Difference between credit union and bank

[gdhillon]

I did a quick google search on it and it seems like credit unions are more 'for the people' while banks are about the numbers....correct me if I'm wrong please


I don't quite understand it, if I were to have my paychecks directly deposited into a credit union would that money be 'locked' in for a certain period of time?

Are credit cards/debit cards that can be used at stores and whatnot not available at credit unions?

 

[firehawker]

They are both financial institutions. They both have debit cards and credit cards you can use anywhere debit or credit is taken. If your employer does direct deposit there shouldn't be a hold on the check with either institutions as they money is cleared. In alberta credit unions carry insurance on all your money's if the institution were to go broke while banks only carry insurance up to $100k of your money in accounts. Both do the same thing in the end.

 

[firehawker]

Credit unions you have to be a member to "bank" there. You are the share holder and do some profit sharing look at servus.ca and it shows what they profit shared the last few years

 

[slededjr]

Credit Unions don't report the the credit bureau the same way as banks do. Friend of mine ran into this problem when trying to finance a sled years ago. Banks all said no because no credit established. Credit Union said yes because that's who he dealt with. Rate was higher. Not sure if they are still operated like that or not.

 

[pfi572]

Canadian Western Bank is good to deal with also.
Always someone answers phone great folks.
Switched to them from CIBC years ago as was getting screwed over after being a customer for years .

 

[Syclone74]

The other thing about credit unions is if your working out of town it's harder to do banking as you don't deal there and they don't have access to other credit unions like the big banks. Not sure if this is true or not just had a buddy tell me that's why he switched back to Scotia bank.

 

[Dazzler]

Any of my employee's that bank at a Credit Union, generally have some sort of grief banking when ever we are working out of town for some reason.

 

[gdhillon]

I see, when you say profit share is it like stocks where you can gain or lose money?

Also, kind of a separate topic but I just got on with a canfor pulp mill in town on nov 3rd and was wondering if it'd be a good idea to buy shares from them? (I was given a form on my first day but never really thought about it till today)

 

[firehawker]

Yes profit shares is profit of the institution. You need to look into there financial to see if it's worth buying or not. It is something that only you can decide but do your due diligence

 

[ChillySeven]

I've been with a small town credit union for years and haven't had any issues borrowing money anywhere, banking out of town or direct deposits. Credit unions in Alberta linked up together some how a few years back also, so one credit union is just like the other as far as I know.

 

[Bnorth]

The only issue I've had banking with a credit union when out of town is trying to get large amounts of money out for purchasing a truck or trailer etc, best to get a bank draft before you leave if possible. Other than that they are all connected so can deposit or take money from any ATM. I pay all my bills online anyway.

 

[sick1]

Correct me if im wrong, I was told that if your banking at a credit union if per say your behind on taxes the ccra cant lock down your accounts or garnish your wages.. That would be bonus to some.. Not me though.

 

[sc800]

CCRA can do that no matter where you bank!

 

[sledneck_03]

being we are from the mid and west. bank with the mid and west. screw the east coast. waiting on crediters from the east coast is the worst, no idea how business works here, no idea how the housing market is here. everyone i talk to that owns a business that switches to a local creditor is just blown away by service. You need something done, the person is in the same building not across the country in a different time zone.