Credit unions generally provide financial benefits to members through lower loan rates, high savings rates, and fewer fees than banking institutions. The Credit Union National Association (CUNA) estimates that Utah credit unions provided $141,752,179 in direct financial benefits to the state’s 1,967,324 members from January through March of 2015. (First Quarter numbers are annualized.)

    These benefits are equivalent to $72 per member or $137 per member household.

    Estimated total benefits of credit union membership are calculated by accounting for differences in credit union and bank pricing. Specifically, average credit union savings account yields, loan interest rates and fees are compared to average bank savings account yields, loan interest rates and fees. The interest rate differences are then applied to respective average credit union loan and savings balances. Fee differences are weighted and applied to credit union non-interest income to obtain the total estimated benefits arising from fees.

    The per member and per household benefits delivered by Utah credit unions are substantial, but these benefits are averages. Mathematically, that means the total benefits provided are divided across all members or member households–even those who conduct very little financial business with Utah credit unions. Further, loyal members–those who use the credit union extensively–often receive total financial benefits that are much greater than the average.

    Consider this: Financing a $25,000 new automobile for 60 months at a Utah credit union will save members an average $101 per year in interest expense compared to what they would pay at a banking institution in the state. Along with the financial benefits, there is also a better customer service experience. The American Customer Satisfaction Index (ACSI) ranked credit unions much higher that traditional banks. Credit unions received a score of 85 compared to a score of 74 for banks.

    We hope you find both the financial and service experiences better at Wasatch Peaks than all other financial institutions you have worked with. That is our goal.

    C. Blake Burrell

    Wasatch Peaks

    Written by Wasatch Peaks