This week’s reason came straight from a credit union member and one of my favorite humanoid’s Chuck Teegarden. Chuck loves the personal service that a credit union offers and submitted my post for the week. Enjoy

Where Everybody Knows Your Name

Many people perceive a real value in a financial institution that knows your name, after having asked you what you like to be called.  Imagine a 59 year old man who has the given name of Charles, but goes by Chuck to his friends and Mr. Teegarden everyone else.  The 25 year old teller assumes he should call him Charles because that is what it says on the account.  So every transaction starts off on a sour note because the customer has to be tortured by a name he doesn’t use.  Chuck doesn’t want to take the time to correct the teller, because as a customer, he has no incentive to bond with this young person.  Additionally, every time Chuck goes in to make a deposit, he is told he could use the ATM for that and Chuck really hates the ATM.  Like most customers, Chuck wants someone to remember his financial likes and dislikes. 

Credit unions are famous for really knowing their customers.  Chuck in fact told me that the same teller he went to for many years at a credit union in another state, actually would have his data pulled up on her screen between the time he walked in the front door and got to the counter.  This made Chuck feel important and he would tell everyone, (and believe me, his is loud and knows a ton of people) that they should become a customer of this wonderful place.

Credit Unions are regulated differently than banks, so they have more of an ability to promote better rates and enhanced customer service.  Credit Unions are non-profits.  While they strive to maintain high levels of assets, they are not paying stockholders.  They have more incentive to invest in the communities they serve and feel a higher level of accountability in that regard compared to most financial institutions.  Credit Unions fund a variety of educational opportunities for consumers and small businesses and maintain a presence at chambers of commerce, local colleges, and non-profits. 

Credit Unions are able to more seamlessly integrate your personal and business financial systems than banks.  Credit Unions are actually loaning money these days to small businesses and start-ups.  Oftentimes, a couple will have one person with a regular job and the other with the business.  Credit Unions see the “big picture,” of how these relationships are positive and add the likelihood that loans are more likely to be paid.

Written by Chuck Teegarden