Although there are strings attached to the super-high-rate accounts -- such as having to sign up for direct deposit and use your debit card -- the rates ranged from 3.4 percent to 5 percent, about twice what you could earn on a certificate of deposit today, Shafer said. And unlike some bank deals, these aren't "teaser" rates destined to evaporate in a month or two, he added.
Are your deposits as safe in a credit union as they are in a bank? Absolutely, Long said. They're backed by the National Credit Union Share Insurance Fund, which is a sister agency to the Federal Deposit Insurance Corp. and mimics FDIC rules. That means that each account owner gets up to $250,000 in coverage this year.
However, if you are wise, you'll shop for a credit union just like you'd shop for a good bank. The services, rates and fees of institutions can vary widely.
The best way to shop is to start with a list of the things you want -- free online banking, perhaps; fee-free access to your cash through automated teller machines; a home equity line of credit; auto loan or loan for your business, maybe. Turn your list into a grid, with the services you want scrolling down the left margin, and columns for at least five credit unions where you'll check rates and terms.
Now find a group of credit unions that will accept you for membership by using the search tool at www.creditunion.coop. The search tool provides general information about each credit union, including the parameters of membership when the credit union opened. Many have since vastly expanded their membership, Long said. So, you'll have to click on a link to the credit union's home site to determine whether you can join.
When you find an institution that will take you, pull out your checklist. Most provide information about their rates and fees right on their Web sites. If you're efficient, this cost comparison will take about half an hour.