Are You the Owner of Your Finances?

Many of us give little thought as to where our hard earned money is kept. We concentrate on making money, and that takes up our time. For most of us too, keeping track of our daily finances is a struggle. That cannot be avoided. Most of us don’t hide our money under mattresses or in our undergarments, but where do you keep your money? In America, we have many alternatives to manage our finances. What is the right choice for you? 

Credit unions and banks compete against each other for our business and money. They are both financial institutions, and they both offer services. They are as individual as we are. What door will we choose to walk though when we deposit our check? 

Most people do not know how Credit Unions operate. There are cooperative financial institutions. What this means to you is that when you open an account, you are now part owner of the credit union. A volunteer board of directors who make the decisions regarding services provided and the costs of these services govern credit unions. 

Credit Unions typically charge less for services, although the range of services may be limited compared to banks. For example, when you are in Italy, you certainly would not find a credit union atm, but bank atms may be abundant.

If you want to feel special, credit unions are for you. Credit unions have limited membership, which means you will probably have to belong to a select group. This can include a specific company, area, club or church. Banks have no prejudice on offering services to Joe Smith who doesn’t live in the area. They don’t care if he lives on the other side of the world.
Credit unions are nonprofit organizations. Their mission is to provide affordable services to their members. Whatever profits are earned are returned to members in the form of dividends and lower cost services. Credit unions usually have lower fees and minimum balance requirements. Students benefit greatly from this feature, as they don’t need a college degree in order to understand bank fees and rules. Credit Unions offer the simplicity that banks don’t.