Bank -vs- Credit Union

[filterqueenman]

I have to share this.  I never heard much about Credit Unions until we moved west and American First Credit Union is huge here and is designed for Military Personnel; although anyone can join.  We took out our mortgage with them last year for the house based on Morgan recommendation - thanks again Pal and it was one single visit and the paperwork was done!  They arranged for the Title Company for closing and everything took less than 30 days - amazing!  In the process we decided to move all our accounts as well as some of the investment portfolio to the credit union as well.  


 


So here is the difference.  We banked with what is now Wells Fargo for years and years although the company changed hands multiple times over those years and really have no complaints.  However then this....


 


I get a text alert from the Credit Union to call a specific person with name and direct phone number - no phone tree to navigate.  I call this super nice women she tells me it appears to be some unusual charges appearing on my credit card.  Not debt but credit card.  She then asked if I had time to go over the charges?  I could not at the moment as I was working so she then said...


 


I am putting a hold on the card and transferring XYZ dollars to your debt card till we can talk and doing so without any fees!!  


 


So I called this morning and we went over the charges and yep - my card had been compromised!  She went over every single charge I had made in the last 3 months - line by line.   I balance my credit card statement monthly and I told her that - and she was so sweet - yes; but another set of eyes are a good thing!!  LOL!!


 


I had almost 2500 in fraudulent charges attempted over the last 6 days.  Now are you ready for the other part??  The Credit Union knew something was amiss and denied all those charges with the exception of 41.00 made at a food store in Bakersfield, CA.  I have never been to Bakersfield!!  She said that charge was approved and then within an hour 500+ was attempted in Omsk, Russia - declined.   The next day 1500 was attempted in Kerch, Soviet Union - declined.  Then the last charge was for another 500 in Bakersfield, CA again.  


 


She told me to go to my local branch at my convenience and pick up a temporary card and she would be mailing me a new card next day delivery tomorrow.  


 


Now I have to wonder?  1. Would a bank deliver this level of service?  I hate phone trees and Wells Fargo has one of the worse in my opinion.  2. Would a bank catch this fraud so quickly?  3. Would I get a new temporary card the same day as closing out the old and get new permanent card the next day delivery?


 


I have never had a card compromised before - so I don't know the answers; but I do know that I talked with a real live person with a direct phone number who when I gave her my name immediately knew why I was calling.   Customer Service at the very highest level.  


 


Based on the very easy mortgage process, the abundance of free services like bill pay, free checks, free debit card, free notary and other service for a very nominal fee I just can not see going back to a traditional bank!


 


I have no idea how the card was compromised and she said they are investigating it; but not at liberty to speak about it - but assured me my accounts are all safe.  I am not obligated for the fraudulent charge that was approved either.  


 


So other questions I have is - When a Bank reports losses due to fraud and they have to suck it up and pay those charges for the customer - why don't they have a system in place like American Credit Union that caught it so fast?  


 


Honestly I am just curious - never experienced anything like this before and so now I have a ton of questions. 

 

[rainbowd4c]

Bank.

I have been banking with Horizon Banking Company for the last eight years and I have not one bad thing that I can say about them. Jacob banks with USAA. Since I handle all of our finances I added him to my account for a joint account and he kept his USAA account for his needs and he just transfers money to our joint account to help cover bills. I went through something almost exactly like you did a few months ago. I got a phone call saying that $1,500.00 had been taken from our checking account. This was strange since my debit card has a $1,000.00 daily limit but what they did was waited until the days changed and then went on a spending spree. Horizon had the account frozen until I could get to the branch. Like you the purchases were made in California,and on the internet. It wasn't even 24 hours and Horizon had the money back to my account, and new debit cards were being sent.

Whats nice with Horizon is that no matter what branch you call they answer the phone. No automated system, it's a human every time, and they do what they can to help whenever you have any problems. I myself really like more of a small town bank because the customer service is astounding.

 

[tylerawells]

I work for a large credit union and I have had family members who work for banks. At our credit union we do have locally based credit and debit card services, and then we have a third-party contractor for 24/7 365 service to pick up when the local Card Services Division is closed. Our motto that governs everything we do is "Not for profit. Not for charity. For Service."

Now, when you do have a fraudulent charge on your credit or debit card, we will dispute those charges and fully investigate for you. In many cases as well, we will offer what is known as a provisional credit that will replace the improper charges while the investigation is being conducted.


If you must go with a bank because you don't meet the membership requirements for credit unions, one is convenient in your area, or something like that, I wholly recommend going with smaller, community banks instead of big banks like Bank of America, your decision is made locally.

One thing that credit unions have that I haven't seen offered by any banks is what is known as shared branching. If you're out of your normal area, chances are that your specific credit union doesn't have a branch in that spot. You're out of town, Grandma gave you a check and you need to deposit it. You call your individual credit union, or visit the CU Service Center website, and you can find another credit union (not branded as yours), go in to that credit union, and with a photo ID and your CU account number, you can perform transactions on that account (transfers between your share savings and share draft, making a loan payment, check deposit, etc...). The website for that is www.co-opsharedbranching.org, if you need to locate it.

All in all, your first best bet for a financial services institution is a credit union, and then smaller community/regional banks.

 

[filterqueenman]

Thank You Tyler

Great information - I appreciate it very much and so will other C.U. Members.  Got my new card today via FEDEX and now I am wondering as I do a crap load of shopping at Home Depot is my number could be part of the gazillions that got hacked?  Don't know they won't tell me what happen.