Credit unions are financial companies that allow members of a common bond to come together in a quest to uplift each other financially. The financial companies are member-owned, meaning that every account holder has a say when it comes to the management of the institutions. Usually, the unions are localized, although we have some which operate countrywide. We shall look at the best credit union for business accounts later on.
Businesses too can join credit unions to help them advance financially. If, for example, you are a supermarket operator, you can find it very beneficial to join a union so that you can benefit from the various financial services. When you open an account with a credit union, the benefits are many compared to banks. You can get loans with lower interest rates and more extended repayment periods.
Furthermore, you also benefit from free teachings about ways to manage your money and investment tips for free. You cannot find that in banks for free since banks are profit-oriented. They aim to make as many profits as possible from their clients. For your understanding, credit unions do not focus so much on making profits. They aim to help their members to grow financially.
Process That Credit Unions Work
If you have never used a credit union’s services, then you must be willing to know how it goes. The operation of a union is not that complicated. Once you open your account, the next thing you should do is deposit at least the required minimum amount in your account. Remember, you can have either a checking or a savings account.
The checking account allows you to keep the money for your everyday uses. The account comes with a debit card, just as it is with the ones from banks. You can withdraw money from your account at an ATM using your card. Again, you can withdraw money over the counter from your account.
The savings accounts allow you to earn interest rates compared to banks. Credit union savings account interest rates are usually higher than those of banks. If you are patient enough to keep funds in your account for several months or years, you will have earned a substantial amount of money by deciding to withdraw your savings.
Some institutions also allow you to earn interest on your checking account if you maintain a certain balance. The institutions also give credit cards to those eligible. You can use your card to borrow finances from the issuer when buying goods and services and paying bills when withdrawing at an ATM.
Best 8 Credit Union For Business Accounts
If you are looking for the best union for your business, you have come to the right place. The following are the credit unions you can use for your business transaction activities. Have a look.
1) America First Credit Union
One of the best credit unions you can use for your small business is the America First Credit Union. The platform allows you to open a savings and a checking account to manage your business finances. You can get loans and lines of credit to run your business too.
One can get four business checking account options, including both a free account and an interest-bearing account, some of which can bear interest. Also, you get nine business-saving options to choose from.
2) Alliant Credit Union
Our second choice among the best unions for business is the Alliant Credit Union. The institution allows you to get a free checking account without any minimum balance or monthly service fee. The account can bear interest so that your money does not lie there idle.
You also get three IRA account options. The union also issues unsecured personal loans up to $50,000. Furthermore, the account has online and phone banking capabilities.
3) First Tech Federal Credit Union
First Tech Federal Credit Union is among the best credit unions in California. The union is a business-friendly institution with online and digital banking tools and gives you business checking and savings accounts with mini more fees.
You also get five rewards credit card options and additional personal loans. The union has over 40 physical branches and 30,000+ ATMs, so you can also get services from the union officials.
4) Navy Federal Credit Union
To qualify for NFCU membership, you should be an active service member, veteran, family member of a service officer, or a civilian who works for the Department of Defense. The union gives you three types of low-fee or no-fee business checking accounts.
You can get three types of business savings accounts with 1.35% APY, and you can get term loans of up to $25,000 and business lines of credit of up to $10,000.
5) Self-Help Credit Union
Another excellent credit union is the Self-Help Credit Union which gives you business savings account with zero monthly charges and a low minimum deposit of $5 when opening. You can also get outstanding business loans which include specialized loans.
The account also gives you term certificates for businesses, with APYs of up to 2.48% for a 60-month account. You can also enjoy online and mobile banking and save the energy of walking to a branch for various transactions.
6) Digital Federal Credit Union
The credit union gives you two business checking accounts and several business savings accounts with employees’ money market accounts, certificate accounts, and IRA options.
Again, you get two no-fee business credit cards to borrow funds when necessary. Furthermore, you can get a business line of credit of up to $3 million. Term loans can be up to $3 million.
7) Consumers Credit Union
The union gives you business savings account with no monthly fee nor minimum balance if you have a business checking account. Also, you get a business Money Market account which earns higher rates and requires a minimum of $500 to open.
The institution also gives you our business checking accounts with no or waivable fees. Again, you can get a point-of-sale system or software to accept payments for your business.
8) Boeing Employees Credit Union
The union gives you business term loans of up to $250,000. Also, you can get a business vehicle loan with low APRs for new vehicles. Moreover, you can get secured and unsecured business lines of credit and commercial real estate loans of up to $15 million. It is also one of the best credit unions for personal loans. The institution gives you online and mobile banking options.
A credit union refers to a member-owned financial institution. The members have a more significant say in how the institution should run which is contrary to banks that only allow a few people to make decisions.
Credit unions operate both online and at physical branches. They give you debit cards, credit cards, and personal loans. You must share a common bond or have a close family member in the union to join a credit union.