With so much negativity in the news today about banks and the banking system in general, many Americans are looking at alternative ways to conduct their personal money matters. Most people just need a simple checking and savings account in order to pay bills, cash paychecks and hopefully have a little leftover to put aside for the future. If you are looking to make a change from a traditional bank to a credit union in New Bedford, this article will provide you with all the reasons you’ll need to join the growing number of local credit union members right here at home.
What Is a Credit Union?
The best way to begin understanding why a credit union is better than a traditional bank is to define once and for all what a credit union actually is. When it comes right down to it, a credit union in New Bedford offers all of the same financial products that you will find at a typical Wall Street bank. However, a credit union is a cooperative member-owned and operated organization that works to make money for its members – not third-party stockholders.
Credit unions are non-profit organizations, which means that if any money is made from financial investments and other opportunities throughout the year, the profit goes to the credit union members. This profit is shared in a number of ways, such as reduced banking fees, increased interest rates and sometimes straight up bonus or dividend checks. The method used depend on the New Bedford financial institution and the type of accounts you hold as a credit union member.
Working for YOUR Best Interest – Not Stockholders
While we’ve already mentioned that your credit union in New Bedford works to make money for its members and not for stockholders, as is the way in traditional banks, there are other advantages to this unique point of view. Because the credit union works for its members, each member becomes a top priority. You are no longer just an account number tied to a bank balance. Credit unions are known to provide much better customer service than banks and work hard to help their members find new ways to improve their financial situation. They do this through savings programs, investments and other unique opportunities.
More Do-Able Balance Requirements
Another benefit often associated with having a checking and savings account at your local credit union is a low or no minimum balance requirement. Many of the major banks today charge their customers high fees from dropping below a minimum balance for either their savings or checking account. While the minimum balance can be as high as $50-100 at some New Bedford financial institutitions, most credit unions require either a smaller minimum balance or no minimum balance at all, depending on the type of account. Check with your credit union in New Bedford for details on Main Share checking and savings account requirements.
Lower Fees on Checking and Savings
There are a lot of different ways to earn lower fees for checking and savings accounts at the big banks, such as multiple accounts, direct deposit requirements and a high minimum balance on money market savings accounts. However, credit union members get lower fees just for being members, without having to jump through any hoops or commit to a long-term investment. For example, at St. Anne Credit Union in New Bedford, you won’t have to pay a service charge to open a NOW checking account and there is no minimum required to open a new account. You can also open up a regular Main Share savings account with just $25 and the annual Christmas Club account costs just $1.00 to get started saving for the holidays.
Risk-Free Checking and Savings
Credit union members also enjoy secure funds and deposits at their local credit union in New Bedford, just like the FDIC at major banks. Deposits are insured by the federal government up to $250,000. This gives credit union members the same risk-free deposit advantages that they would experience at a regular banking facility, but with all the perks and advantages of joining on credit union.
Join a Local Credit Union Today!
If you are interested in finding out more about the advantages available to credit union members or would like to join your local credit union in New Bedford today, contact St. Anne Credit Union located on Union Street in New Bedford. St. Anne Credit Union is the oldest credit union in Southeastern Massachusetts, opening up on August 3, 1911. People who live or work in Bristol and Plymouth counties are eligible to join St. Anne Credit Union. Contact a representative for more information today by calling 508-993-0011.