Credit Union Terms and Common Myths

 Credit Union Terms

We recognize you may not be familiar with some unique credit union terms. Here's a cheat sheet!

Student Run CU

Not-for-profit: It is different from “non-profit.” GTE Financial offers the same products and services as banks and does make profits. However, the profits are then returned to members in benefits like higher dividend yields, lower rates and fees, new products and services. The organization is run by volunteers, who are unpaid Board of Directors, elected by membership.

Member-owner: GTE Financial does not have ‘customers’. We call the people we serve 'members', because each person has a stake, or ownership in our cooperative. The money we earn is returned to our member-owners and shareholders. We do what’s best for our membership and put a strong emphasis on the 'Member Experience'. 

Community Financial Center: While this is similar to a 'branch', our Community Financial Center focuses on the relationship with our members, as well as providing financial resources and tools needed to better your life and the local community as a whole. We pride ourselves on being more than just a transactional location! Find a location near you.

Share Account: AKA Savings Account. Learn more here.

Share Draft Account: AKA Checking Account. Learn more here.

Share Certificate Account: AKA Certificate of Deposit or account that earns dividends at a specified rate for a specified term. 

student-Landing-Page-Image.jpgCredit unions have changed drastically over the past few decades. However, there still exists early understandings that no longer hold true or misconceptions that lead consumers to overlook credit union advantages. Below is a list of the top seven common myths about credit unions. 

Top 7 Common Myths about Credit Unions​

1.       Credit unions have strictly limit eligibility.

GTE Financial makes it easy for new members to join! Find out here.

2.       Credit unions require new members to pay a joining fee.

You will need to buy and maintain a $5 share to be a member-owner of GTE Financial. However, unlike a fee, your share will be fully refunded once you decide to close your account.

3.       It is hard to switch from a bank to a credit union.

Making the switch to GTE Financial is super simple. Check out our Switch Kit here.

4.       Credit unions have fewer locations.

We currently have 22 Community Financial Centers & 30,000 ATMs nationwide free to members. You can do everything virtually at GTE Financial as well!

5.       Credit unions don't offer reward programs.

GTE has revolutionized rewards programs for credit unions. Check out GTE Go Points! You can earn reward points on purchases with your GTE Credit Card, not to mention exclusive member discounts and special offers we’ve got.

6.       Credit Unions aren’t innovative and tech-savvy.

We offer GTE OnScreen, a Mobile app, and other virtual services!

7.       Credit unions offer fewer products and services than banks.

At GTE Financial, you can find any products and services you could at a big bank. We offer from basic checking and savings accounts, to credit cards, personal loans, auto and home loans, insurance as well as investment services. Besides, we provide you with tons of resources and tools to improve your financial education and build a stronger credit. Any financial needs you bring to the table, we have a solution.