Don’t Be Tricked By These Credit Union Myths

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As we fly through this spooky season, it should be overly-realistic zombies and other creepy Halloween costumes, not credit union myths, that send chills down your spine. Far too often, these ghastly falsehoods trick people into bypassing credit unions in favor of some truly hair-raising alternatives. Let us pull back the mask of these frightening myths to reveal the financial benefits of credit union membership.

Myth #1

Credit Unions Are In The Business Of Losing Money

While most NCUA-insured credit unions operate as not-for-profit or non-profit financial institutions, maintaining a robust financial position is still important. Banks and credit unions care about profits, but for different reasons. The former is often focused on earning profits for external stakeholders, while the latter focuses on sharing profits with you, your fellow members, and the community.

For example, instead of collecting interest to flow into the wallets of private owners or stockholders, credit unions pass profits to the membership through higher dividend payments on deposit accounts and no-fee checking accounts.

Myth #2

Credit Unions Are Only Good For Low-Cost Auto Loans

Most myths contain a kernel of truth – and this one is no exception. Credit unions have some of the lowest auto loan rates available to qualified applicants, but your neighborhood institution may offer much more. Many have product offerings typically associated with large banks.

For instance, Call Federal members do more than use checking accounts to manage everyday spending, savings accounts to build emergency funds, and low-cost mortgages to purchase dream homes. Our members have access to investment & retirement accounts, private student loans, low-interest rate credit cards, and more!

Myth #3

I Must Belong To A Particular Organization To Join A Credit Union

Joining a credit union is easier than ever. While many credit unions were established by large companies and organizations, these days eligibility for a local credit union, like Call Federal, only requires you to live, work, worship, or attend school in an area near the main location or one of its branches. Most require you to open a checking or savings account as part of the membership process. Some institutions allow you to apply for membership in person, online, or by phone.

Escape the web of prickly fees and scary borrowing costs by joining a local credit union. Become a Call Federal member when you open an account for $5. Call us at 804-274-1200 to get started today!

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