Credit Unions Begin To Promote Their Strengths

New York Times:

Credit unions have a reputation for being rather dull and conservative, and for decades, America's First Federal Credit Union in Birmingham, Ala., was no exception.

Read the whole story: New York Times

Comments

[joebhed]

10:36 PM on 06/14/2010

Thanks for posting on this.
The Credit Union marquee is very slowly unfolding for lots of good reasons.
All that is needed is a sense of voluntary cooperation.
It provides a small but very important relationship between a group of people and their money.
Why should it be any other way?
Credit Unions certainly, and other forms of cooperative finance, will emerge from the failure of the commercial and investment bankers to provide for a stable economy and sound financial management.
It will be a natural transition.
Credit Unions represent the power of the people to control their money.
When they make loans it's with other members money.
Their is a shared objective of stability and soundness to the operation of a member-owned non-profit credit union.

[Lefty08]

04:01 PM on 06/14/2010

I have a business & a personal account with Wells Fargo. (They also had my mortgage as well until I paid it off a year ago.) I also had an account with Chase--- a 15 yr. home equity loan that I've managed to almost pay off in 5 years. When I needed to get a loan for major dental work, the clowns at Wells Fargo & Chase were impossible to deal with...from losing my tax returns, applications, phone numbers...to being assigned a different employee to handle things on a day by day basis--Chase would call me every single day for a week & ask the same info that I gave to them the day before..... Finally went to the Credit Union... no fuss, no muss...EZ. Closed my Chase account...will get rid of Wells Fargo too soon....I could care less if they're not as digitally savvy as the banks...they're certainly more customer oriented...and knowledgeable. Period.

[knightoftheroundtable]

03:06 AM on 06/14/2010

I think Credit Unions can be a fine replacement for a bank if your not happy with your bank. My wife and I have been with Harris Bank for over 20 years without any problems. We had a mortgage with them till it was paid off. We are treated very well and most the tellers know us since they have been with the bank for years. Never had a check bounce since we do not write checks if the money is not in the account. I hear some banks like Chase and others charge for teller fees. If Harris did that then I would consider a credit union. Not all banks are bad. If it is the bank, then find another or go to a credit union. I think most people have problems with banks because they write bad checks. Just my opinion for what it is worth.

[capitaldysfunction]

10:40 PM on 06/13/2010

I love my credit union and every cu I've ever belonged to. I get free online banking. The service is exceptional. It is incredibly convenient. Applying for a loan is easy and a breeze. I also have my low interest mortgage and debit-credit cards through the same credit union. No, my mother or friend doesn't work at my cu but I would like to know some of the girls that work there. I know people who bank at major banks with a $5000.00 minimum balance requirement for free checking, that I get with only a $100.00 minimum balance at my credit union. I've never experienced unexpected fees for services that bank customers frequently complain about.

Out with the major bank cards this year.

I don't think I've ever given this positive of a report about anything before, but it is sincere.

[EminemsRevenge]

06:04 PM on 06/13/2010

Credit unions are not all that kosher as some people think them to be!

With the credit crisis MY credit union has begun crediting my direct deposit at 7:45 A.M. so that i might make an overdraft by then. Also, when i write checks to people in the same credit union they don't debit my account until almost a week later, again TRYING to score those overdraft fees.

They MAY be better than regular banks, but they still have their shady side...banks MAKE A LOT of money by bilking their customers, and that ain't gonna change any time soon

[humanbeing-rick]

12:30 PM on 06/13/2010

The keyword here is "union". It is the common thread of a method that works.
Unionize! It is only through strength of numbers and through disciplined collective bargaining that we can stand up to the mighty forces of big business and our fascist government. It is the only way that the people can gain some dignity and respect for themselves.
Credit unions, labor unions, even our government is a union of states.
Those that seek to weaken our unions, and bust our unions, are un-American.

[4TJefferson]

11:57 AM on 06/13/2010

I can vouch for Credit Unions. My vehicle is financed with a regional union with a very good rate and they communicate well.

[wts7741]

11:53 AM on 06/13/2010

Credit Unions are very unresponsive to those of us who are unemployed with mortgages. It appears that they do not have to follow the same rules as other mortgage lenders, thus are not granting mortgage modifications -- despite the legislation in place to help howeowners avoid foreclosure.

[KriTiKiT]

08:08 AM on 06/13/2010

I smell a S&L scandal and JUNK BONDS JUNK BONDS JUNK BONDS

[billybobt]

04:32 AM on 06/13/2010

Sorry folks. Hate the banks all you want. Credit unions have no strengths unless you count incredibly poor customer service, outdated computer systems, and capricious financing terms as a strength.

FACT: 99% of credit unions lease outdated mainframe account systems from the major banks who stopped using these systems decades ago because they are incapable of providing up to date account information in real time, or providing more than the most simplistic 5 days out of date savings and checking balances. Result: if you actually use their checking huge overdraft fees due to never knowing what your actual balance is unless you balance your checkbook.

FACT: 90% of credit unions do not offer online banking, or if they do are so limited and provide incorrect balance information.

