How to Make the Transition Between Financial Institutions
In the wake of the recent global financial collapse, many people are making the switch from banks to credit unions. Banks are for-profit institutions that have to balance obligations to their clients and shareholders, whereas credit unions are nonprofit institutions that are owned by members. Here are a few tips to help you ease the transition from bank to credit union:
Find a Good Alternative
When switching between financial institutions, it’s always a good idea to look before you leap. Credit unions often only accept members who live or work in a specific place; for example, GCS Credit Union accepts members who live, work, or attend school in one of 10 Illinois counties. Make sure you’re eligible to join your credit union of choice before you take money out of your bank.
Explore Rates and Services
When choosing a credit union , decide which banking services you really need and look for an institution that offers those services. Some of the most convenient and important services include direct deposit and online banking. You might also ask about the credit union’s rates for money market accounts, IRAs, and loans, then compare those rates with your bank.
Ask for a Switch Kit
A credit union should make it easy to switch with a pre-made “switch kit.” A switch kit is a packet that includes all the appropriate paperwork, plus some tips on how to make the switch as smooth as possible. After you move your funds, direct deposits, automatic payments, and close your old account, you’ll be ready to enjoy banking with your new credit union. You’ll find that your credit union has a much more community-friendly feel than your old bank.
When you’re ready to make the switch, call GCS Credit Union of O’Fallon at (618) 797-7993. We are a member-owned, not-for-profit cooperative that focuses solely on our members’ needs. Visit our website to find out how switching to GCS Credit Union can benefit you.