Top 5 reasons to choose a credit union over a bank

Created by
Laura Hillhouse
April 16, 2019

If you’re looking to buy a new car, most of us will look at different dealers to see our options. When we’re in this search, it’s always made clear to us why we should choose to purchase our new vehicle from each dealership. In the end, we’ll always pick the one that we’ll get the most out of. This is the mindset your potential members have when looking for a financial institution, and this is why you need to shout about why they should choose you.

There are so many options for every product and service we consume so we need to be sure that we’re doing everything we can to show people what we can do for them. To help, we have put together a list of some of the top reasons that people would want to join a credit union over a bank. Take a look and why not use some of these in your next marketing campaign?

1) It’s a member-first service

If you make a call to a bank, you’re most likely to be met with a tree of automated responses before you get the outcome that you’re looking for. A credit union on the other hand, is all about the personal service. There are people on the other end of the phone who are there to answer requests and make sure you get a first-class service. Credit unions are here to help you understand the world of finance and being here for you is one of the ways that they achieve this.

2) Loan rates that you’ll be happy with

Credit unions have the advantage of being able to provide a much fairer way of lending. With more flexibility than banks, you’ll find that credit unions can often work around a rocky credit history or income. We all need a little help sometimes and unfortunately banks cannot always accommodate everyone due to risk. Since credit unions are community focused, helping out those who need it is part of what they do. Their loan rates are often lower, and they will be open to that flexibility around their loan process.

3) Financial education

Credit unions are transparent. They exist to make their communities a better place so offering some financial education is part of what makes them so special. Money management or home-buying tips and insights into loan rates are not often received from a bank. They are interested in you using their products but not the education that comes with it. You’ll find that your credit union is happy to go that extra mile for you and your financial wellbeing.

4) It’s an ideal way to save

One of the main benefits of saving with a credit union is that they pay back money that they make from their members in the form of dividends.They will usually always have competitive rates on their savings accounts and members benefit from credit unions not having to flow some of the money through to shareholders.

5) Mobile Apps & Internet Banking

It used to only be banks that could afford to fork out the budget for digital technology. Credit unions have had limited access to funds and also to suppliers that could suit their needs. However, we are now seeing more FinTechs focusing on the ethical finance sector. They are also building business models that support the market and this means that more credit unions are able to offer members the features that they can get from a bank. Many can now allow members to have 24/7 access to their accounts, make transfers, direct debit payments and this is just to name a few features. Applying for loans can now also be an automated process for credit unions which is a huge benefit to both the members and the institutions themselves.

This type of ‘always on’ access is what people are looking for and it's a main deciding factor for many. If your credit union can offer this then there is no reason why you shouldn’t be a a good alternative to a bank as long as you let potential members know what they can get.

Sharing all of this information with potential members is vital.You will even be able to think of many more reasons they should join you. Your current members will also have the confidence to know they have made the right choice. Let people know through your website, your social media and other marketing materials. You never know the members you are missing out on by not showing off what makes you unique.

If you want help in getting this information to your audience, then get in touch with us today. We are here to help you with much more than just technology. We can help you grow and attract in your next generation of members.

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