The Occupy demonstrations have made one thing clear: big banks and corporate America can no longer gouge the every day account holder with arbitrary fees and random exploitation. There seems to be a tacit understanding between us: we no longer want to support big businesses that don’t support us. But if our money walks, where will we put it?
Well, I’ll tell you. Tomorrow is National Bank Transfer day, where millions of Americans will leave their big bank and join a financially responsible, people oriented, and community-minded credit union. (Besides, you really shouldn’t be hiding your riches under a mattress. Mattress fires are a real thing.)
To make it even more official, take the pledge to move your money to a credit union this Saturday, NOVEMBER 5, 2011 HERE . Be one of the 650,000 Americans who have already transferred their available funds to credit unions in the last month, and haven’t turned back since running far, far away from their former big bank’s fees…
To keep this simple, I’m not going to reinvent the wheel. You’ll find below some links (all found via Google) to help you prep for tomorrow. Know that the credit unions are READY FOR YOU with extended hours and possibly, pastries. Also, bring 2 forms of photo identification, your SSN card, proof address, and your money (oh yeah, that) to start an account.
Read what I’ve gathered below, and go visit the Move Your Money Project for more details.
What is a credit union?
A credit union is a member-owned, not-for-profit, cooperative financial institution. Credit unions are similar to traditional banks in the sense that both institutions offer financial products to customers. Credit union members, like bank customers, have access to checking and savings accounts, CDs, loan products, and credit cards.
What is the difference between a credit union and a bank?
Table taken from this link
| Credit Unions | Banks |
|---|---|
| Not-for-profit | Profit-oriented |
| Returns profits to members in the form of lower loan rates, higher savings rates, and free or low-cost services. | Returns profits to stockholders |
| Each person who deposits money is a member with a share of ownership | Customers have no ownership in the corporation |
| Members elect a volunteer Board of Directors to represent their interests | Controlled by stockholders and paid officials |
| Member-service driven | Profit-driven |
| Are federally insured by the National Credit Union Administration or a private insurer | Are federally insured by the Federal Deposit Insurance Corporation |
| Can serve only those individuals within their field of membership | Can serve anyone in the general public |
Why are credit unions better?
According to this site:
A credit union is a democratic, member-owned cooperative. So when you join a credit union, you’re more than a member; you’re an owner—and that means you have a say in how your credit union is run.
Credit unions provide the same products and services as other financial institutions—but credit unions are non-profit and exist to help people, not to make a profit. As such, all earnings are returned to their members in the form of high-interest savings and low rate loans.
Credit unions across the country are committed to their communities, offering financial services to underserved populations, engaging youth in financial education, and returning profits to their members.
Credit unions also tend to offer more competitive rates (via DailyFinance):
Credit unions offer most or all of the services you need from your bank, and they generally charge lower fees, offer higher interest rates for your savings, and lower interest rates for loans. Compare these rates for June, 2011, the most recent data available from the National Credit Union Administration (NCUA):
| Credit Unions(national average) | Banks(national average) | |
| 5-year CD | 2.09% | 1.78% |
| 1-year CD | 0.75% | 0.59% |
| $1,000 in a regular savings account | 0.25% | 0.20% |
| 30-year fixed mortgage | 4.78% | 4.64% |
| Classic credit card | 11.64% | 13.17% |
| Unsecured fixed 36-month loan | 10.37% | 11.98% |
| 36-month used-car loan | 3.88% | 5.61% |
| 60-month new-car loan | 3.91% | 5.22% |
Where can I find one:
http://www.findacreditunion.com/
or go to Google Maps and search for “credit union”
If you’ve successfully moved your funds to a different bank – tell us where in the comments below!