It’s important to have credit of some form in today’s world. You need credit for cars and homes. Sometimes, your credit can affect whether or not you will get hired. A great way to show that you can handle customers’ money while working or a loan of your own is to have a good history with a bank. The problem is that many consumers are unhappy with their bank. High ATM fees, a lack of personal service, and high rates of interest on bank credit cards are just some of the reasons why many are displeased with their bank. If you’re not happy with the service you get from your bank, you may want to consider a credit union. Here are a few reasons why a credit union may suit your needs better.
You’re More Than a Number
At a traditional bank, you’re just a customer. They’ll try to keep you happy, but if you leave, they won’t be too worried because there are many other customers just like you. It’s different at a credit union. Unlike a bank, credit unions are not-for-profit institutions. When you join a credit union, you become a stakeholder and profits and savings are passed to you, not to company stockholders. This means you will get personal service because you’re as much a member of the credit union as the people who work there.
Interest Rates Are Lower
Having a credit card or loan can help you pay off your bills in a pinch or fix up your house, but the interest rates from a traditional bank may make you think twice. Credit unions are concerned with making sure that members are happy, and they know that high interest rates are not the way to do that. You will often find that the interest on credit cards and loans is much lower with a credit union, which saves you money.
Using ATMs Is Often Free
ATM fees can cause you to do a double take whenever you need to draw money out. Since you don’t always have time to get to a particular ATM just to get money or head into a branch of your bank, you may simply decide to skip going to the ATM altogether. With credit unions, using the ATM is usually free. Many credit unions are members of ATM networks that allow you to use an ATM without having to worry about paying fees just to access your money. If you have to use an ATM that is not in your credit union’s network, you’ll still save because most credit unions won’t charge for the transaction.
These are just three advantages of using a credit union that may help you decide if a credit union fits your life better.