Anybody who’s ever entered a banking relationship with a big financial institution likely already has a number of complaints about their banking services. Banks serve clients for profit whereas a credit union is a non-profit cooperative that is owned by its members. Because of this, credit unions give back its profits to its members through various financial benefits. If you haven’t been a member of a credit union before and are considering making the switch, here are some of the major benefits you can get from a credit union membership.

People-friendly Customer Service

Some people never run out of things to complain about. Oftentimes, banks fall short when it comes to providing excellent customer service, whereas customer service is an area to which credit unions pay special attention. People need to be heard when they voice their  concerns. Having a personal connection with a human representative at a credit union makes clients feel secure. Unfortunately this human connection is often overlooked by big banking institutions, and people are usually drawn to those companies that listen to their needs and make them feel understood. Credit unions function within a close-knit community which makes it easier for them to focus on the individual needs of their members. Credit unions are also able to focus their efforts on educating their members about financial matters, Since they have counselors who can sit down with members to assess and help them with various financial situations. Credit unions can also offer more flexible membership requirements and loan terms as opposed to what larger banks offer. 

Better Rates for Loan and Credit Cards

If you’re looking for an affordable loan, you should start by exploring credit unions in your area. One of the best benefits you can enjoy from a credit union membership is the lower rate for loans and credit cards. Since a credit union is a  non-profit business, the money that credit unions earn is given back to its members through various incentives such as low annual percentage rates for credit cards, car loans and mortgage. Some of the other great benefits you can get from your credit union membership are the types of accounts they offer and extra services. Most credit unions offer share (savings) and share draft(checking) accounts with low or no minimum balance and monthly maintenance fees at no cost to their members. 

High Rates on Savings Accounts

Are you trying to save up for long term plans? Something to look for when setting up a savings account is the “annual percentage yield”. This refers to the percentage your savings will earn based on its compounded interest in one year. Credit unions tend to offer higher interest rates for savings accounts when compared to that of banks. This makes credit unions a more viable option if you are looking to earn some money while keeping your funds secure. 

Willingness to work with poor credit 

If you have poor credit, getting credit cards and qualifying for good rates for loans with banks may be close to impossible. Thankfully, credit unions exist to lend a helping hand. Apart from being sympathetic to your circumstances, a loan officer from a credit union is often more willing than a bank to help you find some workable terms for a loan.  This makes a credit union the best option to secure a loan for a mortgage if you have poor credit. Moreover, credit unions tend to offer programs that educate their members about how to overcome debt, gain control of their finances and ways to improve their credit scores. 

Community-Oriented

Credit unions exist within the community to provide services, fees and interest rates that favor their members. Some credit unions also pride themselves in being part of their communities by serving its local area through partnerships with organizations and sponsoring events and projects through their community involvement programs. This provides an avenue to invest the members’ resources in ways that give back to the community and its members.

Finding ways to save and get the most out of your available funds while making ends meet takes a lot of insight and discipline, and learning how to effectively manage your finances is essential. Choose a financial partner who understands and cares about you and your needs. 

Preserve your financial future and make smart financial choices with Calcite Credit Union. Learn more and become a member today! Visit us at calcitecu.com for more details.