Archive Links

Consumer Archive
CU System Archive
Market Archive
Products Archive
Washington Archive

News Now

CU System
IOpEd NewsI Stick it to the banks. Join a CU
PHILADELPHIA (12/16/09)--Consumers who are fed up with high bank fees, poor service and stingy lending should “stick” it to banks where it hurts--by joining a credit union, said the author of an opinion piece in Tuesday’s opednews.com. Dave Lindorff, a Philadelphia-area journalist, wrote that he joined a credit union after going through several tribulations at his local bank--including having his credit line frozen, being turned down when asking that a check from a regular employer be immediately cleared to help him pay bills, and waiting a month for a refund of funds improperly taken from his account. He chose the $394 million asset, Warminster, Pa.-based Freedom CU, where he said he had no trouble obtaining a credit line. “President Obama recently had to call bankers to the White House to plead with them to start lending (unsuccessfully, it appears), but here's my credit union begging me to finish filling out my loan application, and this for a loan that will be at a rate more than 1% lower than what my bank was offering,” Lindorff wrote. “No wonder 90 million Americans are already using credit unions,” he added. “At a time when the interest rate on a 30-year mortgage at a typical bank is 5.58%, it's 5.44% at credit unions.” He also noted that bank interest on savings accounts is averaging 0.44%, while it’s 0.68% at credit unions. Bank [certificates of deposit] are paying an average of 0.62%, and credit unions are paying 1.22%, or almost double, he said. Used-car loans at a bank cost 7.5%, while credit unions charged 5.72%, he said. These days, there should be a lot more credit union members, Lindorff wrote, “but I guess it’s hard for credit unions to compete with the advertising budgets of the banks.” His advice: “Stop grumbling about your bank, and about all those obscene fees, charges and the bad service you get, and just do a little research and switch to a local credit union. "It’s not just that you'll save money, be happier … but in a small way, you'll be doing your part to stick it to the banks,” he concluded. To read the opinion piece, use the link.
Other Resources

RSS





print
News Now LiveWire
Maine credit unions put Food Mobile on the road to relieving hunger in rural areas http://t.co/R0xpt6BAZE
15 hours ago
.@TheNCUA's Matz: PALS should be exempt from Military Lending Act proposal #NewsNow http://t.co/Vy9uNhOIEr
15 hours ago
#NewsNow Iowa loan growth 3 times national bank rate http://t.co/fUvudPLg5d
18 hours ago
.@ICBA tallies its Home Depot data breach costs: $90M, 7.5M cards http://t.co/iJgRDC2AKZ
19 hours ago
.@icul's Jury elected treasurer of @WOCCU exec committee http://t.co/HEF1UChN8f
20 hours ago