Belonging to a financial institution such as the Denver community credit union is not only good for your financial life, but also for your long-term goals. The relationship between customers and the institution keeping their money is mutually beneficial, but because customers do not always have full information regarding them, they tend to settle for less-beneficial options. Here are some reasons why it is better to keep your money with a credit union.
- No monthly fees: Credit unions do not take their customers’ money in the form of monthly fees and all other unreasonable charges. Where monthly fees are unavoidable due to rising overhead costs, members bear the fees at a much-reduced rate than local banks offer. Further, ATM fees are either reimbursed or non-existent, and customers going out of their network to have access to their money at any time.
- No minimum balance: Customers can make a deposit when they join, but they can also maintain a zero-account balance. Credit unions do not mandate members to leave a specific amount in their accounts to keep them open.
- Lower transaction fees: While transaction fees are mostly necessary, you can trust credit unions to keep them low. This is because credit unions seek to improve the finances of customers and, therefore, charge only what will cover the overhead costs.
- Higher savings rate than banks: Credit unions offer more in terms of interests on savings accounts than local banks do. This is a move that attracts more people to join them and helps customers get more returns on their hard-earned money. For example, the Denver community credit union offers more interest in savings accounts than most local banks in Denver.
- Insured deposits: Although the FDIC is not responsible for insuring credit unions, they are rather backed up by the NCUA, a federally backed insurance agency. Members get deposit insurance of up to $250,000. Your money is just as safe in a credit union as it would be in a bank.
- You become a shareholder: The exact minute you make a deposit in your credit union account, you become a shareholder with voting rights and get to have a say over major decisions. Denver community credit union members know this firsthand.
Credit unions are the answer to some of the loopholes which traditional banks have. Keeping your money with a credit union is going to benefit you so much in the long run.