FORT COLLINS, Colo. (2/23/15)--A recent column in a Colorado State University newspaper offered some sound financial advice to college students: Lose the bank, and head on over to a local credit union.
Ryan Deuschle, community ambassador for the Credit Union of Colorado, Denver, and a columnist for Collegian Central, laid out the basics of credit unions and also explained various advantages they hold over banks.
Credit unions are owned by their members; they work to bring lower loan rates, higher interest rates on savings and fewer fees; they offer the best rates because, unlike banks, they aren't in business to make profits; and they encourage healthy financial behavior, Deuschle said.
"Conversely, commercial banks aim to make money and they are happy to take yours," Deuschle wrote. "They often not only exploit your deposits to loan overnight to other banks, but they may exhibit aggressive policies towards charging you fees."
Banks also have become notorious for giving loans to people who can't afford them, and charging the highest interest and most fees they can to amass profit.
"They work for their interests, not yours," said Deuschle, who listed a number of credit unions students can join in the region.