| How Much Can You Save With A Credit Union?
Unlike
other financial institutions, credit unions are not-for-profit
financial cooperatives. They are owned and controlled by their
members. All earnings are returned to members in the form
of higher savings rates, better services and lower borrowing
rates. The combined effect of these savings found the loyal
Georgia credit union member $226 richer in 2005!
Credit
Union vs. Bank
SHARE
DRAFT/CHECKING:
Seventy-four percent of credit unions offer free share draft/checking
accounts to all of their members regardless of balances or
the number of checks written. Only 57% of banks offer free
checking accounts. (CUNA Research Services & Datatrac/Informa).
Almost all financial
institutions that offer share draft/checking accounts charge
a nonsufficient funds fee (NSF). The average NSF fee charged
by a credit unions is $20.31 and the average NSF fee charged
by a bank is $27.04 (CUNA Research Services & Datatrac/Informa).
ATM FEES:
Roughly 70% of credit unions that allow access to ATMs owned
by other financial institutions charge a per-transaction fee.
However, 60% of those credit unions that charge a fee allow
a certain number of free transactions before imposing the
fee. On average five transactions are provided for free and
the average fee charged is only $.98. The average fee that
a bank charges a customer for using another institution’s
ATM is $1.35 (bankrate.com).
CREDIT CARDS:
Most financial institutions charge a late payment fee on their
credit card programs. The average late payment fee from a
credit union for a Classic card is $15.68. For a Gold card
it is $16.31 and $18.29 for a Platinum card. The average late
payment fee among the top 10 bank credit card issuers in the
US is $36.50 (CardWeb.com April 2004).
Many financial
institutions also charge an over the limit fee on their credit
card programs. The average over the limit fee charged by a
credit union is between $15 and $18 depending on the card
type. The average over the limit fee for the top 10 bank credit
card issuers in the US in 2003 was $29.23 (Card Data).
Source: 2004-2005 Credit Union Fees Survey from CUNA Research
& Advisory Service
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