According to the National Credit Union Administrations (NCUA), the city of Omaha, Nebraska, has constantly exhibited strong annual growth in terms of its net worth, loans, and shares. Its net credit has a steady growth of 6-6.5% since 2012, and it has shown no sign of decreasing. As such, becoming a member of a local credit union in Omaha can be financially rewarding. But only if you’re thinking of diversifying your investment options. Are you on the lookout for the best credit union in Omaha? This guide will help you make an informed decision when transacting with this kind of financial institution:
What is a credit union?
A credit union is a member-owned cooperative organization that accepts deposits and processes loans to make its money grow. The idea is that one member’s investment can become a member’s loan. It is a safe alternative for bank savings because it offers higher interest rates for its members. The money that it earns also goes back to its constituents in the form of reduced fees and lower loan rates. As such, there is a lot to gain and nothing to lose if you invest in one.
Types of credit unions
Typically, there are two types of credit unions. The first one is a federally-chartered credit union that is regulated by NCUA. It was started in 1970 by the US Congress and had been serving the interest of its members since then. Generally, it is safer to invest in this kind of credit union because it is vouched by the National Credit Union Share Insurance Fund. And supported by the United States government. You can easily know that the credit union you are interested in is federally-insured by looking for the logo of NCUA on its office or online page.
The second kind is those owned by private institutions. Privately-owned credit unions typically offer a higher interest rate for savings, but they are not as stable as government-insured credit unions.
Non-negotiables when looking for a credit union
When researching for the best credit union in Omaha, your first consideration should be the variety of services it offers. Find an organization that allows credit cards, IRA, and mortgages loans. Having these diverse financial services is an indication that the union has many possible sources of income and can grow your money quickly.
It is best if you also looked for a credit union that waives some fees so that you can get more savings. According to the Credit Union National Association, 70% of federally-insured credit unions offer a debit card service without fee, and 80% provides free checking.
Finally, pick a credit union that is geographically accessible and has many interbank system connections.
How to join?
Anyone can be a part of a credit union cooperative as long as he is in the field of the organization’s membership. Most credit unions are connected to schools and small businesses. There are also credit unions that approve membership as long as the person lives within the required geographic limit.
Most credit unions in Omaha can process applications online. All you have to do is provide scanned copies of your government-issued ID, Social Security Card, and billing statement.
As a member of a credit union there are many perks. If you have extra cash with you or plan to get a loan in the future. Investing in a credit union is a rewarding financial decision. Check out the credit unions in Omaha and see which one is best suited for your needs.