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About Credit Unions

Do credit unions pay taxes?

While credit unions are exempt from state and federal corporate income tax, they do pay other state and local taxes, just like any business. For example, all credit unions that own property in Arizona pay the real estate taxes that fund our local school systems. Arizona's state-chartered credit unions pay state and local sales taxes. Credit union employees pay the same taxes as any other employees. FICA, disability, and unemployment taxes are all deducted from their paychecks. Credit union depositors pay taxes on interest just like bank depositors.

How are credit unions different from banks?

Like all cooperatives, credit unions are based on the concept of "people helping people." As a credit union member, you have a say in how your credit union is run. You have a vote, and you can participate in annual meetings, help elect the Board of Directors, and serve as a volunteer. Unlike banks and other financial institutions, credit unions return profits to members in the form of higher dividends on savings, lower fees, lower rates on loans, and expanded services.

How can I find out if I qualify to be a credit union member?

There is a good chance you qualify for membership at Canyon State Credit Union. Click here for membership information. If you don't qualify for membership with Canyon State, we will help you find a Credit Union you may join.

How can I withdraw funds?

Withdrawals can be made by personalized check or check card drawn on your checking account, in person, or by mail with a signed withdrawal request. Members with checking or savings accounts may also use automated teller machine (ATM) cards to make withdrawals at ATMs nationwide. Phone withdrawals may be made by using Phone Banking, our free touch-tone telephone service.

Also, with our affiliation with the CO-OP Network and Allpoint, Canyon State Credit Union members have access to more than 55,000 surcharge-free ATMs nationwide including more than 1,000 in Arizona.

Is my money safe in a credit union?

Your savings are insured up to $250,000 by the National Credit Union Administration, an agency of the Federal Government. An additional $250,000 is available on all Individual Retirement Accounts (IRA). Account disclosures are available upon request.

What is a credit union?

A credit union is a not-for-profit, member-owned financial institution governed by its members. Credit union members normally have a common bond such as where they work, live, or worship. This is known as a field of membership. Since there are no outside stockholders, all earnings are retained by the credit union. That's why credit unions generally pay higher returns on savings and charge lower interest rates on loans than for-profit financial institutions. Once operating expenses and reserve requirements are satisfied, the income generated by loans and investments is returned to the members in the form of dividends, new and improved services, and equity.

What services do credit unions offer?

Savings Accounts: Credit unions help people save to meet their financial goals. Share accounts are basic savings accounts in which money earns a competitive return. Many credit unions offer a variety of savings plans.

Checking Accounts: Credit unions offer a variety of checking accounts, also known as share draft accounts. There are usually no service fees or minimum balances, which means more money in your pocket. Some checking accounts even pay interest, and checks may be free. Add the convenience of VISA Debit Cards, direct deposit, and overdraft protection for the ultimate in checking service.

Affordable Loan Rates: Nearly everyone needs a loan at some point, and credit unions have traditionally been the best place to go. Interest rates are generally lower than with other lenders. Because credit unions consider character as well as collateral, it may be easier to get a credit union loan. Most credit unions make loans to members only, so capital flows back into their communities.

Home Mortgage Loans: Some credit unions offer affordable home financing, from adjustable-rate to 30-year, fixed-rate mortgages. Programs vary with each credit union.

Loans For All Occasions: Other types of loans are available at many credit unions:

  • Home Improvement Loans
  • Home Equity Loans
  • Boat Loans
  • Motorcycle Loans
  • Personal/Signature Loans
  • Consolidation Loans

Many credit unions also offer services such as these:

Payroll Deduction: Allows you to deduct any amount from your paycheck for deposit into credit union savings accounts and for credit union loan payments.

Direct Deposit: No standing in line on payday, no lost checks, and no chance of forgetting to deposit checks if you have your paychecks, Social Security checks, and other regular payments sent directly to your credit union accounts. Your money starts earning interest right away.

Specialized Services:

  • Automated Teller Machines (ATMs)
  • Individual Retirement Accounts (IRAs)
  • Audio Response Systems
  • Insurance Coverage Plans
  • Electronic Tax Filing
  • Personal Financial Planning
  • Credit Cards
  • Debit Cards
  • Stock Brokerage Services
  • Travelers Checks
  • Mutual Funds
  • Money Orders
  • Share Certificates (CDs)
  • Vacation Clubs
  • Overdraft Protection
  • Holiday Clubs
Which office can I use?

Click here for our locations

Who does Canyon State serve?

Founded in 1951, Canyon State serves most Arizona residents. Click here to view our membership eligibility.

Why join a credit union?

Credit Unions are unique. Though we offer many of the same products and services, credit unions are fundamentally different from commercial banks. Organized to serve a group of people with a common bond, such as place of employment, residence, or worship, every credit union serves a specific field of membership and has specific eligibility requirements. By concentrating on serving a defined group of people, credit unions are able to gain a thorough understanding of their members' needs. With this knowledge, credit unions are able to provide an unsurpassed level of service and dedication to the communities where they do business. Apart from differing philosophically from commercial banks, credit unions return all profits to their members by offering great rates that traditional banks can't touch.

Why should I join a credit union?

At a credit union, you're a member, not just a number. You'll find personal service and often higher returns on savings and lower interest rates on loans.

Credit unions score high in consumer satisfaction. For 11 straight years in Gallup surveys, they've bested banks, thrifts, and other financial service providers.

Thanks to computers, phones, ATMs, voice response systems, faxes, and shared service centers, you don't always have to physically go to a credit union office to open an account, deposit, withdraw, transfer funds, or even apply for a loan.

Look into the services offered by each credit union you are eligible to join, and pick the one most convenient for you.

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