Top 5 Credit Union MisconceptionsComment October 26, 2012 by Triangle Credit Union
I know many people who are victims of financial inertia; stuck unhappily banking at the big bank where they opened their first checking account, credit card, or mortgage. When I recommend making the switch to a credit union, I frequently hear, “Oh, I’d love to switch, but I won’t be able to (fill in the blank) at a credit union.
These objections are often based on misconceptions. I hope here to dispel a few of these myths and maybe even convince the unconverted that a credit union can replace their bank.
So, the top 5 objections based on misconceptions:
1. Difficult to Join – It’s easier to join a credit union than your local gym. For example, Triangle Credit Union’s membership, once restricted to the mill employees of the Nashua Gummed and Coated Paper Company, has now expanded to anyone residing or working in the Hillsborough, Merrimack, Belknap, Rockingham and Cheshire Counties of New Hampshire, as well as the Franklin, Worcester, Middlesex and Essex Counties of Massachusetts.
2. Fewer Services – Once upon a time credit unions were highly specialized. For example, Triangle Credit Union didn’t offer checking accounts until 1984. But all of that has changed. Credit unions are now full service financial institutions and offer everything your household or business could possibly need. Did you know we offer Construction Loans? HSAs?
3. Not FDIC Insured – Well, this is actually true, but it’s a misconception because your deposits in a credit union are equally and as securely insured by the National Credit Union Administration (NCUA), which like the FDIC is an independent federal agency.
4. Fewer Branches thus Fewer ATMs – Because of the cooperative nature of credit unions, you can often access your funds surcharge-free at more ATMs than your bank has to offer. In fact, my Triangle Credit Union debit card gives me access to 13,000 surcharge-free ATMs!
5. Lacking in Technology – Credit unions are smaller than banks but often more nimble organizations. Triangle Credit Union, like many other credit unions, recognizes the value technology can bring to members lives. We therefore move quickly – often while big banks are still in the discovery period – to implement new technology, like our Mobile Apps, Remote Deposit andPopmoney that can save members time and money. I hope I’ve addressed and corrected a few misconceptions about credit unions. Financial inertia can be hard to break, but the rewards of doing so are innumerable. Contact us to find out more.