Many individuals are re-evaluating their relationship with big banks in today's financial landscape. They are seeking alternatives that better align with their values and financial goals. One popular substitute gaining traction is local credit unions. Credit unions, such as Spirit Financial, offer a community-focused approach to banking. They often provide better rates, lower fees, value-added services, and a more personalized banking experience. If you're considering breaking up with your big bank and switching to a credit union, here's a step-by-step guide to help you navigate the process smoothly.

10 Steps to Make the Switch to a Credit Union

1. Evaluate Your Current Banking Relationship: Take a closer look at your current banking situation. Are you paying high fees for basic services? Do you want a better level of customer service? Assessing your current financial needs and banking disappointments will help you determine if switching to a credit union is right for you.

2. Research Credit Unions in Your Area: Explore the credit unions available in your area. You can use online resources, such as the National Credit Union Administration's (NCUA) Credit Union Locator, to find credit unions near you. When researching potential credit union options, consider factors such as membership requirements, services offered, and member benefits.

3. Membership Eligibility: Unlike big banks, credit unions have membership requirements based on factors such as location, employer, or affiliation with specific organizations. Determine if you meet the eligibility guidelines for membership at the credit unions you're interested in joining. Some credit unions have broad membership criteria, while others may have more specific requirements. As one example, Spirit Financial membership is open to anyone who lives, works, worships, or attends school anywhere in Bucks County, PA. It's also open to family members of existing members. Other credit unions may be open for membership from a particular industry group or employer. 

4. Compare Products and Services: Once you've identified a credit union or two that you're eligible to join, compare their products and services to ensure they meet your banking needs. Look for features like checking and savings accounts, loans, credit cards, online banking, and mobile banking options. Pay attention to fees, interest rates, and any minimum balance requirements associated with these accounts. Credit Unions typically offer member benefits such as competitive interest rates and lower fees than big banks. 

5. Review Membership Benefits: One of the key rewards of credit union membership is its focus on member benefits. Many credit unions offer perks such as competitive interest rates, access to an extensive ATM network, lower loan rates, and value-added financial products and services. Take the time to familiarize the membership benefits offered by various credit unions to determine which aligns best with your financial goals.

6. Open an Account: Once you've chosen a credit union to join, it's time to open an account. Credit Unions, such as Spirit Financial, make it easy to join. Opening a share savings account at Spirit Financial with an initial deposit of only $5 provides you with all the advantages of membership. Visit the credit union's website or branch location to join today and start the account opening process.

7. Transfer Your Funds: After opening your new credit union accounts, it's time to transfer your funds from your big bank accounts. Begin by listing all your automatic payments, direct deposits, and recurring transfers. Update your payment information with your merchants and service providers to ensure a smooth progression from your old bank account to your new credit union account. Keep your big bank account open for a short period to ensure all outstanding transactions have cleared.

8. Close Your Big Bank Accounts: Once you've successfully transferred your funds and updated your payment information, it's time to close your big bank accounts. As mentioned above, be sure all outstanding transactions have cleared your account before closing. Contact your big bank in person, by phone, or through their online banking platform to initiate the account closure process. Be sure to withdraw any remaining funds and request confirmation of account closure.

9. Set Up Online and Mobile Banking: Familiarize yourself with the online and mobile banking platforms offered by Spirit Financial Credit Union. Set up account alerts, review your transaction history, deposit checks through remote deposit capture, pay bills, transfer funds, and explore the many features available. Many credit unions offer user-friendly digital banking solutions that make managing your finances convenient and secure.

10. Stay Engaged and Involved: As a credit union member, you have a voice in how the institution operates. Attend member meetings, vote for board members, and provide feedback on the services and products offered. By staying engaged and involved, you can help shape the future of your credit union and make certain it continues to meet the needs of its members.

Breaking up with your big bank and making the switch to a credit union can be a rewarding financial decision. By following these steps and doing your research, you can find a credit union in your neighborhood that offers the products, services, and benefits you need to achieve your financial goals. Take control of your banking experience and join the millions of individuals who have embraced the credit union difference. 

Tap to learn more about the history, mission, and vision of Spirit Financial Credit Union and switch to Spirit Financial today.