One of the things that most individuals look for when they’re looking around for a new bank is reduced fees for banking services. However, there are also a number of individuals that look for beneficial rates for things such as savings accounts, checking accounts, CDs as well as interest rates on various types of loans. That’s why, when looking at Saving Interest Rates at a credit union as opposed to a traditional bank, a slight benefit in the interest rates of a credit union will often be noticed.
What’s important to understand is that the amount of difference in the Saving Interest Rates between a credit union and a bank may be slight. Typically, a credit union will have the advantage of slightly higher rates. However, it’s not simply about the increased rates that draw people to places like Pearl Harbor Federal Credit Union. People are often drawn by the better terms for banking for all of the different products found at a credit union.
For many years, members have understood why credit unions are so much more preferable than a bank. The cost to do banking in a credit union is usually much less than what you’ll find at a traditional bank. In addition, lower interest rates on credit cards, as well as loans, are common with credit unions. Higher yielding interest rates on simple things such as checking and savings accounts, as well as money market accounts and certificates of deposit, have always been better at credit unions.
The reason for this is that credit unions are member-owned. They don’t look to get a profit out of their banking services. Credit unions look to cover their costs instead. This benefits the members, as they’re able to enjoy lower fees and more favorable interest rates.
If you’re interested in making the change, credit unions do have certain requirements for membership. Fortunately, with so many different credit unions around, it’s likely that you can find a credit union where you’ll meet the requirements. From there, it simply a matter of opening up your accounts and enjoying the benefits that come from banking at a credit union.
