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State Employees’ Credit Union Review: Low Fees and Competitive Rates
GOBankingRates ScoreQuick Take: State Employees' Credit Union of North Carolina (SECU) has a comprehensive selection of banking, loan, credit card, insurance and investing products and services, all under one roof. One of the reasons it's #34 on GOBankingRates Top 100 Banks is its offerings, ranging from accounts for children to estate planning. However, you'll need to qualify for membership as a state or public-service employee (or be related to one). This State Employees' Credit Union review will detail everything you need to know.
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State Employees’ Credit Union (SECU) was founded in 1937 in North Carolina with $437 in assets, operating part-time to serve its handful of members. Today, with over 270 branch locations and more than 1,100 ATMs, the credit union serves more than 2.6 million members statewide. Like all credit unions, SECU is nonprofit and member owned. To be eligible for membership, you must be an employee of either the State of North Carolina, a public board of education or an association that serves state employees. Immediate family members of these individuals are also eligible. SECU stands apart from other financial institutions for its variety of products and stellar customer service, ranking #4 in the annual GOBankingRates list of Best Credit Unions. SECU ProductsThe credit union provides a variety of account types, retirement planning, investment services, insurance and financial management for high-net-worth clients. Checking AccountsSECU comes in strong among checking account options. There’s no minimum deposit to open SECU’s standard checking account and just a $1 minimum balance required to maintain the account. In addition, you’ll get up to 50 free checks per statement period, then 20 cents each. Dividends currently pay out 0.05%. SECU also offers a Z-Checking account in its Zard program for teens ages 13 to 19, earning the same amount of interest. If a standard checking account doesn’t quite fit your needs, consider a CashPoints Global account and debit card. The check-free account allows you to pay bills online and saves you from overdraft fees, making it a low-cost option. There’s a $1 monthly maintenance fee but no minimum balance requirement. Savings AccountsMembers automatically receive a standard “share savings” account when they join SECU. A minimum amount of $25 is required to open it but your balance will earn 0.10% APY. However, SECU offers plenty of other savings account options. You can also open a Holiday Cash Club account for holiday spending or a Summer Cash account meant especially for teachers and other employees who only get paid during part of the calendar year. Neither account has an opening deposit minimum. There are also Zard and FAT CAT Share accounts for kids, plus tax-advantaged options for education, retirement and health savings. Expect to earn the standard dividend of 0.10% APY for most of SECU’s savings account options, except for the Summer Cash account, which earns 0.35% APY. Money Market AccountsIf you have $250 to open a savings account and can maintain that amount as a minimum balance to save yourself a $2 monthly fee , consider opening an SECU Money Market Share account. You’ll earn higher interest with a money market account than the share savings account (0.15% APY vs. 0.10%), and there are no maturity restrictions like you have with a certificate of deposit. Money market accounts allow you to write checks and make some monthly bill payments and withdrawals for convenience. However, SECU’s Money Market Share account does not allow for bill pay, ACH transfers or check writing, limiting withdrawal options. CD RatesA share term certificate is the credit union equivalent of a certificate of deposit and SECU offers just one. Terms range from six to 60 months with rates of 0.30% to 0.55% APY. You can start with as little as $250. Members with more money to invest can “ladder” certificates so that eventually, you have all 60-month certificates earning the highest rates, with one maturing each year so that you can access the funds if you wish. Best FeaturesGOBankingRates uses specific criteria to score and identify the best financial institutions in the country. Among SECU’s strongest features were four particular categories: Breadth of ProductsNot everyone has the time to shop around for the best bank options and maintain multiple accounts across several institutions. So it’s convenient when credit unions are large enough to offer a variety of services including accounts, financial advisory and planning, as well as insurance and loans. Receiving special relationship rates for your loyalty is an added bonus. SECU ranks well in providing nearly everything you need in your financial journey. Ease of UseSECU makes it simple to open an account online or at the 200+ branches throughout North Carolina. The credit union requires individuals to qualify for membership first. Fortunately, the process of qualifying for an account — and opening one — can be handled at the same time. For members comfortable with digital banking, the website and mobile app are robust enough to handle everyday financial needs such as balance tracking, bill payments and mobile check deposits. Customer ServiceBesides the local service available at SECU branches, the credit union is available 24/7 by phone. The Ask SECU knowledge base can answer frequently asked questions. FeesCredit unions typically have lower fees than traditional banks. SECU is no exception. Overdraft fees, which are typically the most expensive fee a bank charges, are free at SECU or just $12 if the account’s overdrawn grace period is exhausted.
