When it comes to talk about personal finances, many of my friends have surprised me by asking, “Why do you bank with a Federal Credit Union?” First, it is clear their underlying question is they simply do not know the differences between a credit union and a bank, and there are many differences. So I’ll rewind past all my prior conversations and start at the beginning because if you understand the key elements of how credit unions and banks are structured, your choice is fairly clear as to which will serve your personal needs best.

Most banks are called “commercial banks” and as the name implies, their purpose is to serve commerce. Therefore their primary customers are businesses leaving private individuals as somewhat of an afterthought, (in fact banks account for 81% of industry revenue nationally). Most banks are led by boards of directors and must answer to shareholders with the expectation to make large profits. A bank’s depositors create those profits with every transaction they make. Even with a profit structure, for everyone who followed the news over the past year, it was the banking industry that was brought into the spotlight about their operations and need for a taxpayer bailout. (Did you see any credit unions under fire? No!)

So if banks have stockholders, what do credit unions have? Members. (So who do you think will serve your individual needs best?)

Credit unions were created specifically to serve individuals offering various accounts from savings to checking, in addition to credit cards, mortgages and, on occasion, home business accounts. Credit unions are federally regulated ‘non-profit’ organizations owned by their depositors, (that would be, should be you!). That’s why deposits are called shares versus deposits. Due to their structure and purpose, credit unions have remained well capitalized and remained the most viable option for home loans throughout the economic downturn. As consumers become more knowledgeable on the differences between banks and credit unions there has been an influx of families making the switch to who will serve their personal needs best, (and I think you know who that is).

So get moving to your locally depositor-owned and operated Federal Credit Union today!

Also learn more about youth accounts offered by Credit Unions. It’s a safe environment for teenagers to learn about money. Check out the GTE Federal Credit Union youth checking account for 12 to 22 year olds at www.U224U.com, because learning about money is important, no matter what your age.

Hey everyone! Happy New Year! (ya, I know it is already February, but I’m still writing 2009 on everything, so it sure still feels NEW!) So I hope you have read the blog by Matt W., the winner of the Suite Caroline Strawbery Jam Contest – http://www.u224u.com/pages/suite-caroline-jam-casting. We are really having fun working together. Did you know he played piano for 10 whole years before he recently took up the guitar? (and I know he will never put it down now!!:) His music background is making it really easy for him to learn guitar. He knows WAY more music theory than I do. He writes his own stuff, which you know I think is totally cool. We hope to play 4 songs together at Matt’s showcase with me at the Strawberry Festival in Plant City on March 6th – more details to come . Stop by and show us some love if you can!! Then I will take the MAIN stage with my band at 1pm. It is going to be outrageously awesome. Please come if you can!! GTE Federal Credit Union is sponsoring the shows. The show is free and kids get in free to the Strawberry Festival on that day. You can watch our shows, and then eat some Strawberry Shortcake and then ride some rides! O, wait, maybe if you are going on fast rides that flip upside down you should eat your shortcake AFTER! LOL!!!!

Get inspired about money by looking into a GTE Federal Credit Union U22 youth checking account for 12 to 22 year olds. It pretty much rocks!