There’s a lot to consider when looking for a new Corvallis bank. What services can you sign up for? What rates do they currently offer?
But there might be another thing to consider before you hand your money over. What about considering a credit union instead of a bank?
A lot of people don’t understand the differences between a credit union and a bank. After all, they appear to be very similar. But there are key differences that can help you do more with your money.
Let’s start with their approach. A credit union is set up as a cooperative. This means the members of the credit union own the financial institution. If you have an account at a credit union, you are part owner. All of the members pool their money together, and it’s then given back to members in the form of loans and services.
Credit unions are not-for-profit. That means they don’t pay out dividends at the end of the year based on their earnings. Instead, any gains are fed back into the credit union to improve products or services. They exist solely to serve the people within the community.
A bank, on the other hand, is a financial institution built for profit. Their goals include bringing in new customers and finding new ways of doing business. They strive to make money at the end of the year and to do so by growing their customer base as much as they can.
A credit union will typically offer lower fees and higher interest rates on deposits and provide you with better customer service.
A bank will typically offer you more branches throughout the community, possibly even around the world. And with more money at their disposal, they may have a quicker turnaround with upgrades and technology.
Before you make your decision, ask yourself a question:
What do I really expect from my Corvallis bank? How do I want access to my money?
If you live right here in Corvallis and like living in a smaller community, there are several reasons you should consider moving your money to a credit union.
Ease of Use
If you have an account with a well-known bank, have you ever called them up with a simple question? It’s a game of how long it will take and how many buttons you’ll have to push on your phone to get connected to a live person who may be able to answer your question. You sit and wait, listening to bad music as the minutes tick by. And at the end, your anger may rise when the only answer you receive is: we’re sorry, you’ll have to call this number instead.
Big banks have a reputation for lousy customer service. What’s worse, they don’t seem to care. They play the numbers game, and when they have millions of customers, your one little voice doesn’t really matter.
That all changes when you step into a credit union. Because credit unions are a co-op, every person matters. Every member you connect with cares about the quality of service that’s offered.
Terms and Services
When you do business with a for-profit bank, note that they answer to their corporate owners, who ultimately have to stand up to their shareholders who want a healthy profit.
With a credit union, you are the shareholder. So expect business practices to be more lenient.
Try to take out a mortgage with a big bank if you have a ding on your credit history. They’ll turn you away with little thought. But with a credit union, they have more flexibility. They’re willing to talk, help you make certain corrections, maybe even listen to your story, possibly making exceptions. Credit unions realize we’re all only human, and they’re willing to take the time to listen to the big picture.
You’ll also find that credit unions don’t charge ATM fees for in-network ATMs, and overdraft fee policies are much more forgiving. Again, as a credit union, they’re service based. They’re willing to listen to you when you have a problem. And you don’t have to sit on hold for 20 minutes, only to be hung up on and told to call someone else. Just stop by and have a conversation with a real person from your community.
Education
Banks believe the best way to make money is to keep people in the dark. They’ve perfected the tiny print you’ll see on their literature or at the end of every commercial. Big banks became so good at deceiving the general public about their practices that Congress stepped in with new laws and requirements. Ignorance is not bliss when it comes to how you function with your money.
Credit unions take a different approach. Because they’re built for members, by members, they consider education a high priority. Want to learn more about financial terms? Confused about APRs? And what really is different between a 15-year and a 30-year mortgage? And why should you care?
They also believe education starts young. The best time to learn about your money is when you’re just starting to work with it. You can start a kids account with us for just $5. And we’ll give your kids a bunch of incentives along the way to help them keep their money growing and earning.
Full Service
Every credit union has its personal focus. You’ll find some credit unions offer mortgages, others even help you set up a business with checking, savings, and loan opportunities. And you’ll find competitive rates with lots of help and services along the way.
Not all Corvallis banking institutions can do all that.
Looking for a personal loan, a business loan, or a student loan? We can help you with that.
Looking for ways to invest? Talk with a financial advisor about that.
And whether you’re starting a new business or just looking for more competitive rates with your POS financing, we can help you with that too.
So what are you waiting for? If you’re looking for a new Corvallis bank to do business with, look no further than the Central Willamette Credit Union. We’re here for you.