Banking ExperienceBranch locations and ATMs located throughout North Carolina mean SECU is always within reach. However, you can avoid in-person banking for most transactions by using SECU’s online and mobile banking services. Either option makes for a positive banking experience. Customer ServiceLocal branches accept calls during normal business hours, which are 8:30 a.m. to 5:30 p.m. Or you can call Member Services 24/7 for assistance. Self-service for account activity and information is available via Member Access, Mobile Access and the ASK SECU 800-number. Branch AvailabilitySECU operates 273 branches located throughout North Carolina. Visit the SECU Locate Us page to search for your nearest branch or browse a full list of locations. Digital ExperienceSECU’s online and mobile platforms have all the usual features, such as funds transfers, bill pay, peer-to-peer payments, account alerts and account activity. Online banking also integrates with Quicken, allowing you to download information from most SECU deposit, credit card and loan accounts. You can even take an advance on the available balance of some loan types in real time. The mobile app is available for iOS and Android. App Store ratings give it just 3.1 out of five stars, but it has four out of five stars on Google Play. ConvenienceWith over 270 branches and ATMs with no surcharges or access fees located in every county in North Carolina, SECU gets high marks for convenience. How To Open an AccountVisit a branch or call Member Services at 888-732-8562 to request membership. Once your eligibility has been verified, you’ll establish your membership by opening a share savings account with a $25 initial deposit. Then you can enroll in Member Access, which gives you access to online and mobile banking, to open additional accounts. FeesAlthough SECU has monthly fees you can’t avoid, you’ll pay just $1 and can have it donated to the SECU Foundation if you prefer. SECU does charge a non-sufficient funds fee, but your share savings account — the one that establishes your membership — automatically provides overdraft protection, and you can designate other accounts and lines of credit for this purpose as well.
State Employees’ Credit Union vs. CompetitorsBefore you make a final decision about which financial institution to bank with, consider several options. Here are some details about SECU’s competitors to help you determine how SECU stacks up.
State Employees’ Credit Union vs. Navy Federal Credit UnionNavy Federal Credit Union members are current or past members of the military or their family members, so the credit union provides them with special services, such as an overseas customer service number they can call collect while deployed. SECU also caters specifically to its membership, which includes North Carolina educators, with products such as the Summer Cash account that makes managing irregular paychecks easier. State Employees’ Credit Union vs. Coastal Federal Credit UnionCoastal Federal Credit Union is easier to join because eligible members include individuals who live, work, worship, attend school or do business in a number of North Carolina counties, whereas SECU membership is more specific and restricted. But if you’re eligible, SECU gives you more account options for your children, especially teenagers. State Employees’ Credit Union vs. Wells FargoAs one of the nation’s largest banks, Wells Fargo offers a dizzying array of financial products and services, and lots of options within each category, such as checking. Unlike banks, credit unions are non-profit, member-owned financial institutions. As such, SECU maintains a more local focus and a strong commitment to its members and its community. Final TakeWith a comprehensive array of banking options — plus credit cards, loans, insurance and investing — SECU can help members manage their money from their teen years through their golden years. If you’re eligible for membership or think you might be, it’s worth your while to call or stop by your local branch to talk to a credit union representative about joining. State Employees' Credit Union FAQSome other points you may be interested in include:
Cynthia Bowman contributed to the reporting for this article. Rates are subject to change. Information on accounts is accurate as of Jan. 12, 2022. Editorial Note: This content is not provided by SECU. Any opinions, analyses, reviews or recommendations expressed in this article are those of the author alone and have not been reviewed, approved or otherwise endorsed by SECU. Is this your bank?Thank You For Signing Up!Get ready to receive top financial tips from the experts at GOBankingRates. Take Advantage of our Best Offer(s)What is the current interest rate on a money market account?Here are the best money market account rates:
Ally Bank, APY: 2.10%, Minimum balance to open account: $0. Discover Bank, APY: 2.00%-2.05%, Minimum balance to open: $2,500. Synchrony Bank, APY: 1.60%, Minimum balance to open: $0. TIAA Bank, APY: 1.60%, Minimum balance to open: $500.
Do credit unions have money market accounts?Key Takeaways. Money market accounts are offered by banks and credit unions and provide the benefits and features of both savings and checking accounts. They generally pay higher interest rates than regular savings accounts and may come with debit cards and limited check-writing privileges.
What is a money market at a credit union?A money market account is a financial product offered by many banks and credit unions that allows you to safely store your funds while earning some interest. Money market accounts combine some features of checking and savings accounts.
Does SECU have a compound interest account?The account has no monthly fees and a small minimum opening deposit. Dividends are compounded daily and paid monthly. Funds in the account can be used as collateral on SECU loans, but checks, ACH debits and Bill Pay transactions are not permitted.
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