Benefits of a Credit Union
Many people may be unfamiliar with how a credit union is different from a bank. Understanding the differences may help you decide where you want to bank and the local choices you have in the Valley.
For example, TruWest® Credit Union, a large credit union in Metro Phoenix has had a long history. It was established in 1952 as Motorola Credit Union and today has more than 90,000 members with nine Metro Phoenix locations.
The main difference between a credit union and a bank is that credit unions are not-for-profit institutions where banks are for-profit and are either privately owned or publicly traded. Credit unions are owned by its members and are set up as a cooperative. When you become a member of TruWest, you become a part-owner of the credit union, with the voice to help drive the decisions.
This for-profit vs. not-for-profit status results in different benefits for members. Credit union profits are typically returned back to members through better rates on loans, lower fees, and higher yields on savings and checking accounts. Credit unions provide the same services banks offer, including access to ATMs, online and mobile banking, credit cards, wealth management services, and more but with typically lower costs. TruWest also aims to go beyond traditional services and provides its members with access to major partners, including access to special auto pricing through Costco Auto and supporting small businesses with debit and credit card processing through Total Merchant Concepts.
Another major difference between credit unions and banks is the culture and approach to service. TruWest provides what is called the ‘TruDifference’, a people-first approach, a pledge to give great service, and create a culture of caring for members, employees, and the community. TruWest leadership takes an active role in supporting staff development through diversity and inclusion education, supporting their work-life balance, and recruiting solutions to problems from the bottom-up.
Additionally, TruWest regularly supports volunteer efforts at community organizations, makes financial donations to local nonprofits, and provides financial education and support to students in the community. In 2020, TruWest contributed over $2 million to 17 organizations ranging from financial literacy programs and assistance to those purchasing their first home.
In 2020, TruWest topped the Forbes list of America’s best Credit Unions, ranking number one in the state of Arizona. Scores for the financial institutions were based on overall recommendations and satisfaction, as well as five subdimensions - trust, terms and conditions, branch services, digital services, and financial advice.
We hope that you will see the difference for yourself and visit us online or at a branch soon.
Jennifer is the senior vice president and chief marketing officer at TruWest. She has been a member of the TruWest team for 15 years. Previously, she worked as vice president for both the strategy and member service departments. Kimmell was also the assistant vice president at BBVA Compass, a bank holding company, before starting her journey with TruWest. In her role, Kimmell leads the credit union’s marketing and communication efforts, including developing and promoting the credit union’s digital channels. Kimmell also volunteers as a committee member for the Credit Union National Association in her spare time. She holds a bachelor’s degree in business management and her Master of Business Administration from the University of Phoenix.