Bank Accounts - Why go to the Banks anymore when

Bank Accounts - Why go to the Banks anymore when the Credit Unions are Open to All?

If you are looking for a bank account that deals with you more fairly, that gives you a credit card that doesn't do things to your pocketbook behind your back, that makes car loans and home loans possible that don't leave you poorer than you once were, there's a good chance that there is a credit union out there for you. So far, not every credit union has open to every person. Certainly, bank accounts with credit unions are wonderful; but look at the very name of the place - a union is kind of exclusive - they need you to become a member, and they don't always publish information about their criteria.

All that is beginning to change now; some of the biggest credit unions out there are beginning to open their doors to one and all - for bank accounts, for financial services, for home loans. And regular banks, that must deal with bigger overheads, with income taxes and such, find themselves in an unequal battle with credit unions that are nonprofit, and have a much easier time with the tax authorities. So the rich banks have a tough situation on their hands; you the consumer though, have nothing to do but to celebrate.

How is it that credit unions began to get those tax breaks from the government in the first place that they are able to pass on to you in the form of fair-priced bank accounts and credit cards? They started out as a kind of social service; in the beginning they were the only place you could go to for regular bank accounts when the high street banks wouldn't touch you because you were too poor, didn't have a job, or anything else. If there is anyone today that offers better rates on credit cards and bank accounts it's the online banks. So how do you become a member at a credit union? Usually, the credit union needs some kind of a common bond requirement for new members. It could be that you work for the same industry, the same employer , or come from a certain part of the country. All you need to do to qualify is to live in a certain part of the country; that's a pretty large customer base credit unions have right there.

Since there is a credit union for every part of the country, in effect, just about everyone is eligible for credit union bank accounts and credit cards. For instance, the Pentagon Federal Credit Union has the requirement that you need to be a former or serving member of the nation's defense institutions to be able to join. There's a little loophole there that you can take advantage of though - for $20, you can turn into a defense services member just like that. Today, the PenFed admits that most of its nearly 50,000 members could be of the $20 kind. And they all are eligible for benefits - like its great credit card program with the Visa Platinum Cash Back Rewards card. What exactly is the common bond that unites all these $20 members? It could be nothing more lofty than a craving for favorable bank accounts and credit cards.

So there you have it; today anyone, absolutely anyone is eligible to join a credit union. There is no reason on earth to take extortionate rates on credit cards and bank accounts anymore that the regular banks charge. The party might not be open to all comers for much longer though; but as long as it is, who are we to complain?