-Class Customer Service:

Most credit union members will agree that the superior customer service experience at most credit unions is much better than at other banks. Credit unions are designed to keep the customers first and will work with you to resolve any financial issues or provide you with the high-quality assistance that you need, depending on your specific circumstances.  

Related Read: What are the Benefits of Using ATM Machines?

No Dirty Tricks:

Almost everyone, no matter how responsible has had a run of bad luck and bounced a payment, then had to deal with the overdraft fees. This is one of the ways that the big banks make money, but not credit unions.    If you are having problems with your bank, feel that you are not getting good financial advice, or want a better CD interest rate to fatten your piggy bank, look into a local credit union.  No matter what you're looking for in a good bank, you'll find it at your local credit union.