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Forum Post: It Is Working! People are moving from Banks to Credit Unions!

Posted 13 years ago on Nov. 4, 2011, 8:54 a.m. EST by OurTimes2011 (377) from Arlington, VA
This content is user submitted and not an official statement

"The Credit Union National Association, a D.C.-based advocacy group, recently surveyed 5,000 credit unions across the country. The vast majority reported a surge in membership and a surge in deposits. The association estimated that credit unions across the country have picked up at least 650,000 new customers over the past month and collectively added $4.5 billion in savings accounts, whether from new members or from existing members shifting funds. The association also has seen a surge in visitors to its aSmarterChoice.org website, which includes a search engine to help consumers find a credit union they are eligible to join."

According to the organizer,

"Together we can ensure that these banking institutions will always remember the 5th of November!! If the 99% removes our funds from the major banking institutions to non-profit credit unions on or by this date, we will send a clear message to the 1% that conscious consumers won't support companies with unethical business practices. • Research your local credit union options • Open an account with the one that best suits your needs • Cancel all automatic withdrawals & deposits • Transfer your funds to the new account • Follow your bank's procedures to close your account before 11/05" http://www.facebook.com/event.php?eid=281139538577206

http://facebook.com/nov.fifth

Here is what I suggest: Do not move all of your funds. To put this big of a strain on the system may be irresponsible. Move some of your money out. Just opening an account will send the signal we need.

To find a Credit Union:

http://www.findacreditunion.com/

http://locator.cucentral.com/

http://www.findyourcreditunion.co.uk/

http://www.asmarterchoice.org/

21 Comments

21 Comments


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[-] 1 points by HappyLove (143) 13 years ago

Oh and thanks for the links.

[-] 1 points by HappyLove (143) 13 years ago

Good, we're getting things done.

[-] 2 points by OurTimes2011 (377) from Arlington, VA 13 years ago

Yes, we are!

[-] 1 points by Febs (824) from Plymouth Meeting, PA 13 years ago

This is a great market oriented approach. Get people to speak with their dollars.

[-] 1 points by OurTimes2011 (377) from Arlington, VA 13 years ago

And remember, you don't need to move all of your money. Just opening an account is enough!

[-] 1 points by Febs (824) from Plymouth Meeting, PA 13 years ago

I only have a few thousand in my savings and checking but that equates to over a hundred thousand of loss to the bank due to the fractional reserve policies used.

[-] 1 points by OurTimes2011 (377) from Arlington, VA 13 years ago

True.

[-] 0 points by sppratam (-14) 13 years ago

Transferring to a credit union just keeps your money in the hands of the 1%.

http://blogs.reuters.com/felix-salmon/2010/09/24/when-credit-unions-fail

While you or I might belong to a friendly local credit union with human members, that credit union, in turn, is itself one of the members of a corporate credit union.

[-] 1 points by OurTimes2011 (377) from Arlington, VA 13 years ago

Wrong. Credit unions have different lending policies, which tend to favor the small guy, invest in different things, and are not regulated by the Federal Reserve, which has been taken over by the 1%. You are thinking of the large credit unions versus the smaller ones.

Your post implies that we have no choice. The action you suggest is no action. This is wrong.

[-] 0 points by sppratam (-14) 13 years ago

The "smaller" credit unions are part and parcel of the corporate credit unions.

From the article.

Lower East Side People’s Federal Credit Union (LESPFCU) is one of the 2,076 members of Members United Corporate Federal Credit Union, which got taken over [in 2010].

[-] 1 points by OurTimes2011 (377) from Arlington, VA 13 years ago

You are missing the key point. They are not regulated by the Federal Reserve.

[-] 0 points by sppratam (-14) 13 years ago

You are missing the key point. The corporate credit unions are controlled by "the 1%" that you are protesting against.

[-] 1 points by SciFiChickie (5) from Chesapeake, VA 13 years ago

I work for a local Credit union in South Hampton Roads VA we our owned by our Members yes we use the fed to complete transactions out side the credit union but we are NOT owned by larger Credit unions, or controlled by the 1%. ALL of our policies our put in place by our Supervisory community, who are elected by our members.

[-] 1 points by OurTimes2011 (377) from Arlington, VA 13 years ago

Wrong. Irrelevant. Enough.

[-] 0 points by sppratam (-14) 13 years ago

Is it "irrelevant" that credit union members lose billions of dollars?

[T]he NCUA (that’s the credit union equivalent of the FDIC) reckons that credit unions are going to lose somewhere between $8.3 billion and $10.5 billion on their investments in the corporates.

[T]he fact is that pretty much everybody in the country who’s a member of a credit union will be affected in some way by the implosion of the five big corporate credit unions. They got away with things that most credit unions could never dream of — things like investing billions of dollars in subprime securities, for no obvious reason. When that trade blew up, thousands of responsible small credit unions ended up being socked with enormous losses.

[-] 0 points by LaughinWillow (215) 13 years ago

I completely disagree with you regarding the "strain on the system" being irresponsible. What's irresponsible is allowing the system to continue. Further, since you aren't burning or burying the money, but simply moving it to another institution, you are simply moving the nexus of business back to a local level. We owe not a SHRED of allegiance to these megabanks, and the sooner they are dead, the better.

[-] 1 points by OurTimes2011 (377) from Arlington, VA 13 years ago

I know. it's kind of a hard case to make, but think of an addict going from heroin to methadone. Or from cigarettes to the patch. It's a half step, but better than none.

[-] 1 points by LaughinWillow (215) 13 years ago

But it's an unnecessary half-step. The more people who move to credit unions, the better. It's highly unlikely that any mass movement of accounts is going to happen all at once, so you don't have to worry that you're going to crash the system. The majority of people are probably NOT going to move their accounts right away. Right now it's a small movement - so we need to move all our money in order to get the ball rolling. Not try to take half-steps.

[-] 1 points by OurTimes2011 (377) from Arlington, VA 13 years ago

I'm not opposed to people moving all or most of their money. I just think that most people cannot do so.

[-] 1 points by LaughinWillow (215) 13 years ago

Why? I'd suspect that nearly all people live within 10 minutes (or at least driving distance) of a local bank or credit union. I mean, I guess, as you say - a half-step would be better than nothing. But if people are able to move some of their money, surely they're able to move all of it?

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