Credit Union & Building Society Credit Cards

Credit unions and building societies were created so that every customer would have a great alternative for the products offered by banks and come as a major improvement to the overall financial system.

Therefore, if you decide to become a member of such a financial institution, you will be provided with a great number of benefits you never dreamed of. Therefore, reading the following lines is totally recommended, because they will help you have a clearer view about the entire process and how this kind of institution will help you out.

Reasons For Applying

One of the most popular reasons why most of the people decide to apply for membership for a credit union or building society is related to the absolutely customised pricing scheme. This is because the leaders of these financial institutions do not have any pressure that could force them to maximise the level of profit and therefore, their main focus is on the actual members, which are basically considered the owners of the company.

This is very important because a great consequence is that the prices that come with the financial products distributed by credit unions and building societies is calculated in such a way that every member can afford paying back for every single dollar borrowed. Furthermore, 4.5 million people have already decided to take this kind of action and never regretted it. If you want to be one of them, you should know that this is one of the greatest decisions you will ever make.

More About Mutual Institutions

Credit unions and building societies are also known under the name of mutuals and all of them function under the same regulations as a normal bank. As a consequence, you will never have to worry about the safety of your funds deposited at such an institution, because every one of them requires a great number of documents and licenses in order to start their financial activity.

Furthermore, any deposit is supervised by the Federal Government, provided that the total amount does not go over $1 million. All these institution provide very similar services to the ones offered by banks and therefore, you will most definitely want to consider this option before making a comparison of the most important products you are able to find on the market and before deciding which one is best for you in terms of the compatibility with your budget and not only.

From home loans to credit and debit card products, everything will be more accessible to every member, provided that you meet some very basic conditions. Because of this, you should always make sure that you consider applying for this kind of institution because you will never regret becoming a member. The rates will be more accessible for you and you will also feel a particular sense of belonging by becoming part of an important community.

Are The Financial Activities Supervised?

What is even more important is the fact that every single credit union and building society is functioning under the close supervision of some of the most important national authorities and the rules applied to it are the same ones that are included into the policy of every single bank in the country. Because of this, you will no longer need to worry about the safety of your funds when it comes to making a deposit with such a financial institution.

Not only will they require a license in order to begin their activity, but there will also be the need of a FSL membership, so that everything will work as expected, being supervised by financial authorities. This is very important for you as a member and you will always enjoy the advantages offered to you by this kind of situation.

How Is The Community Helped?

First of all, you should know that because of the creation of building societies and credit unions, the Australian financial market is currently being regarded as one of the most powerful and successful ones in the entire world. One of the main reasons for this is that a great number of customers facing severe financial difficulties were helped to overcome them and become what they actually are now in terms of their finances.

And you can also enjoy the same treatment if you find yourself in a very unpleasant situation. Getting in touch with representatives of a mutual will also help you mainly because you will be provided with some very useful advice about which financial product would be best for you and you will also be offered some of the most competitive rates available on the market. As a consequence, if you ever get the chance of applying for membership for a credit union or building society, never hesitate to do so because you will definitely not regret this movement.

Next, also in terms of the help provided to the local communities, you will also be happy to know that there are a great number of partnerships between some of the most important communities spread all over the country. Most of them demonstrate a strong engagement spirit in all of the financial activities and care for all the members.

The most important products offered are undoubtedly the ones included into the No Interest Loan Scheme, which, as the name suggests, provide all members with financial products that come with no or very low interest level applied to their accounts. In this way, everybody will be able to use the financial products wisely and will afford to pay for every single dollar borrowed at the same time.

More Community Support Partnerships

One of the most important features a credit union or building society has to offer is related to the grants distributed to the members that aim at helping financially disadvantaged families overcome most of their difficulties and be able to become part of their local community again. Furthermore, there will always be psychological help for all of the members who find themselves in such a situation. Therefore, if you and your family are struggling with some serious problems related to your finances, do not hesitate to apply for membership to a mutual, because it will not do you any harm.

