Open Your Eyes to a Credit Union
Why a Credit Union instead of a Bank?
Credit unions have long been touted as non-banks. That really isn’t true. Credit unions offer the same banking opportunities, services and technology as their for-profit sibling. So why aren’t you a member? Is it because you think a credit union is less accessible? Has less services? We beg to differ.
First let's define the main difference between a bank and a credit union.
Banks answer to shareholders.
They must earn a profit for their shareholders which often leads to higher interest rates and fees. As for-profit entities, banks must also pay corporate income taxes, and they pass that overhead and other operating costs onto their customers.
Credit Union members are the shareholders.
As a not-for-profit entity, profits are paid back to customers (who are called members) in the form of higher dividends and lower interest rates. The Board of Directors and committees are elected volunteers (i.e., not paid compensation) and they are also credit union members.
Now let's tackle some myths.
1. I can’t join because it costs money.
There are NO membership fees. At Skyward, a share account (commonly called a savings account) is set up to establish your membership with a small deposit ($5). And most accounts require no beginning balance to be opened. As a member you get individualized attention with top ranking service and better-for-you financial options to save, budget and spend your money.
2. I don't belong to a group associated with a credit union.
3. Credit Unions have limited locations.
Skyward has 5 branches, but we also have digital banking technology that allows you to bank wherever you are. We are also a member of the COOP Network system which provides access to 5000 shared branches and 30,000 surcharge-free ATMs across the nation. Whether you are at work, home, or a favorite travel destination, your credit union is always nearby.
4. Credit unions don’t have as many products as a bank.
Credit Unions offer as many services and products as any bank. Everything from varied savings and checking accounts, to CDs, IRAs, and an array of loans – all with better rates than most banks. Did someone say fee-free interest-bearing checking accounts? Not many banks offer that. And CDs routinely offer higher dividend rates. Skyward also offers lower interest rates and better terms on all types of loans. And don't forget the low interest and rewards-earning credit card!
5. Credit Unions are old institutions and not tech savvy.
You may think that credit unions are an old idea and have no desirable or convenient high-tech banking services. Well, think again. Smaller doesn't mean out of touch. Within the past two years, for example, Skyward has implemented leading-edge online and mobile banking access with budgeting features, seamless online account and loan applications, member text messaging, interactive teller machines, AIM (mobile banking for face-to-face service), and online resources for obtaining financial wellness for you and your family—not to mention the latest security measures for keeping your money and personal information safe.
So, the revelation is ... credit unions are banks! Actually, credit unions are more like better-banks, with a mission to serve their customers as valued members. Open your eyes to a credit union. Contact us today to open an account or apply for a loan, and help your money go further.