Here’s How Easy It Is to Switch to a Credit Union
There are several differences between credit unions and large banks that can make them more attractive. The problem is, switching seems like a huge pain. We’ve shown you how to do this , but here’s the thing: Most credit unions come with “switch kits” that make it easy to move your money.
I myself have considered moving to a credit union, but I don’t like having to deal with redirecting my direct deposit and updating all my automatic payment information. What I didn’t realize, however, was that most credit unions create “switch kits” to help you in this process. Samantha Paxon of CO-OP Financial Services , a payments and financial technology company, explained this to us:
“Switching is easy. Most credit unions make it easy to sign up through their websites with a simple 3 step process: open your credit union account, close old bank accounts, and transfer your direct deposits and automatic payments. That’s all – your new credit union is your main financial institution, and much better in that regard. “
The switch kit is essentially a PDF you download that includes all the information you need in one place: applications, direct deposit forms, account closure forms, etc. It often includes a checklist that will help you with this process. Some credit unions even use the ClickSWITCH service to fill out and submit these forms for you.
If you’ve been thinking about switching to a credit union , you can use Smart Choice to find one (though here are five of our favorite readers ). Once you find one that you like, check if they offer a switch kit. Most likely they will, which will make the transition easier.