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How Can Credit Union Help You During the Coronavirus Pandemic?

Banks Oregon goes a long way back. Some historians believe that the first banking institutions originated in ancient Egypt. Although not that old, the idea of an Oregon Credit union does have some history behind it. Both financial institutions have had their ups and downs over the decades and both have garnished a fair share of fans and naysayers. The real test for both types of institutions is during times like the Coronavirus pandemic when people need financial support and security more than ever. Although both institutions claim to be on the same side and want to help people, the way they handle it will make or break most of them.  

Is an Oregon Credit Union Safer Than Any Other Financial Aid Institution?

A credit unions’ primary function is to help those in need of financial aid that prefer not to deal with a bank. These are usually people with bad credit or who have low incomes and can’t really afford the fees and charges a bank asks. Also, credit unions traditionally have been known to be set up in areas with blue-collar population. That means that they are accustomed to dealing with small loans, both for people and for businesses. But that doesn’t mean that a credit union can’t do what a bank does. In fact, credit unions have been known to be able to help people much better than banks could. That’s because they are founded by the people from a specific community and understand their particular needs.

Oregon credit union

During these troubling times lots of small businesses have been going through some major changes. Some had to shut down permanently, leaving employees without a source of income, while others had to downsize in order to hopefully weather this pandemic. This is where an Oregon credit union usually comes into the picture. But before rushing to the nearest office, many people asked themselves if a credit union is really better than any other financial institution. Well, judging by the number of people going in to take out loans, either personal or for their businesses, the answer is yes. Being smaller than a bank doesn’t necessarily mean that you can’t have as many assets as one. Some credit unions have tens of thousands of members, which adds up to some serious resources. The biggest credit unions in the country have billions worth of assets, and can provide financial support to just as many people as a bank can.

Secondly, credit unions are created and owned by the people themselves. That means that when someone decides to join a credit union they effectively become a shareholder and even get a vote when it comes to choosing important stuff like expansion models or who’s in charge. But that also means that a credit union is more transparent than a bank. Banks tend to keep their private business exactly that way – private. When you deposit your money with a bank, although you can technically go in and take them out any time you like, and even get a letter from time to time telling you how your money is doing, you don’t really know what the bank does with them. Credit unions don’t function like that. Because they are made up of people, usually from a very well defined location, you can always know what the union is doing with your money because they have to ask you if you are ok with it. So that means that they are more transparent than a bank which leads more people to trust credit unions and to want to do business with them.

What Does It Take to Set Up an Oregon Credit Union?

Well, as the name clearly states, you firstly have to be in Oregon to do so. But considering that that is not an issue, setting up a credit union is quite simple. The important thing to do is to find enough people that need financial aid and are also OK with pulling together their resources in order to help others. Credit unions historically started in communities built around factories, parishes and even college campuses. There is no rule that says how many members it should have or how much money should everyone give at first. The important thing is to bring together a group of people that want to help and have the resources to do so.

The second thing you have to think of when building your credit union is expansion. Granted, credit unions don’t have the same reach as a multi-national banking conglomerate, but can reach some serious proportions. Expanding a credit union is usually a slow process, and can take several years. So don’t expect overnight nation-wide reach. Also, because credit unions aren’t created in order to make a profit, like banks are, you won’t have the same money at your disposal in order to buy or rent lavish offices and give out big quarterly bonuses. But expansion is possible. Mainly when other people from other areas want to join your credit union. This is how you grow. When expanding from one area to another you will have to make sure that you have an office so people can reach you and also you can consider signing contracts with various third parties, such as ATM networks and credit card issuers.

What Do Banks Oregon Fail to Understand When It Comes to People Needing Help During the Pandemic?

Banks Oregon have been around for centuries. You’d think that they’ve seen enough in order to understand how people work, especially in critical times such as these. But there are still some things that banks don’t really get about people. Firstly, banks have to understand that, unlike credit unions or even other financial aid institutions, people don’t come to them because they enjoy doing business with them. People usually choose banks because they think that being part of a bigger family or group of companies means that they have a lower chance of failing. Technically this is true, but history taught everyone that this is not necessarily what happens. When banks, especially branch-banks, fall on hard times they usually call in their loans and investments and fold it in. That means that their main objective is to protect their mother-company, not necessarily their clients.

Secondly, people choose banks to do business with because they have no other options. Banks Oregon can be found on all inhabited continents of the world. That means that people have their share of options when it comes to choosing which banks to do business with. But not all banks understand that people need to see more in them than just a faceless, profit-driven, institution. Some are addressing this problem while others aren’t. People need to be understood and empathized with. Although it may not seem so from a banks’ perspective but they each have unique problems and concerns. Granted, banks aren’t psychiatric offices, but in order to make clients trust you, you have to try and put yourself in their shoes and live what and how they are living.   

By Olawale Daniel

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3 replies on “How Can Credit Union Help You During the Coronavirus Pandemic?”

pandemic has been a really scary time, iam genuinely considering to benefit from credit union services!!

i dont know about credit unions still work in this pandemic. Thank you for the valuable information.

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