What is more, you should also be aware of the credit union which provides a large number of job opportunities for indigenous employers, working in some key-point communities with people encountering serious financial issues. It has been proved that eventually these people’s economical problems will be solved and their lifestyles had will have changed considerably.

Also, there are a great number of loan programs that offer some convenient interest rates for their clients. Even for the financially disadvantaged customers who wish to apply to the loan programs there are various offers that do not imply the payment of any interest. These are great advantages that target the entire population, regardless of their financial situation, supporting them in achieving their lifetime dreams and goals until the end.

Lastly, you will be given the amazing opportunity to take part in various environmental projects or sponsorship deals designed by the community. Taking into account all these great opportunities, you should think no more and register now as a member at either a credit union or building society.

A Look Back In Time

The majority of the popular financial institutions are extremely proud of their rich background that brought them fame and a great deal of customers among the Australian community. Their initial purpose when appearing over a century ago was to help Australians that did not have such a strong financial background develop and reach their goals and plans. It seems that this tradition has been kept alive because people still rely on credit unions and building societies for support programs.

Nowadays, increasingly more people are offered membership at institutions of this kind, showing that their level of accessibility has increased. If you are looking to find out the necessary steps in order to enrol in such companies, you will find out everything you need to know in the following lines.

Firstly, the initial societies were built in Australia, way back in the 1850s since the number of people facing financial difficulties was extremely large back there. Twenty years later, the oldest surviving building society was established in Tasmania. This is known nowadays under the name of Launceston Equitable Building and Investment Society. The initial purpose of this building was to support the housing finance system of the society.

Credit unions are a relatively new concept, introduced to the Australians in 1946. The “mastermind” behind all this was Kevin Yates, who massively contributed in the establishment of the first Australian credit union, in October, the year previously mentioned. Five years later no less than fifty new credit unions were built as a proof that the first one enjoyed great success. In 1970 the number of credit unions and building societies was no less than 178. Consequently, they required a council in order to support the international movement. An instance of this king was established in 1971 and had the name of World Council of Credit Unions.

These institutions developed a number of important events in the same year, but on other continents as well, especially in the south-eastern part of Asia and the south of the Pacific, encountering support from a large number of Australian local communities. A few years later, in 1977 to be specific, a 24-hours ATM was installed in an Australian outlet for the first time. This rapidly gained popularity among the community, being regarded as a sign of evolution in the industry.

In 1981 the first EFTPOS facility operated by a credit union in Australia was born. In 1983, one of the most innovative ATM networks was set in order to support credit union member with consulting and performing various operations on their accounts in a various number of locations.

The more recent history of the industry began in the year 1995, together with the birth of the CreditCare program, regarding Australian bank closures because of the popularity of face to face services on the whole territory of the country. As a consequence, in 1999, the building societies and credit unions from Australia were given the same status as banks, thus they were able to start working under the same law and conditions.

In 2006, a new association was established by the Credit Union Industry Association and the Australian Association of Permanent Building Societies. This partnership between the two gurus of the industry was a great asset added to the way banking system operated.

Credit Unions And Building Societies versus Banks

You should be aware of the fact that there is a huge difference between credit unions and building societies comparing to banks. The former two have a large palette of choices when it comes to services and financial plans, in comparison with what the banks actually have on offer. Actually, you should really ask yourself why shouldn’t you become a member of such societies considering the immense number of opportunities they offer and the rich historical background they have?

The first thing you should take into account and the one they are most famous for is that they are mutuals. This actually means that their number one purpose is to improve their services and products based on the customers’ needs and goals, rather than focusing on gaining profit out of this business. That is why you should choose these types of societies over banks, because the latter one is only looking for means to improve their financial background from their customers’ enrolment.

Due to the fact that credit unions and building societies lack any pressure for making money and profit, they concentrate their current resources on designing attractive and supporting plans for their customers, such as better rates and lower interests. By selflessly putting their customers on the first place and combined with the high quality of the services and products they provide, these societies make the perfect choice if you are looking for a  way to  wisely manage and increase your funds.

