Page 25 - ARUBA TODAY

BUSINESS Wednesday 7 august 2019
A25

Millennial Money: Credit unions add flex to your finances

By GREGORY KARP it’s unfair that credit unions have traditionally been far
Associated Press with their nonprofit tax ad- superior to those at banks
An underused money tool vantages compete against on average — often a full
that could help a new gen- tax-paying banks, make percentage point or more
eration of adults on their that part of your decision. cheaper. Credit unions also
path to prosperity isn’t a — PERSONAL TOUCH. Con- offer mortgages and per-
smartphone app, a virtual sumer Reports says credit sonal loans. On the savings
currency or a digital pay- unions are among the side, including CDs and
ment system. highest-rated services it has money market accounts,
It’s an old-timey credit ever evaluated, with 96 % you’ll generally find higher
union. of members highly satisfied rates than megabanks. If
Credit unions , if you’re un- versus 80% for the three big- you carry a credit card bal-
familiar, are like nonprofit gest national banks. ance, interest is often far
banks. They may not satisfy Other surveys suggest lower with credit unions.
all your money-manage- banks have closed the cus- “The natural, inherent
ment needs, but you’re tomer-satisfaction gap in structure of credit unions is
missing out if you’re ignor- In this Nov. 16, 2018, file photo credit union members stand in recent years because they to give back to the mem-
ing credit unions, which line at Blackhawk Community Credit Union on East Milwaukee — on the whole — offer su- bers,” Ramsay said.
have great interest rates Street in Janesville, Wis. Associated Press perior digital communica- — EASIER TO JOIN THAN
on auto loans, consumer- tion that consumers value. BEFORE. Becoming a cus-
friendly checking and sav- Here are six reasons to add several years ago. Credit unions can also be tomer of a traditional bank
ings accounts, and low on- a credit union to the mix. If you’re mad at big banks more flexible in loan ap- is still easier than for a credit
going credit card rates. — NOT A BANK. Credit for their role in the Great provals, said Mike Schenk, union. With credit unions,
One example: Fully financ- unions have the same ba- Recession or any other rea- chief economist at the you must qualify. But that
ing a $30,000 new car over sic products and services son, you have choices, in- Credit Union National Asso- could be based on where
five years would cost about as banks, and its deposits cluding credit unions, for ciation . “You’re more likely you live or an organization
$1,250 less in interest with are insured. But you’re not taking your business — and to find a loan officer who is you belong to. Some credit
a credit union auto loan just a customer at a credit money — elsewhere. willing to listen to your story unions even allow you to
compared with a bank union, you’re a member “It’s an ideal choice for mil- and adjust those underwrit- become a member by
auto loan, based on na- and part owner. lennials because it aligns ing criteria to get you into a making a modest donation
tional average rates. Finding a bank alterna- with our values,” said Jac- safe loan,” he said. to a nonprofit.
Competitors — mega- tive might be important to queline Ortiz Ramsay, a mil- — SUPERIOR RATES. Credit To find a credit union, try
banks, small community many. Some 71% of millen- lennial and spokeswoman unions don’t have to return these websites: mycredi-
banks and online banks — nials, for example, would for the National Association money to shareholders like tunion.gov and yourmon-
have their strengths and rather go to the dentist of Federally Insured Cred- publicly held banks, so they eyfurther.com/cu-finder.
weaknesses. But this isn’t a than listen to what banks it Unions. “It’s not about plow profits back into offer- — ATMs AND BRANCHES.
binary choice: You can use have to say, according to bamboozling you with fan- ing high rates on savings, Many credit unions have
a credit union for the things the Millennial Disruption In- cy looks. They invite you to low rates on loans and gen- banded together to offer
it excels in and use other fi- dex, a three-year study of join to be part of the story.” erally fewer and lower fees. nationwide access to ATMs
nancial institutions, too. 10,000 millennials released On the flip side, if you think Auto loans, especially, and branches. q

US stocks claw back lost ground as China stabilizes currency

By DAMIAN J. TROISE Investors were more willing daq composite rose 0.6%. revenue came in below fiscal first quarter profit
Associated Press to take on risk. They shed OVERSEAS: European in- Wall Street forecasts dur- forecasts and gave inves-
NEW YORK (AP) — Stocks safe-play holdings like util- dexes edged mostly higher. ing the second quarter. Its tors a surprisingly good
bounced back in early ity stocks and U.S. govern- Asian indexes were broadly key food ingredients unit sales forecast for the cur-
trading Tuesday on Wall ment bonds. The yield on lower. The Shanghai com- recorded a sales decline. rent quarter.q
Street, a day after their the 10-year Treasury rose posite index fell 1.6% and DRIVING GROWTH: Take-
worst loss of the year, as to 1.76% from 1.73% a day South Korea’s Kospi fell Two Interactive Software
China eased some of the earlier. Industrial stocks 1.5%. rose 7.9% on a surge in
pressure in its trade war rose. Aircraft components TOO BLAND: International sales of “Grand Theft Auto”
with the U.S. by stabilizing maker TransDigm did some Flavors & Fragrance fell and other popular video
its currency. of the heavy lifting with a 10.5% after the company games. The company,
Technology stocks led the 18% surge after giving in- trimmed its forecast fol- which also makes the
market higher in a reversal vestors a raised profit fore- lowing a disappointing “Red Dead Redemption”
of Monday’s slump, when cast and solid quarterly earnings report. Profit and games, beat Wall Street’s
they bore the brunt of the earnings.
market sell-off that pushed Solid earnings results
U.S. indexes 3% lower. That helped lift other sectors.
plunge was triggered when Animal health company
China allowed its currency Zoetis rose 6.5% and led
to depreciate against the health care stocks higher.
dollar to its lowest level in Energy stocks were the big-
11 years. gest losers in the early go-
Apple rose 2% and Micro- ing. KEEPING SCORE: The
soft rose 1.6%. Both compa- S&P 500 index rose 0.4% as
nies get significant revenue of 10:15 a.m. Eastern time.
from China and are highly The Dow Jones Industrial
sensitive to swings in the Average rose 66 points, or
ongoing trade dispute. 0.3%, to 25,787. The Nas-