Don't Let Fees Take Their Toll

Consumers are willing to pay for convenient financial services, such as automated teller machine use. But how much is too much?

Some fees finance the research and development of future products and services. Still other fees are used to modify negative behaviors, such as routinely writing checks against nonexistent funds.

But when it comes to fees, you can trace the difference between how many and how much to one major philosophical difference in the way credit unions and banks operate.

Banks are for-profit institutions: The profit motive influences the number and size of their fees.

Credit unions are not-for-profit financial cooperatives. Because there's no pressure from profit-minded stockholders, LifeWay Credit Union charges fees to enable us to provide more convenient and useful services for our members.

That explains why credit unions usually charge fewer and lower fees than banks.

How much can members save just by using a credit union share draft or checking account?

Credit union members who open a share draft account usually can do so for free. According to the Credit Union National Association's 2006/2007 Credit Union Fees Survey Report, 75% of credit unions offer free share draft/checking accounts.

Credit unions also make it easy--and cheap--to access your accounts. Nearly three-fourths of credit unions that offer access to ATMS participate in surcharge-free ATM networks, which means you won't be charged for any transactions at those ATMS.

Stop by or call us to make sure you're taking full advantage of the credit union difference--before unnecessary fees take a toll on your hard-earned dollars.