Credit Unions vs Banks whats the big deal
Credit Unions have been a staple for many people. They are owned by the very people who have deposited within the Credit Union. So here are a few reasons why you should be calling your local credit union to figure out how to get an account.
- Customer Service – Now I am not going to say that it will be the best all the time but 9 out 10 times you will get something done. With major banks, the rule is the rule no matter how far out the issue is the general rule. For instance, you may have an overdraft that comes because the bank took out the check that you wrote that caused you to become overdraft and hit you for a $35 Fee. But the very next transaction 60 seconds later is a direct deposit or a teller deposit from yourself. THey will say we don’t refund Overdraft Fees that are incurred. With a credit union, a human being can make a decision based on reality. Hey, we see you made a deposit on the same day so we will waive that fee for you and move on. A computer sitting in headquarters that processes everything is going to make a decision for you. An individual that understands what you’re going through that demonstrates logic will.
- Interest Rates – Most Credit Unions are going to have more favorable interest rates to help grow your money. Right now Aliant Credit Union as I type this blog is offering rates on their savings accounts at 1.16% vs Wells Fargo one the nations largest banks only offering 0.01% LOL. 1% doesn’t sound like much but just think your deposits are giving large banks the resources to give loans and make bigger profits off interest form those loans. You are only getting a portion. Which are sub-pennies on the dollar and your balance is allowing these banks to generate millions of dollars in interest fees they charge to borrowers.
- Credit Rebuilding – Most Credit Unions offer second chance accounts and lending to help you rebuild. They understand things happen and people tend to run into tough times. With the Credit Union, they offer things such as Secured Credit Cards, Lines of Credit, Signature Loans & even Auto Loans at respectable rates for those with bad credit. With a larger bank, your info goes into a system and it returns your credit score. If your score isn’t within the parameters of the banks scoring system you are DENIED. No opportunity to explain just nope we can’t loan you this money. Nevermind the fact you have been banking with them for several years. Relationships don’t matter to larger banks as much as they do with credit unions or even smaller community banks.
Credit Unions are definitely the way to go for the average consumer. They give you options that larger banks don’t and treat you so much better. With the favorable interest rates, access to loans, and many other options. Credit Unions hands down are the best option for someone looking to get a piece of the pie. Wanting to avoid Buy Here Pay Here for a car, Rebuilding Your Credit, Emergency Loans for issues outside of your control. They are there when you need them. Pick up your phone go to google and give your local credit unions a call. Ask them questions and see the difference.
Below are 3 Credit Unions I highly recommend
Until next time