This Wall Street Journal video discusses why people are making the switch to credit unions.
Credit Unions are member (you, the depositor) owned rather than investor owned like commercial banks. Fees for deposit accounts and loan services are, in my experience, cheaper than similar commercial bank offerings. Lack of ATM access and few physical locations previously reduced their appeal.
With today’s widespread direct deposit use, electronic payment methods, and ATM fee rebates this is no longer the case. Birmingham is especially blessed with a vibrant credit union market. As you evaluate the different credit unions, consider using a member of the CU service center network which gives you access to 1000′s of branches nationwide. Members can make deposits, withdrawals, transfers, loan payments, and balance inquires at most locations.
Here is a listing of the CU service center credit unions in Alabama:
Depositor beware! Opening a new account allows banks and credit unions to put 9 business day hold on any check you deposit. Even those locally drawn and cleared. The Reg CC rules governing new accounts need an update since checks now clear much faster. You should be fine after 30 days, so open your account with a small deposit and mark you calendar before making the complete switch. If you receive direct deposits, this should not affect you since those are treated like cash.