Safety And Security

When it comes to enrolling to credit unions or building societies, you should know that there isn’t a difference between their regulations and those imposed by usual banks. No additional restrictions or contract clauses that will give you a surprise later on.

Actually, when it comes to security, you will feel a lot more advantaged by choosing one of these societies over a bank, mainly because there is no direct exposure to any of the sub-prime loans distributed in the United States. Moreover, the base for all current funds is extremely solid, enabling you to have the security and safety you have always wanted. This is ensured by the minimum exposure to the wholesale markets and all the disadvantages they imply.

Savings

Due to the extremely flexible and accessible services these societies provide, by being one of their customers you will notice that, in the long run, you will start saving some serious money and maybe implement some old plans and dreams you’ve had.

Firstly, the rates and fees the societies’ programs offer are very permissive and easy to deal with. You will have the guarantee that repayments will be your last worry. What is more, according to financial surveys, building societies and credit unions currently have the lowest fees on the market.

Secondly, no matter what query you have or even if you just want to find out more about a specific type of service or product, you can always rely on certain websites such as InfoChoice or Rate City and they will provide you with any information you need, including advice in choosing the ideal mutual, with the best offers available on the market to suit both your needs and plans.

The Quality Of Services

Another very important reason why more and more people decide to use the services provided by a credit union or a building society is the fact that in terms of quality, nobody will ever be disappointed. This is because of the fact that representatives of such financial institutions have always shown great care for their customers and were very prompt when it comes to responding for their financial needs.

Because of this, the results appeared immediately and people showed a great level of satisfaction for the features offered to them. A concrete proof is the recent Customer Satisfaction Survey, which was conducted by Roy Morgan, which involved a great number of people from all over the country. The topic of this survey was the level of satisfaction for the customers with respect to the financial services they are provided with.

And the results were not surprising at all. While the most important banks only managed to score about 73.9% level of satisfaction on average, mutuals are ranked a lot better. Customers of building societies were 88.4% satisfied with the quality of the services provided to them, while 87% of credit unions members showed their appreciation for the company they collaborate to in this matter.

Therefore, this is yet another important proof for the fact that banks often forget about focusing on the actual needs of the customers and their main intention is related to maximising their level of profit. Therefore, you should avoid signing with banks as much as possible if you do not want to get tricked.

Even More Information About The Products Available

Whenever you decide to apply for membership for a credit union or a building society, you should know that there will be a great number of features and products applicable to your financial situation, which you will most definitely enjoy using. However, there are a great number of aspects which you will need to take into consideration and should not be ignored if you want to take full advantage of the entire situation.

First of all, you will be able to make your product a personalised one and opt for the type of interest rate you prefer. Regardless of whether you want to have a fixed rate applied to your account or a variable one, there will always be something for you which will provide you with some very important advantages in terms of your finances.

The purpose of your membership is also an important one and you should always consider it before deciding upon the ideal program for you. For example, if flexibility is what you are looking for, then you should probably try to save as much as possible. And this is no longer a problem if you become a member of a credit union or a building society, because regardless of the program you apply for, you will also be provided with the amazing opportunity to save some serious money in the long run.

For example, according to recent studies, every member that applied for a home loan was able to save up to $30,000 for the entire duration of the program. Therefore, you will no longer need to worry about figuring out some extra ways of saving some money for other financial purposes, because this will automatically be possible as long as you choose the perfect financial institution for you.

Why Should You Avoid Banks?

As for the banks, such financial institutions will never provide you with an amazing opportunity like this one, mainly because their main focus is on maximising the level of profit. This is mainly because of the pressure for paying their shareholders. In this way, regardless of the fame or place in rakings, a bank will not be able to treat you as a valuable customer in all of the situations and focus on your financial needs and requirements for this very simple reason.

Therefore, if you have the chance to become part of a building society or a credit union, this is something you should really do, since banks should be avoided as much as possible.

What Should You Choose?

Regardless of your financial needs and goals for the future, there will always be something for you as a member of a mutual. For example, you will be able to opt for a transaction or savings account with very competitive rates applied to your account. This is another way of saving some very serious money and should never be ignored because of this. No matter what you choose for you, you will also be able to use every machine that is part of the ATM network spread all over the country. Their number is very impressive and has recently reached thousands.

