Lower rates: Auto loan averages for CUs as of July were 2.85% on a 36 mo. car loan vs. Banks @ 5.59%. Therefore, banks are
charging nearly twice as much for the same loan.
Easier to borrow: Community-based CUs tend to be easier to
deal with than megabanks. Lending decisions are more likely to be made locally
with more flexibility.
In addition, while few national banks make signature
loans(unsecured loans), CUs regularly offer this type of loan to their members with good
credit. CUs also offer lower-dollar loans than banks. You could get a $500 signature loan with a CU, but probably not at a bank because it wouldn't be profitable to them.
Loans through CUs are usually reviewed and completed in a much
quicker time-frame.
Lower fees: When it comes to fees, you will
probably find better deals at CU’s than at giant commercial banks.
Whether is for fees to maintain loans, checking accounts, ATM fees, or penalty
fees for overdrawing, you are more likely to have fewer and lower fees at your CU.
Credit Unions are typically smaller than banks so talking with, meeting with or working with a real live person happens much sooner in the loan process. If you've been a member for a while, you might have even talked to the person who makes the decisions on the CU's loans.
Credit Unions offer loans that a lot of traditional banks do
not. Overall, CU rock compared to traditional banking institutions!
Post by: Lori S.
.jpg)