In a financial landscape dominated by large banking institutions, credit unions stand out above the rest. Unlike traditional banks, credit unions are member-owned cooperatives committed to furthering economic empowerment and community development. In this blog, we explore the important role that credit unions play in their communities and share with you how we at Arbor stand by our purpose to grow the financial well-being of our members.
Member-Centric Approach
One of the defining features of credit unions is their member-centric philosophy. Credit unions are owned and operated by their members, ensuring that decisions prioritize the financial well-being of the community. This member-focused approach translates into personalized service, competitive interest rates, and a genuine commitment to helping members achieve their financial goals. Credit Unions offer a large range of member focused products and services for both Business Banking and Personal Banking. Here at Arbor, our staff is dedicated to finding the best product and service to fit your needs. We get to know you and work with you to help you be successful. It's who we are and in our Purpose Statement that staff lives out each and every day.
Community Development Initiatives
Many credit unions actively engage in community development initiatives. Whether through financial education programs, affordable housing projects, or support for local businesses, credit unions invest in initiatives that directly benefit the community. This commitment to the greater good reflects the cooperative values that reinforce credit union operations. Here at Arbor, we love giving back to our community. In 2023 alone, we gave back $111,500 in local sponsorships, gave $20,000 in scholarships, and our employees donated over $23,800 to local nonprofits through our Caring Committee. It’s who we are and shows through our core value of “do the right thing”. Learn more about our community development initiatives.
Competitive and Fair Products
Credit unions are known for offering competitive and fair financial products. From low-interest loans to high-interest savings accounts, credit unions prioritize providing value to their members. This focus on fairness extends to fees, credit unions often have lower fees compared to traditional banks, contributing to a more affordable and accessible financial landscape for their members. Here at Arbor, we not only have fair and competitive products, but also creative ones. We love to think outside the box to provide innovative products that can help members daily. One example is our 4.00% APY* Momentum checking that helps members earn up to 5x more than the average Michigan checking account.**
Local Decision-Making
Unlike large banking institutions with centralized decision-making structures, credit unions often operate at a local level. This decentralized approach allows credit unions to tailor their services to the unique needs of their communities. Local decision-making fosters a sense of trust and accountability between the credit union and its members. This type of decision making as makes it easy for members to communicate with their credit union leaders and provides a sense of accountability.
Education and Empowerment
Credit unions go beyond transactional relationships with their members by offering financial education and empowerment programs. These initiatives aim to equip members with the knowledge and tools necessary to make informed financial decisions, ultimately enhancing financial literacy within the community. In 2023, Arbor provided 103 teachings helping reach 3,652 student impressions. One of our favorite educational tools is our free credit check up and going to local schools and organizations to teach employees and students! Our free credit check statistics are not included in our number of teachings and student impressions.
Learn more about our education program
Stability and Resilience
Credit unions' stability and resilience during economic downturns add to the overall financial health of their communities. Their focus on prudent financial management and the well-being of their members helps mitigate the impact of economic challenges, creating a more resilient local economy.
Credit unions serve to help grow and support both their community and their members lives. Credit unions play a positive and transformative role in the lives of individuals and the communities they serve. As trusted financial partners, credit unions showcase the power of people helping people and create positive financial growth for all. We are proud to serve the South-West Michigan area and over 47,000 members. Want to join the Credit union movement?
* Annual Percentage Yield (APY). Debit card purchases must post to your account during the calendar month. ATM transactions do not apply. Interest is not paid on balances over $15,000. One Momentum Checking account per member. Rate is variable and subject to change. If requirements are not met, you simply do not receive interest for the month.
** 5x is the difference between the amount earned in interest between Arbor Financial Credit Union's average checking rate at 0.75% APY compared to 0.14% APY for the Michigan market average over the life of a share draft. Statistical data and analysis pulled on December 19, 2023.
