Credit Union vs Banks for Mortgage

If you are considering a home mortgage, banks are not the only option. Credit unions like Bellco FCU are known for lower fees and rates, and joining is easier than you think!

Bellco FCU is a member-owned, not-for-profit federal credit union that caters exclusively to members and their needs with a variety of affordable financial services. Like for-profit banks, we offer checking and savings accounts, home mortgages, and credit cards, but with better rates and fewer fees.

Although credit unions like Bellco FCU have become more popular for mortgages and home loans as an alternative to banks and other financial institutions, many people don’t know how we work and what we offer.

Home Mortgage Options

Bellco FCU offers a variety of mortgage options for you to consider, all with competitive rates and flexible terms:

  • Fixed Rate: A fixed-rate mortgage has a fixed interest rate for the entire term of the loan, typically 15 or 30 years. Since the interest rate is locked in, your payment will be the same every month. A fixed rate mortgage is an excellent choice if you plan to live in your home for many years and want the security of a monthly principal and interest payment that won’t change.

  • Adjustable Rate (ARM): Adjustable rate mortgages have an introductory interest rate that lasts for a specified time period and then adjusts up or down every year for the remaining time period.

  • FHA: An FHA mortgage is a government-backed mortgage with less stringent down payment and credit requirements than those of conventional home loans.  The initial costs can be significantly lower than other mortgage options.

  • VA: VA home mortgages are backed by the U.S. Department of Veterans Affairs to help eligible veterans, reservists, active-duty service members, and some surviving spouses purchase a primary residence by offering excellent mortgage terms that most conventional and FHA mortgages cannot match.

  • USDA: USDA Rural Housing loans are backed by the US Department of Agriculture and, when borrowers meet the income requirements, can be a great home financing option, with lower rates than conventional mortgages and other government-backed mortgages, such as FHA and VA home loans.

Are You Eligible to Join Bellco FCU?

Joining Bellco FCU is a simple process; the investment is small and the rewards are huge. You are eligible to join if:

  • You live, work, worship, or go to school in Berks County, PA

  • You are in the immediate family (spouse, parents, children, siblings, grandparents) of a Bellco FCU member, no matter where you live

By opening a primary savings account with as little as $5 and following a few simple steps, you can become a member. And, once you join Bellco FCU, you are welcome to remain a member for life, regardless of where you live or work. Why not start your membership application today?

If you are trying to decide between banks and credit unions for a home mortgage, consider Bellco FCU. We can provide the services you need to help you become financially secure.