College students across the country are well into their
first semester, diving into new classes and study sessions. However, the topic
of credit unions and how they differ from banks is not something that's going
to be found in a course syllabus.
Unlike banks, credit unions are not-for-profit financial
institutions that are owned by their members, which gives them some advantages
over banks. According to a recent Forbes article, people in their 20s
place great value in mission over profit. As a member of a credit union, you
are part owner, not just a nameless number in a computer. Banks are accountable
to shareholders who want to maximize profits. Credit unions return all profits
to their members by paying higher APYs on deposits and charging lower interest
rates on loans.
College students today are much more concerned with their
financial futures than previous generations. They make informed decisions and place great
value on educational resources. Credit unions tend to stress financial
literacy, seminars, articles, calculators and other tools to help their members
sharpen their money skills.
Credit unions also offer a wide variety of products, many of
which rival even large-scale banks. Telhio Credit Union offers a variety of
product options: checking accounts, savings accounts, money market deposit
accounts, CDs, mortgages, auto loans and credit cards are just a few.
The younger generation also can have peace of mind that
their money is insured. As long as a credit union is a member of the National
Credit Union Administration, deposits are federally insured by the NCUA's Share
Insurance Fund for up to $250,000 per depositor.
At the end of the day, what people truly value about credit
unions is just that - value, like lower borrowing rates and higher deposit
yields. Credit union profits go back to members who are shareholders. At Telhio
Credit Union we value our members and are here to help with whatever financial
needs you may have. Whether you are saving for your first home or preparing for
retirement, Telhio is here to take that journey with you.