Furthermore, you will also be provided with the amazing opportunity of investing into a term deposit program and make your financial situation even better. Because of the accessible fees and level of interest that will be part of your account, you will always enjoy using. And, on top of all, there will be a great number of loans to choose from, which will enable you to see some of the most impressive results with the smallest effort and in the shortest time possible.

On the other hand, you should be really careful when it comes to the type of loan that is ideal for you and your budget. This is mainly because when you decide to apply for a secured loan, the security will be represented by your goods. For example, if you are the owner of a car loan product and you fail to pay for everything you borrow on time or meet other terms and conditions printed on your contract, representatives of your lender will always have the legal right to seize your vehicle because this will be part of your understanding.

Next, most of the credit unions and building societies will also prepare some very attractive credit and debit card programs. One of the most important advantage of such programs is related to the fact that you will have full access to your funds whenever you travel, regardless of your destination, because the card you will be provided with will always be manufactured by one of the most important producers in the financial industry and as a consequence you will have it accepted in a great number of locations all over the world.

In addition to this, in most of the situations there will always be a complementary insurance service included into your account, because mutuals focus on the importance of the members and will always do everything possible to increase their overall experience with the financial programs they own, as well as their comfort. Because of this, you will no longer have to worry about the possible situations when you will require medical services during your trip or about becoming the victim or a robbery or an accident, since you will be provided with a full refund whenever something bad happens.

Last but not least, you will also have the great chance to benefit from programs designed for owners of business, regardless of the size of the company. Therefore, if you are a member of a credit union or a building society you should be completely aware of this aspect and get in touch with representatives of that specific institution in order to find our even more, because this opportunity should never be ignored. And this is not all. The rate applied to your account will always be a customised one and because of the fact that the focus is on improving the financial situation of the members, everyone will be able to afford paying for the fees associated with the accounts managed by mutuals.

More Safety Issues

As you already know at this point, the regulations that apply to credit unions and building societies are the same with the ones related to banks. Therefore, you will never have to worry about the safety of your funds, because no mutual is able to have a certain financial activity without the necessary documents and without respecting the strict regulations imposed to them.

And this is not all. Because of the fact that representatives of credit unions and building societies care about the clients very much, you will always be able to report any suspicious actions related to your account and someone will get back to you in the shortest time possible. Furthermore, representatives of the bank will do everything possible to help you solve the problem and get your financial situation right on track.

Ways Of Saving Money

Whenever you decide to become a member of a building society or a credit union, you should most definitely be aware of the numerous ways of saving some important money that could be used for other financial purposes of yours. For example, some of the recent statistics and surveys conducted on people from all over the country indicated that every single member of a mutual managed to save a very important amount with home loans, with some of them being able to have extra $30,000 for using.

As a consequence, you should know that in most of the situations you should do everything possible to avoid signing for a financial product distributed by a bank, since in this way you will put yourself to a great risk, because of the great number of tricks that might apply to your situation. This is because every single bank has to focus on maximising the profits in order to be able to pay the shareholders and it is very common for them to forget about you and your financial needs because of this.

On the other hand, with a credit union or a building society, the leaders of such financial institutions regard every member as the owner of the company and therefore, there will be a great number of advantages made available for you. This is because the main focus of such companies is on the client himself and on figuring out numerous ways of helping financially disadvantaged people who are struggling with some serious problems related to their finances.

Over the years, a great number of families were provided with the necessary help and managed to avoid suffering from some very unpleasant consequences. In addition to this, most of such members managed to get themselves back on track and some of them achieved financial success only because of the help provided to them by the credit union or building society they were part of.

For all these reasons, you should try to avoid banks as much as possible and become a member of a mutual. This is because you never know what might happen in the future and the customised services made available by such financial institutions might come in handy for you in a great number of situations. Therefore, whenever you have the opportunity to become part of a credit union or a building society, you should take action and apply right away. You will never regret it!