Recent studies have shown that a credit union family of four saves over $300 a year by using their credit union instead of a bank or other for-profit financial institution!
Banks Enjoy Record Profits In the first quarter of 2006, total for-profit bank profits in the U.S. were a staggering $37.3 billion dollars. By contrast, the largest oil companies (ExxonMobile, Shell, ConocoPhillips, ChevronTexaco and BP) earned just under $28 billion. Banks are the most profitable industry in America outpacing even the pharmecutical and software industries.
Comparison of Fees at a Bank vs. a Credit Union Credit unions charge lower fees than banks on checking accounts and credit cards. For example: For minimum balances, the average credit union requires $446 to avoid a monthly fee; banks require $537. For interest checking, the average credit union charges $2.05; banks average $7.42. For regular checking, the average credit union charges $4.28; banks average $6.72. For late credit payments, the average credit union charges $7.88; banks average $27.45.
"Credit unions are not-for-profit consumer cooperatives," explains Stephen Brobeck, executive director of the Consumer Federation of America. "They're only charging fees to cover the costs that they incur." On the other hand, he says, "banks are charging the highest fees that the market will permit."
This data is based on research by the Consumer Federation of America (CFA) and the Credit Union National Association (CUNA). CFA is a non-profit association of more than 260 consumer groups that seeks to advance the consumer interest through advocacy and education. CUNA, with a network of credit union leagues in all 50 states, serves nearly 11,000 not-for-profit credit unions owned by 78 million Americans from all walks of life.
