Business checking survey says CUs have lower costs

CHICAGO (9/11/09)--Small businesses will find lower checking account costs at credit unions and community banks, according to a national survey conducted by Moebs Services, an economic research firm, based in Lake Forest, Ill.

"... Large banks try to protect loss of business, especially small business, and community banks and credit unions try to take as much market share as they can get," Moebs said (Business Wire via Reuters Sept. 9).

Evidence of a potential market move is reflected in the minimum balance to avoid a fee, with the large banks almost doubling from $1,250 in 2008 to $2,250 in 2009, while credit unions and community banks stayed the same at $500 and $1,000 respectively, the Moebs survey indicated.

"Main Street institutions definitely offer a better pricing deal than the big Wall Street banks," Moebs said. "In these hard economic times, businesses should seek the better deal."

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Courtesy of cuna.org