Federal Credit Unions are different from commercial banks because the ultimate goal of banks is to gain profits for the bank owners while the ultimate goal of Federal Credit Unions is to provide the services needed so that the customers attain economic freedom. This is how extra funds earned by the Federal Credit Union are converted into either dividends for the customers or money that will make available cheaper loan rates. This is why, people are more inclined to want their finances managed by Federal Credit Unions instead of commercial banks. And when it comes to choosing among credit unions, it is a sound decision to join with the USA's largest, the Navy Federal Credit Union.
The Navy Federal Credit Union began as a savings club in 1933. It was an unlikely time to start such an undertaking because the USA was hurting from an economic downturn, yet the concept of co-ownership excited, prevailed, and expanded. Since then, the Navy Federal Credit Union has acquired a broad base of membership, transforming it into one of the robust financial institutions in the USA. By the end of the year 2007, the Navy Federal Credit Union had more than $33 billion in assets and nearly $24 billion in member savings.
Regardless of the implication of its name, “navy,” a member need not directly be in in the U.S. Navy to become a member of the Navy Federal Credit Union. This giant credit union is open other people to join. The official website at http://www.navyfcu.org/ describes how a person can be allowed membership. One important aspect of membership eligibility is your family. That is, if one person is already a member of the credit union, all the members of his or her family, including all household members, adopted children, and stepchildren, are automatically eligible.
If a person becomes a member of the Navy Federal Credit Union, he or she is entitled to a host of products and services. One is the free checking account that comes with a debit card. Unlike most commercial banks, the Navy Federal Credit Union offers the debit card free. For financial convenience customers get a free online account management system. Visa and MasterCard credit cards are also offered and the best news is that these credit cards have low APRs (Annual Percentage Rates). The other services offered by the Navy Federal Credit Union, such as car loans, home equity loans, and home mortgages, also have low rates. Why? Because the Navy FCU are not out to make a profit! Their profit goes right back to all the customers in the form of lower financial rates.
The members of the Navy Federal Credit Union have been assured that this credit union will continue to remain stable and strong regardless of the plummeting real estate market and threats of depression. The President, Cutler Dawson, points out four major reasons that have kept the Navy Federal Credit Union strong. First, the Navy Federal Credit Union does not get involve in subprime lending. Second, this credit union only utilizes sound and rational practices in underwriting. Third, the Navy Federal Credit Union has taken many steps to ensure a position of strong liquidity. And fourth, this credit union makes available key information that will guide financial decisions with the best interest of their members in mind.