What Is a Credit Union?
Many people have heard the term credit union, but some folks might still not be familiar with what it comprises and how it can help them. Simply put, establishments such as Texas Federal Credit Union are member-owned and operated financial institutions. They are considered nonprofit entities, unlike banks which seeks to enhance the stockholders’ bottom line, credit unions take the approach that all customers are part of a community, no matter the amount of funds they have invested. In fact, owners and members are on the same level and can enjoy the fringe benefits these organizations offer.
Some Perks of Credit Union
*These financial facilities provide their members with the same services as the bank, in the form of saving and checking accounts, as well as certificates of deposits, online banking and credit cards. The big difference between the two is that unions do not charge a fee for your accounts.
*You are part of a conglomerate that provides a win-win situation for all members… When the organization makes money, it does not go to investors, as it would under banking circumstances. The profit returns to the patrons of the union in the way of lower credit card, car loan and mortgage rates and results in greater dividends on savings and deposits.
*For individuals who have poor or no credit history, it can be difficult to get credit cards or loans. And if they do get them, the interest rates could be through the roof. This is where a credit union can help. They will run a free credit check to discover the person’s financial situation. Afterwards, they will discuss with the individual different options to help them secure a card or loan. Overall, the loan officer will do whatever they can to help folks get accepted.
*People are often surprised by how they are dealt with by the personnel of credit unions. You are not just a number. They take the time to listen to their members and answer questions to make sure they understand everything. Many times, resources and educational tools are presented to the customer, so they can become financially savvy.
*Compassion for the local community is a top priority for the staff of credit unions. They are known to take time to volunteer, fund-raise and support various benevolent programs that will assist people in the area.
The National Association of Federally-Insured Credit Unions (NAFCU) Report mentions how credit unions constantly offer financial services and products with exceptional rates compared to banks. And multiple sources show that the satisfaction of credit union members surpasses customers who deal with banks.
To understand how these alternate lending institutions can deliver more value to you in contrast to the traditional banks, it would be a good idea to contact TPFCU at 806-359-8571 for detailed information. To accommodate all members, Texas Federal Credit Union has multiple service branches available.