Did you know there are 6,293 credit unions in the US?
With credit unions existing for over a century, more and more people are switching banks for credit unions.
Credit unions and banks aren’t so different. While banks are for-profits, credit unions are nonprofit entities. Their numerous advantages, like lower rates on loans, have made them an attractive choice for many.
As alluring as credit unions are, you may have heard of myths associated with them. This is probably what stops you from joining your local credit union.
Join us as we debunk the popular myths that exist today.
Membership Is Limited to a Certain Group
It’s a common misconception that many stringent requirements might prevent you from joining a credit union. While this was true decades ago, credit union eligibility has been expanded today.
As a part of a community, it doesn’t matter your age, industry, or income. You might be qualified to join more credit unions than you think. Credit union applications can be made virtually anywhere in America.
Credit Unions Don’t Have a Network of ATMs
While this fear is valid, the simple truth is, this is just a myth. As it stands, 63% of Americans use ATMs at least once a month.
The best credit union will be part of a vast network of ATMs offering unlimited access to an ATM throughout America. Most of these ATMs are surcharge-free, enhancing customer service.
Savings Made in a Local Credit Union Aren’t Insured By FDIC
This is so far from the truth. As the FDIC insures bank savings, it’s worth noting that credit unions savings are also insured. The credit union equivalent for FDIC is National Credit Union Administration (NCUA). Which is a federal agency.
So, save and relax. Your savings in a credit union are safe and guaranteed!
Credit Unions Don’t Offer Reward Programs
Are you interested in reward programs offered by your financial institution? If at a crossroads, faced with a credit union vs bank dilemma, you’re not alone. With numerous perks, like low rates on loans and higher returns on deposit accounts, credit union rewards will match if not outscore banks on this.
As a member of a credit union, you’re a shareholder. As the credit union grows, so do your shares.
Credit Unions Don’t Pay Taxes
Due to their status as not-for-profit entities, credit unions don’t pay corporate income tax. However, local property, sales, and more taxes apply to them.
The money saved from corporate tax helps credit unions offer lower rates and fees to members.
Join your Local Credit Union Today and Enjoy the Perks
When you join a local credit union, you’re not just a customer; you’re an owner. This takes you to a world full of perks that your other financial partner couldn’t offer.
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