A legislative bill in Congress may allow credit unions to engage in more small business lending, and any consideration of a financial institution change will be a different experience. A few tips are below for a brief comparison analysis of bank to crest union.
As a former financial services executive, a diverse professional experience did include exposure to both commercial banks and credit unions. The diverse exposure to both industries does provide insight to the internal differences of technology and organizational structure when transferring a banking relationship. Consumers are exposed to many opinions about the best choice of institution to house a banking relationship, and opinion is irrelevant(i.e. my opinion) when information is a better tool to insure “a change will do you good.
Therefore, the following five tips should be explored in a comparison analysis of your current bank and a potential new bank or credit union.
1) Direct Deposit Access and/or Funds Availability: Consumer Payroll or Social Security is currently sent as a Direct Deposit to current financial institution. When are funds available? When are funds accessible if payday is a Saturday? My bank does not credit direct deposit of funds until 8am on the scheduled pay date.
2) Debit Card Daily cash withdraw limit and purchase limits- Do you purchase large items on a debit card or require access to cash via the ATM? This limit is a daily limit beginning at midnight of current calendar date and concludes at midnight. The standard limits for cash and Visa debit card purchases are $500/$1500 respectively. This limit is dependent on the financial institutions insurance agreement with Visa to insure coverage for losses and the relationship with the financial insitution
3)Automated Drafts and Payments- Bank Transfer Assistance or Switch Kits- A new bank or credit union is wanting new business or client penetration into the marketplace that they will offer to assist in the seamless transfer of automated payments and drafts to be new bank account or provide a switch kit for local information on power, gas, telephone, and cable companies to expedite a change in automated draft payments to the new account.
3) Non-Traditional Bank Services-Automated Services and Access- Online banking platforms, ATM accessibility, Visa Debit card customer service, Checking account automated information and call center assistance.
4) Traditional Brick and Mortar Branch Services and Access
5)Reality Factor – Evaluate Current Services and Credit union services. Who talks the talk and walks the walk.