Capital from Credit Unions
Get Capital from Credit Unions for Your Loan
Credit unions are a a type of financial organizations that are governed and owned by its members. Credit unions offer a variety of financial services to its members. These may include loans, savings and checking accounts.
Credit unions are also non-profit organizations. However, the still provide top-notch financial services to their respective members without maximizing their personal profits. In addition, these unions also participate actively with the community.
Pros and Cons of Capital from Credit Unions
There are pros and cons related to securing capital from credit unions. Be sure to consider the source of capital carefully.
Pros
Credit unions typically offer lower processing fees than conventional banks and private lenders.
As the aim of credit unions is to help the local community and entrepreneurs, it offers lower, more affordable loan interest rates.
Credit unions show commitment towards their members. Therefore, you will have ongoing support for any financial advice and better deals in the future, especially when refinancing a loan.
Cons
To get capital from a credit union, you have to be a member and pay a membership fee.
Not all cities and communities have credit unions, plus there are limited branches.
Not all credit unions are insured. Therefore, you deal with credit unions insured by the government.