While the current economic environment remains challenging, Michigan Credit Unions continue to attract new members with personalized service and innovative banking products. Since Credit Union account holders are also members, employees recognize that every member is also an owner.
As traditional banks raise fees, eliminate incentives, and tighten lending standards, Credit Unions are introducing innovative services and providing loans tailored to the requirements of their members.
Credit Union Advantages
Credit Unions were originally developed as an alternative for those who were not being adequately served by banks. Large groups who shared a common affiliation often found that establishing a Credit Union could provide substantial benefits.
There is a variety of advantages that Credit Unions offer, including:
- Member Ownership: Every account holder in a Credit Union is also an owner.
This reality creates an atmosphere where members are treated with the personalized service and respect that are often missing in the traditional banking environment.
- Member Elected Board of Directors: Unlike banks, the Board of Directors is elected by members.
- Nonprofit Designation: The 1934 Federal Credit Union Act established the nonprofit status for Credit Unions and exempted them from most federal and state taxes. As a result, Credit Unions can typically offer their members better rates on interest bearing accounts, and lower interest rates on loans.
- Lower Fee Structure: Fees associated with checking accounts, loan origination’s and other products are usually much lower at a Credit Union than a bank.
- Dividends: Since Credit Unions operate as not-for-profit business entities, excess operating income is usually returned to members in the form of dividends.
- Simple Membership Process: Those living within the defined borders of a community chartered Credit Union are invited to become members. Wayne and Westland residents can open a Credit Union savings account with as little as $5 or a checking account with $20.
Products and Services
Modern Credit Unions provide their members with a banking experience that is friendly, professional, courteous, and responsive. The many service options include cutting edge technologies, such as online and mobile banking that offer enhanced accessibility and convenience.
Credit Unions take pride in helping their members with every banking related requirement. They specialize in offering loans for a variety of needs and providing important services like retirement planning, financial counseling, and identity protection.