It’s a common misconception that when it comes to choosing a financial institution, it’s one size fits all. Financial institutions come in many different shapes and sizes. People often assume they only have a few big name banks to choose from, but there is no need to settle. A little research will show that there are many smaller institutions, such as credit unions, to choose from. If you aren’t sure a credit union is the right financial institution for you, here are a few benefits to consider.
Not for Profit
Unlike many big banks that are typically owned by shareholders looking to make a profit, credit unions are not-for-profit organizations that are collectively owned by their members.
Competitive Rates
In many cases, credit unions can offer lower interest rates on car loans and in some cases, home loans. On average, credit unions offer better returns on account holdings and lower rates on credit cards.
Flexible Loan Requirements
Many credit unions have less restrictive loan requirements than larger banks. They may be able to help get you approved with these flexible eligibility requirements.
Lower Fees and Balance Requirements
Unlike big banks who tend to charge large fees for over-drafting or falling below a minimum balance, most credit unions usually have lower fees and little to no minimum balance requirements.
Secured and Protected
Some consumers may be hesitant to bank with a credit union under the misconception that they are somehow less secure. Your money receives the same amount of protection in a credit union as it does in a big bank.
Electronic Banking
Credit unions are growing to accommodate the progression of technology by offering services such as online and mobile banking. Many credit unions allow members to deposit checks electronically with their smart phone.
Better Service
On average, Americans are more satisfied with the services offered by credit unions than by those offered by big banks. Many consumers agree that credit unions have friendlier and more accommodating customer service than some larger financial institutions.
As with any financial institution, credit unions may not be the right choice for your banking needs. It’s important to do your homework before making a decision. Research local banking institutions through their website or by visiting the nearest branch to get a better feel for the environment. When money is on the line, it’s important that you feel comfortable and confident.
If you are interested in learning more about Camino Federal Credit Union, visit our website at www.caminofcu.org and decide whether we would be a good fit for you. We also invite you to stop by one of our branches or give us a call at 800-835-3400.