Credit Union Myths Debunked + Perks of KCCU Membership!
Managing money wisely makes a huge difference in a household’s well-being, security, and peace of mind. All of these areas play a big part when evaluating credit unions vs. banks, and which to choose. Each type of financial institution provides basic and essential financial services, but what sets them apart are the differences in benefits they provide, in the structure of each organization, and in their very different missions.
Kansas City Credit Union offers the advantages of a credit union while also making banking easy, accessible, and rewarding for its members. So, let’s separate fact from fiction and clarify the benefits that credit unions – especially KCCU – provide their members and their families.
True or False: Credit Unions and Banks Are the Same Thing.
False!
Banks and credit unions both provide basic financial products and services like savings and checking accounts, loans, and online banking, but their fundamental structures are very different. Namely, banks are for-profit institutions, and as such, their purpose is to generate profit for their shareholders. Credit unions, on the other hand, are not-for-profit financial cooperatives that return earnings to their members, meaning they can offer lower interest on loans, fewer and lower fees, and greater returns on savings and investments.
Simply stated, KCCU members aren’t just customers. They are owners with a say in decision-making, so their financial well-being – not stakeholder profits – is Kansas City Credit Union’s top priority!
True or False: It’s Hard to Join a Credit Union.
False!
Many people assume that there are strict requirements to join a credit union, but it’s actually quite simple, and easy to join! Membership in the Kansas City Credit Union is open to anyone who meets certain eligibility criteria, such as living, working, or worshiping in Jackson, Cass, or Clay counties in Missouri. Once someone qualifies and joins, family members are also eligible. Making membership even more accessible: employees of The City of Kansas City, Missouri, University Healthcare (formerly Truman Medical Center), the KCATA (The Metro), Prier Products Inc., and A.B. May Heating & AC are all eligible to join – no matter where they live!
True or False: Credit Unions Offer Better Loan Rates Than Banks.
True!
On average, credit unions provide lower interest rates on personal loans, cars, homes, motorcycles, and RVs compared to banks. That’s because as a not-for-profit financial cooperative, KCCU is able to pass savings on directly to members, making major, life-changing purchases more affordable. Click to check current loan rates.
True or False: Credit Union Don’t Have Many Branches or ATMs
False!
KCCU is part of the CO-OP Shared Branch and ATM network, giving members access to over 100 shared branches and free ATMs throughout the Kansas City metro area. Nationwide, the network expands to more than 6,000 branches and 30,000 ATMs across all 50 states. That means KCCU members can access their money wherever they go, often without the high fees associated with major banks and their ATMs.
True or False: Credit Unions Are Behind on Technology.
False!
KCCU is committed to staying on the cutting edge of financial technology. The KCCU mobile app is available for both Android and iPhone, so members can manage accounts anytime, anywhere. Just like the “big banks,” the app allows members to deposit checks, pay bills, transfer money, and make direct payments to other people and businesses. Online banking is also available 24/7, ensuring that managing finances is both easy and secure.
True or False: Your Money Is Safer at a Bank Than at a Credit Union.
False!
Credit unions offer the same level of deposit protection as banks. KCCU member accounts are insured up to $250,000 by the National Credit Union Administration (NCUA), just as banks are insured by the FDIC, meaning that members’ money is safe and protected, no matter where or how they choose to bank.
True or False: Credit Unions Provide More Benefits to Their Members Than Banks Do Their Customers.
True!
First, credit unions have members, while banks merely have customers. So, unlike banks, credit unions focus on their members’ financial well-being. At KCCU, members enjoy:
- No minimum balance on checking accounts
- Free debit and credit cards with no annual fees
- Personalized financial guidance and support
- Plus, much more!
Now You Know Fact from Fiction…
The differences – and the advantages – of managing one’s money through a bank or credit union are clear. KCCU offers members all the convenience and services they might expect from a large financial organization, but with a real sense of community, a larger sense of purpose, and a deeply personal commitment to their financial well-being.
Interested in becoming a Kansas City Credit Union Member? Drop by one of our local branches or start your application online today!
