I think it is because I completely romanticize the idea of a credit union. I imagine walking into the bank and being known by the employees. I imagine asking for a car loan or mortgage and practically have the best rate in the country shoved in my face. I imagine savings/CDs rates that are double or triple what I am getting from my “too big to fail banks.” Then I remember,
- I don’t go into a branch often enough to be remembered by anyone
- Just because I join a credit union doesn’t mean they have the best loan rates as compared to other credit unions
- Credit unions still have to deal with profits and losses and are unlikely to triple my online too big to fail bank (ING)
Notwithstanding those valid points, they aren’t at all the reason I haven’t left my Chase/ING set up for a Credit Union (or a different bank for that matter)…what is then, Evan?
Why I Won’t Leave My Bank
Despite hating my cable company, I won’t leave them either for the same exact reason…Convenience and Inertia.
Every single month I have pulled my account
- Student Loan #2
- My Life Insurance
- The Wife’s Life Insurance
- The Son’s Life Insurance
- 5 to 8 Transfers from Chase to ING
Connected to the accounts, but not being pulled automatically:
- Student Loan #1
- The Wife’s Lease payment
- Traditional IRA
- Dividend Investment Portfolio
If you are curious about my mortgage, I walk it into my too big to fail mortgagee because I like to control when it will be deposited since those 5 to 8 automatic transfers usually wipe out my checking accounts.
Do you know what kind of work I would have to go through to change all those accounts? No? Well I don’t either, but I know it is enough to scare me into submission. But when did this happen?
Banking’s Tech Revolution
I have never balanced a checkbook, ever. Why? Because when you can sign on line and check your balance 22 times a day with the knowledge of the 2 checks that might out a month there is no need.
I barely write checks. Why? Because I can transfer money online, instantaneously and for free.
97% of the time I don’t see anyone when I do have to go to the bank. Why? Because Chase’s ATMs allow me to deposit and withdraw money without ever having to see someone.
But at what cost do these technological advances come at? I think that most customers are “sticky” in that they are less likely to leave unless really provoked like a ridiculously high (new) service fee.
Do you want to change banks but are fearful of the amount of work that will go into it?