A credit union credit card isn’t for everyone, but used correctly it can save you money and help you build credit. Here are 5 types of people who are a good choice for a credit union credit card:
You’re a member. If you qualify to join a credit union, you might want to look at the credit card products that are offered.
You think you’ll carry a balance. Credit union credit cards are typically the best among cards in the ongoing APR rate offered, sometimes less than 10%.
Rewards aren’t an issue. If you plan to use the card for occasional purchases and not for earning rewards, a credit union credit card can be a good choice.
You don’t want to get hit with a lot of high fees. Credit unions are known for providing credit cards that don’t hit you with high fees, including annual fees. In fact, a Pew Charitable Trusts study found that credit unions are significantly less likely to have annual fees on their credit cards.
You want to build your credit. A credit card is an excellent way to build your credit. Just a few months of on-time payments can increase your credit noticeably.