FACT: Most credit unions cannot even accept loan payments except check by mail. They cannot even accept a debit or credit card payment over the phone or online.

Credit unions are your parents bank, literally. The same services offered in the same out of date fashion as 30-40 years ago.

If that makes you feel "safer" you are crazy. Just because they are tight fisted with credit does not make them safe. If makes them the industries equivalent of a mattress. And it has holes in it and its a poor poor way to manage your finances.

[Carolab]

05:33 AM on 06/13/2010

FACT: Credit unions are member-owned. And therein lies their strength.

[billybobt]

06:54 AM on 06/13/2010

Im a member of several credit unions and I dont "own" anything. Please grow up.

[awa611]

08:13 AM on 06/13/2010

Interesting how so many people on here are defending credit unions like their mom works there. I have experienced the same things you outline with the credit union I used to belong to. After several instances of dealing with credit union staff who were not very knowledgeable and the same problems you listed, I moved to a bank and have never had any issues. And I've never been charged a "hidden" fee that a lot of these people complain about. I'm guessing most of the people complaining about banks here are the ones that overdraft their accounts often and get charged or don't actually pay attention to their money very well. It's their money yet they expect the credit union or bank to take care of it for them. Time for them to grow up and take care of their own finances.

[Carolab]

03:16 AM on 06/13/2010

PLEASE, PLEASE if you haven't moved your money yet, MOVE IT TO A CREDIT UNION.

Also, make SURE it has a STATE charter.

[KriTiKiT]

08:10 AM on 06/13/2010

I'm not sure that is safe eather considering most every state had depleted the retirement funds they pull from.

[Carolab]

10:30 PM on 06/13/2010

That has nothing to do with Credit Unions. They are member owned, and not part of the public retirement plans.

[CarmanK]

12:57 AM on 06/13/2010

I belong to a credit union and believe it is the best thing for my family. They have checking, savings, investments, IRA' s and make loans for home purchases, cars, and issue credit cards. They have fewer ATM locations than national and local banks, but they have some free service contracts with banks. Phone and internet access is excellent. If you can, join a credit union. You will be glad you did.

[cbini]

12:18 AM on 06/13/2010

I think credit unions, if they're set up right, are perfectly suited for the average person or small business. It would be great if they made a comeback having learned from mistakes of the S

[hershala]

12:32 AM on 06/13/2010

They do pretty well for mid sized businesses as well. I owned and run a business with branches in the US, the UK nd Canada for 30 years. I did all my banking through a credit union. They handled international transactions. Yes I had a main street bank in the UK because they do not have credit unions that provide the same services as they do in the US but my company was run through a credit union. IT saved me a bundle of fees and charges.

[LHoney]

09:11 PM on 06/12/2010

My husband and I just applied for a used car loan from our credit union. After many phone calls, it took them 6 days to approve our loan. It was VERY frustrating. Our credit ratings are 789 and 796. then, when we went into the office to fill out the paperwork, they did not ask us for pay stubs or even identification! I was shocked. They handed me a check for $12,000 and I hadn't even shown my drivers license. Not very professional.

[cycle3man]

11:04 PM on 06/12/2010

Did you get the loan? Did you get the car? Was the deal fair? Did anyone try to scam you?

Six days ! Oh my God the world is coming to the end?

YUou sure donot sound very mature!

[awa611]

08:03 AM on 06/13/2010

Neither do you.

[hershala]

11:43 PM on 06/12/2010

Generally credit unions have a loan comittee that meets once a week to approve loans. So what is the problem. Was the interest rate fair? Are the loan terms fair?. As for not asking for ID You are a member of the credit union, they already have that. Most credit unions know their customers. IF you are unhappy return the check, and go to a bank, you will then be able to pay higher interest rate.

I have had many car loans in my lifetime, before I got smart and started paying for cars in cash. But no lender ever asked for my ID when I picked up the check.

[billybobt]

04:51 AM on 06/13/2010

Not true. Credit Unions approve loans the same way as anyone else, with a FICO score and a phone call. The real problem isnt getting a loan approved with them its their horrible customer service in servicing the loan.

[Wahchintonka]

08:42 PM on 06/12/2010

Credit Unions always have been "one up" on the banks since their inception. They are now, as they've always been, the best choice - period!
Having said that. With the "Move Your Money" movement to get folks to switch to the smaller banks, guess what? Yep, they're being bought up by the (shh, you know who) Fed. And when "the time is ripe", the Fed in cohorts with your government will make their move on the credit unions and you'll end up right back at square one. Enslaved by a monetary system that was devised and implemented for that sole purpose, debt.

[hershala]

11:50 PM on 06/12/2010

The fed does not own main street banks. Bank that fail have been taken over by other banks not the fed. I know there are people who believe the fed is the root of all evil, but if you look at FACT not conspiracy theories, the fed is not the scary monster you believe it is. No the fed cannot take over Credit Unions and they canot buy them, because they are owned by their members, You know, us.
Not enslaved by a monetary system at all, All one has to do is not have any debt, perfectly possible. I haven't had debt for decades.