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Banks have always been synonymous with financial safety, security, and stability. However, opinions are changing on account of the shake-up in the markets and the high service fees that many banks are charging their customers. If you are looking for a new place to save and store your cash, a credit union is a viable choice. There are numerous reasons to take the leap from a bank to a credit union. The former may seem formal, impersonal, and at times even cold. Banks are large institutions and you may feel that they do not always appreciate your business. The latter can be more personal and friendlier in terms of the atmosphere of the staff and the manner in which customers are greeted and treated. The fact that they are smaller establishments makes them more accessible to those who become members. They are connected to the communities they are in and they are readily available to those wanting to learn about the services they provide. A credit union thinks of itself more in terms of being a financial cooperative, rather than a financial institution. The goal of the co-op is not to increase profits by bringing in more money from the customers, but to join together as a group to address a common goal or need. This is accomplished by building a strong and cohesive jointly owned democratically run enterprise. The fact that the co-op is a democracy means that members run and own it. This is the outstanding benefit of a credit union. They are free to make decisions that will benefit their members, rather than doing what is necessary to please a group of stockholders. In most places, the only standard requirement for becoming a member is that you must reside in the area. You don't have to work for a particular industry or make a specific level of income to be a part of the financial cooperative. In terms of the services that a cooperative provides, they are the same, as you would get at a bank- basic banking in the form of checking and savings accounts, as well as loans and investment options. For the person looking for better rates, turning your attention to a credit union is a smart move. The fact that they are member-owned and not responsible for stockholder interests means that the rate of return on savings accounts is generally higher than what would be found at a bank. In the same way, the interest rates on personal loans and mortgages are generally lower. The vision of cooperatives is different than that of other financial establishments. Since profits to company stockholders are not a part of the vision, the cooperatives are able to provide their members with more services, less fees, higher dividends on deposits, and as previously mentioned, lower interest on mortgages and personal loans. These things all add up to greater benefits for the customers. Are you considering switching from a bank to a credit union? Saginaw MI residents can find their financial solution at https://www.wildfirecu.org.
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