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Credit Unions are a great option for anyone who wants to save money and take control of their finances. They’re owned by the members and governed by volunteer boards, which means they aren’t driven purely by profit. In fact, credit unions are one of the safest places to deposit your money because they have lower default rates than other institutions—and they never get bailed out by the government. If you are someone who wants to save money and take control of your finances, you should consider opening an account at a credit union. Here are seven benefits that will help you see why.
More Customer Oriented
Credit unions are more customer-oriented than banks, which means they’re more likely to offer you personalized service. For example, when you open a new account at a credit union, the bank will likely send someone over to your home or office to help set up your computer and printer so that you can access online banking services. Moreover, credit unions often provide their customers with free financial education, which can be helpful if you’re starting out.
Lower Fees
Credit unions typically have lower fees than banks. For example, many credit unions don’t charge for incoming wire transfers; some will refund ATM fees if you maintain a certain balance in your account. When it comes to overdraft fees, credit unions are much more likely to work with you to create a payment plan that fits your budget than banks are. So, when you are ready to buy a car, a credit union will likely be better than a bank. Click here to learn about the best credit unions for auto loans.
Higher Interest Rates on Savings Accounts and CDs
Credit unions typically offer higher interest rates on savings accounts and CDs than banks do. This is because they want to encourage people to save money with them. So, a credit union might be better than a bank if you’re looking for a place to stash your cash while earning interest. Credit Unions are more community oriented.
Better Loan Options
Credit unions typically offer better loan rates than banks. They also have more flexible terms, which can be helpful if you’re self-employed or have a lower income. When you apply for a loan at a credit union, the staff will get to know you and your financial situation. This personal relationship means they’re more likely to work with you if you have trouble making payments.
Fewer Restrictions for Opening an Account
Credit unions often have fewer restrictions than banks when opening an account. For example, many credit unions don’t require a minimum balance; some will let you open an account with as little as $5. Additionally, most credit unions offer free checking accounts, and some will even give you a debit card when you open an account.
Better Approach
Credit unions are typically more community-minded than banks. For example, many credit unions offer financial assistance to low-income members and support local charities. Additionally, credit unions often sponsor community events, such as concerts and festivals.
Better Customer Service
Credit unions typically have better customer service than banks. This is because they’re owned by their members and governed by volunteer boards. As a result, credit unions are more responsive to customer feedback and concerns. Moreover, the staff at credit unions is usually more friendly and helpful than the staff at banks.
Final Word
You should consider opening an account at a credit union for many reasons. These organizations are more customer-oriented than banks, which means they’re more likely to offer you personalized service. Additionally, credit unions typically have lower fees than banks and often provide their customers with free financial education. We are sure the above reasons have helped you decide. If you have any questions or concerns, ask us in the comments!
