Checking and savings accounts keep your money safe. With these accounts, you can keep your money in one place without worrying about theft or loss. These days, though, you have more options than just using a regular bank. That’s why a lot of people are asking about credit unions. Credit unions come with a lot of benefits, but are they as safe as the big banks? Let’s take a closer look to find out.
Credit Unions vs. Banks
Credit unions and banks work in similar ways. They both provide a place for you to keep your money safe. They also both provide services like credit and debit cards, loans, and investment help. The biggest difference between banks and credit unions comes from ownership. A bank may have just a few owners. A credit union, on the other hand, is owned by its members. That means that a credit union will always do what’s best for its members. Credit unions are also nonprofit organizations, so they usually offer better interest rates and other benefits for those who use them.
Credit Union Safety
So, how safe is your money in a credit union? Just as safe as it would be in a bank. Credit unions function in the same way that banks do. You can deposit and withdraw funds, use ATMs, and essentially spend and save your money in the same ways that you would with a bank. This also means banks and credit unions have all the same protections that banks have. They use safes, encryption, and other means of keeping your money and your information safe from harm.
One way that you can ensure your money’s safety is to look for federally insured credit unions. If you were putting your money into a bank, you could look for FDIC membership for added safety. The equivalent for credit unions is called the NCUSIF. The NCUSIF insures your funds so that you can breathe easy when you deposit your money. Both institutions insure up to $250,000 per account.
Looking for a Credit Union?
Are you looking for a credit union? Do you have more questions about credit unions and their safety? Bundlefi is here to help. With Bundlefi, you can get matched to your ideal credit union or community bank for free. We’re also here to answer any questions you may have. Ready to get started? Try Bundlefi today. We’re ready to serve you.