2020 Reflections

As we approach 2021, it’s normal to spend time reflecting on the past. This time last year, we were excited to begin a new decade, and as a credit union, we were looking forward to celebrating our 85th anniversary. Unfortunately, things didn’t quite work out the way any of us had hoped.

When we take things into perspective, 2020 wasn’t all bad. Most people were able to spend more time at home with their families. There was less stress commuting to an office, which positively impacted the environment, and who can forget all of the home baking and streaming binges? Some of the most promising news of the year is that there are COVID vaccines soon to be available to all. While we may not see mass inoculations until spring or summer of 2021, I am breathing a sigh of relief knowing that help is on the way.

We have spent the last nine months watching in awe as our nation’s medical personnel, first responders, and essential employees literally put their lives on the line to help others. Having worked for the last ten years in an industry whose motto is, “People helping people,” this is something I truly appreciate.

As one of the first credit unions chartered, we have had the opportunity to help a lot of people. If you’re reading this, there is a good chance that we have helped YOU before. But how much do you really know about us? Pop quiz!

The CU Difference

There are two parts of what we call “The CU Difference.” The first is the difference between a credit union and a bank. You might think that they are the same, but nothing could be further from the truth. Sure, we both offer savings and loan products, but comparing them is like comparing apples to oranges. Banks operate for a profit. This means that they are always looking for ways to hold onto your money. They earn profits by charging those infamous bank fees. You know the ones I’m talking about – monthly service fees and minimum balance fees. There are more, of course, but when bank customers talk about their fees, those are the two they usually refer to. The profits don’t stop there. Banks charge higher interest rates on their loan products while paying less in interest for their savings products, and you can probably forget about earning any interest on a checking account. When you are banking with a big bank, profits always come before the customer. Not only that but if you need to speak to a live person, you can expect to be kept on hold for an hour or more without batting an eye.

At a credit union, however, you’ll find that we are not-for-profit financial cooperatives. That means that we don’t keep profits. Instead, we turn it back over to our members - notice we don’t say ‘customers’. If it’s a loan you are looking for, you will find that our interest rates are significantly less than banks or finance companies. Credit unions cannot legally charge more than 18% APR on loans, so the days of paying up to 29% APR are over (assuming you choose your credit union as your lender instead of the other guys). Plus, even if we could charge more interest, that’s not what we are all about. A credit union takes a “member first” perspective to lending, which means we are making decisions that are in your best interests, and we consider more than just the numbers on a credit report. Banks are simply unable to offer the flexibility that credit unions can when serving our members. The bottom line is that a credit union is willing and able to consider the diverse financial needs of a population. A bank can’t compete.

The second part of “The CU Difference” is the difference between credit unions themselves. Not all credit unions are created equally. In fact, from an operational standpoint, credit unions cannot be equal. Each one has its own charter and a unique field of membership. Sometimes those do overlap, but that doesn’t mean they are identical. For instance, our charter identifies our field of membership as active and retired federal employees, members of our select employee groups, and residents of (or those who work, worship, or attend school in) King George County, Virginia. That means that in order to be eligible for membership you must meet one of those requirements, or be sponsored as a qualifying family member of someone who is eligible. Of course, you could always join the InFirst Responders Foundation, our 501(c)(3) nonprofit organization that we created to support our nation’s first responders with grants for equipment, training, resources, and causes.

Standout products and services

Call me partial, but I know that our line of products is far superior to anything else out there. We have an Ultimate Checking and savings accounts that continue to pay dividends, even during an economic crisis, mortgage rates at rock-bottom lows, competitive auto loan rates for new and used cars, and our shining star, the VISA Rewards Credit Card that earns Rewards Points on every single purchase.

*Bonus Tip* This credit card is seriously impressive, guys. We didn’t pick and choose features, we bundled them all up into one fantastic card. That means a low, fixed-rate card that earns points on EVERY purchase without the hassle of paying an annual fee. Interested in making the switch? You won’t find any balance transfer fees hidden in the fine print. You can learn more here. Okay, back to the post. J

If you think you can’t bank with a credit union because we can’t keep up with the banks, think again. Our credit union has all of the tech you crave (mobile banking, mobile deposit, and E-Wallet – to name a few) and the traditional service you would have expected from 85 years ago. In fact, you might say we were designed (and prepared) for all of the hurdles that 2020 brought us.

Since 2020 has been so challenging, we have upped the ante. Give the gift that keeps on giving. Now through the end of 2020, refer your friends or family for membership with us and we’ll reward you with a $50 deposit into your account. Don’t forget to send me an email to let me know who you referred!

Krista Kyte is a personal finance blogger and personal banker with over 18 years of experience in the financial industry. Krista is passionate about helping our members understand their financial situations. She writes tips that will help consumers reach and maintain financial security, and start living the life they’ve always wanted.