Get Yourself the Best Bank Terms

Both small local banks and credits unions get it done, not the big financial institution taxpayers have had to bail out. In fact, during his downturn in the economy big banks have raised service fees and slowed lending while reaping huge profits and paying exorbitant bonuses to their executives.

It’s time we working people stop rewarding this behavior while we suffer the consequences. Some groups are acting. The Move Your Money Campaign urges just that: Move your money! The idea is for people to begin to use smaller, local banks and credit unions to shift their accounts and business to. After all, they get it done, mainly because their focus isn’t only on profit.

Community banks survive on good will, and they are known by the community; they are not anonymous and unreachable. Community banks have to respond to their customers’ needs. Small banks also have fewer liabilities and are not involved in speculation to the extent larger banks are. They are, therefore, more stable, which is reflected in their interest rates and loan rates.

Credit unions are perhaps the best bet because they are non-profit. This is a win–win, and now almost everyone can find a membership with a credit union because there are 7,700 of them, representing all kinds of groups. When all else fails, and you belong with no group, often you can buy a membership into an association for about $20.

Why does Pennypinchinghints.com think you should search out the nearest credit union?

Well…

Compare the average CD interest rate at credit unions – 1.16% to that at larger banks – .94%.

Now compare an unsecured 36-month loan rate at a credit union – on average 10.62% – to that at a larger bank – 12.39%.

If you’re still not convinced, be aware that credit unions offer many services.

• They have full banking products and services like online banking, debit cards, credit cards, and ATMs—and some are networked into surcharge-free access to those ATMs.
• They can also do small business loans. They are limited to $50,000 loans that do not exceed 12.39 % of the business’ assets, but there is movement to move that loan limit to $250,000 at 25% of a small company’s assets.

Think about moving and improving now. You can call the Credit Union National Association at 1-800-358-5710 to find one for you.

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