How to become a member in credit union?
Credit unions are non-profit organization who offers loans to the members of the credit union. They offer several services which are more or less like a bank. Dc Fawcett Reviews presents his views about benefits of credit union in this piece of writing.
How credit unions are different from a bank?
The distinguishing features are listed below, the first and foremost thing is ownership. The members whose contribution is less or more, they become a part of the credit union and hold rights to elect their board of directors whereas the bank has only account holders who are their customers, they become a part of the bank only when they have an account in the respective bank.
The credit union doesn’t pay taxes like bank does; at the same time they collect revenue to run the union and their financial decisions must be strong so as to run the organization smooth and prevent it from financial crisis. There is no peer pressure like they must accomplish a target in a stipulated period of time as profit is not the main motive of the union. They play an important role in the local economy.
Dc Fawcett Reviews – On becoming a member in the credit union
To become a part of the union, there should be a mutual bond that must exist with other members in the community. Being a member of certain groups can make you eligible for credit unions. Some unions and groups are open to the public. You can become a member if any of your family members is already part of the union. You need to provide information about yourself, submit proof for identification, and make an initial deposit like 25 dollars.
Services provided for the members in the union
Shared branching is a service that is provided exclusively for the members of the credit union. Although there is no branch or ATM for every credit union, but members can use the services of other credit union like ATM. To use this option, the home union (which you are part of) and the branch you use should be part of shared branching network. Union members can make deposit or withdraw money, pay loans. Personal service is provided in small unions, you can avail loan services by being a part of community bank. Credit unions provide financial services to consumers, businesses, and other organizations. The most common offerings are described here, but every credit union is different. Shared account is one of the safest way to treasure your money and just like savings account in a bank, union also offer some rate of interest. Checking account is used to withdraw and spend money without any restriction. You need to make an initial deposit like 5 dollars to start the sharing account.
Different ways to access the money by the members are
Members are provided with a debit card for making e-purchases and can be in used for retail and other purposes outside.
You can pay your bills online where the union will send funds electronically.
Though checks are in existence for decades now, they are useful and the feature is included in the union.
Apart from these services, members can make use of the ATM of their corresponding credit union.
Members can avail loans; the revenue for the loans is through members’ monthly deposit. Just like second mortgage loans, HELOC scheme is provided for members of the union. Automobiles can be purchased through auto loans.
Just like bank, personal loan service is also provided which is known as signature loans. Credit cards are issued and works just like a normal credit card where members can borrow money for emergency and repay later and credit card limit should not be exceeded.
Checks are provided for down payment or for any major life event, these are called official checks. Money order service works similar to official checks.
Safe deposit boxes are offered to union members where they can keep their valuables and documents which works like the locker service in the bank.
Notary service is an important service where the signature of the member is valid on any official legal document.
There are many organizations to protect your funds. Up to $250,000 can be insured in a union. Branch tellers, loan officers, administrative and operations roles executives run this organization. After the directors are elected by the members, volunteers are elected.
This is one of the safest ways to invest and there are nn o scams recorded recently as only members can operate in this union. Investors are offered various opportunities to apply loan which is discussed elaborately on DC Fawcett virtual real estate investing club.