Did you know that people who use a credit union for financial services are referred to as "members" instead of "customers?" This simple distinction illustrates the difference between a bank and a credit union. Credit unions are based around the idea of "people helping people," which means you can expect your credit union to really listen to your concerns and care for the community. If you're opening a checking account for the very first time or you're considering switching from a bank to a credit union, read on to learn more.
Benefits of a Credit Union
You are a member. Your membership gives you certain rights. Each member has the ability to vote on changes, and members can be elected to a volunteer Board of Directors that represents all account holders. This means that the credit union is driven by the collective benefit of all members.
You reap the benefits. Credit unions are not-for-profit organizations, so the profits they reap from account holders are given back to members in the form of lower interest rates, fewer fees, and higher return rates on savings. When you pay a fee, you'll know that the money is benefiting you and your community.
You will be offered helpful services and perks. Credit unions are very similar to banks in their services and products, though every financial institution is different. You can use your credit union for a number of different purposes including opening checking and savings accounts, receiving a home loan, obtaining a credit card or auto loan. Plus, you'll receive complimentary perks like the tellers knowing you by name.
With the welcoming customer service they offer to every member, their high levels of customer satisfaction, and all the benefits we've listed above, it's easy to see why so many people choose to place their money and their trust in credit unions.