Seven Compelling Reasons to Get Your New Orleans Small Business Loan from a Credit Union
Are you a New Orleans small business owner shopping around for a commercial loan? Many people bank with nationwide for-profit banks, and their first inclination is to apply for a loan with the bank they know. If you’re not a member of OnPath Federal Credit Union already, or you’ve never thought about branching out and looking for alternative funding solutions, now might be a good time to learn about all the benefits of joining a local FCU.
Lower Interest Rates
The big nationwide banks are always looking for ways to maximize the money they’re paying to investors. Not-for-profit credit unions don’t work that way. Instead, we’re focused on doing what’s right for our members. Credit unions typically offer lower interest rates than banks, which can help small business owners save money over the course of their loan.
Flexible Loan Structures
No two businesses are identical. Each faces its own unique challenges. Some of those challenges might make it difficult for you to qualify for a loan. Credit unions are often willing to work with small business owners to create a loan structure that meets their specific needs.
Credit unions are local institutions, which means you can get personalized attention from people who know and understand the local business climate. Some national bank employee living in an entirely different state and city might have little to no understanding of what it’s like to run a business in New Orleans. We know our community and the businesses that make it thrive.
Because every member of the OnPath Federal Credit Union team is local, our business loan administrators can often make decisions about loan applications more quickly than a far-off bank employee who doesn’t know you or your business.
Credit unions generally have fewer and lower fees than the big nation-wide banks, which means small business owners can save money on their loan. One of the major perks of banking with a not-for-profit institution is the reinvestment of funds for the benefit of members rather than dividend payments to investors. Those extra funds are often put toward fee reductions.
Less Stringent Lending Criteria
Major nationwide banks are understandably obsessed with profits, which means squeezing every penny possible out of their customers while minimizing any conceivable risk. This can often put small businesses in New Orleans at a disadvantage, especially if you need a bank to give you a fair shot. Credit unions are in the business of doing what’s best for their members, which means they’re often more flexible in their lending criteria for existing member businesses. At OnPath Federal Credit Union, we’ll go above and beyond to make your loan work.
Personal relationships are important in business, especially when it comes to things like qualifying for financing. At OnPath Federal Credit Union, we’re committed to developing strong relationships with our members. We benefit when New Orleans benefits, which is why we’re always looking for ways to strengthen the businesses in our community.
Are There Disadvantages of Working with a Credit Union?
The alleged disadvantages of using credit unions for business banking are often things like limited branch locations and ATM access compared to nationwide banks or fewer financial product options. While that may be a legitimate concern with smaller, more specialized credit unions, it’s generally not an issue for OnPath Federal Credit Union members.
Members have fee-free access to more than 30,000 ATMs across the country. You can visit the Co-Op Credit Union’s ATM locator site to find participating fee-free ATMs near you – wherever you happen to be.
OnPath Federal Credit Union also has a robust suite of business banking services ranging from feature-rich business checking and competitive commercial loans to Select Employee Group (SEG) services that give your employees access to a host of free or low-cost financial tools. SEG can be a real value-add to your benefits plan and can help set you apart from competitors when you’re recruiting.
Member businesses also benefit from all the traditional positive aspects of banking with a credit union instead of a national for-profit bank. As a not-for-profit institution, we’re in business to serve the needs of our members, which means any profits get reinvested to enhance earned dividends on savings and checking products, lower rates on loans and reduce fees on products across the board.
If you’re a business owner, it’s likely that we offer all the financial services you’re seeking with competitive rates and fees.
Consult with Our Business Banking Professionals in New Orleans
If you’re a business owner shopping for a commercial loan, consider discussing OnPath FCU business loans with our lending team. We would be happy to give you a no-obligation consultation on your business loan options. Give us a call at 800.749.6193 to learn more.