How To Manage Money Better With a Credit Union

Woman putting a coin to her piggy bank

Being a credit union member can be a wise choice if you plan to manage your finances better. Credit unions are not-for-profit organizations that operate to serve their members, not shareholders, so they’re committed to your financial growth and success.

Any profits in credit unions are funneled back to give members more benefits, like low fees and high rates of returns. Plus, they provide savings plans and online tools to help you achieve your financial goals. Here are some tips on how to manage money better with a credit union:

  • Maximize your savings with higher interest rates.

    Credit unions typically give higher interest rates on savings accounts and certificates of deposit (CDs) than traditional banks. You can leverage these accounts to maximize your savings. While doing so won’t get you rich instantly, it will help your money grow steadily over time, which can assist you in long-term financial goals like a retirement fund. Rest assured that funds in credit unions are insured up to $250,000.

  • Explore the wide range of savings programs available.

    Many credit unions offer a range of specialized savings programs to suit unique financial objectives. Examples include holiday accounts that ensure you don’t spend the funds before Christmas and health savings accounts, which provide tax benefits for certain medical expenses. Check out these options and take advantage of the ones that meet your needs.

  • Open a checking account.

    A checking account is designed for managing daily expenses. The advantage of opening one in a credit union is that they offer lower fees than traditional banks on transactions, including bill payments and ATM withdrawals. This can help you save money over time.  

  • Set up automatic transfers.

    Opening a separate credit union savings account from a checking one is crucial. Doing so will allow you to stick to your budget and keep your savings untouched. Set up automatic transfers from your checking to your savings account every month to streamline the saving process.

  • Take advantage of the low-interest lending options.

    Some loans are unavoidable, like mortgages, car loans, and emergency expenses. Credit unions typically offer lower interest rates and more flexible terms than banks for their lending options. So, you can incur smaller monthly payments and clear your debt faster if you choose them. Remember to research and compare loan terms to find the most favorable option for your financial situation.

  • Utilize online and mobile banking tools.

    Many credit unions provide online and mobile banking tools to track spending, create budgets, set savings goals, and monitor progress. You can use these tools to gain insights into your financial habits and make informed decisions to boost your financial health.

Join Sharefax Credit Union

At Sharefax Credit Union, we serve over 33,000 members in the Cincinnati area. Our aim is to improve our member’s financial well-being, so we offer low fees, competitive rates, and other benefits. Apply now, and let’s achieve your financial goals!