Checking Accounts - Service Federal Credit Union (2024)

FAQs

What are checking accounts at credit unions called? ›

If you use a credit union, you are the member of a nonprofit cooperative. Often, savings accounts are called share accounts, while checking accounts may be called share drafts. Banks may offer more diverse products and services to fit the needs of many different customers.

Credit unions refer to checking accounts as share draft accounts. While it might not affect how you use the account, share draft accounts are a form of ownership. This means you are a partial owner of the credit union, while checking account owners are customers of banks.

It allows you to easily deposit, withdraw, and transfer funds. Checking accounts are set up to accept deposits from various sources, such as your paycheck, cash, and account transfers. Checking accounts also allow you to make withdrawals by writing checks, accessing an ATM, using a debit card, or electronic transfer.

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Lower fees: Because credit unions are not-for-profit, they typically charge lower fees than banks. Higher savings rates: On average, you'll find better interest rates at credit unions than banks, though some high-yield accounts at banks rank at the top of the industry.

The technical name for a checking account is a Demand Deposit Account (DDA). With a DDA, a bank is required to give the depositor his or her money 'on demand', or when requested.

At credit unions, depositors are called members. Each member is an owner of the credit union. Since credit union members are owners, each member, regardless of how much money they have on deposit, has one vote in electing board members. Members can also run for election to the board.

What Are Account Nicknames? Account nicknames are a way to easily identify and personalize your accounts in Online Banking. Using this feature is especially helpful if you have multiple checking or savings accounts, credit cards, or other types of loans.

You can use a checking account to deposit checks, pay bills, make purchases and transfer funds. However, checking accounts aren't all the same. Some checking accounts offer high interest or rewards, while others cater to a particular financial need. The best checking accounts keep minimum requirements and fees low.

What are the most common checking accounts? ›

Traditional checking account

This is a type of checking account in which you use checks and a debit or ATM card to withdraw money or make transactions, and they sometimes offer online bill pay services. You can open a traditional checking account at most banks and credit unions.

The number of checking accounts any one person can have is entirely up to them. There's no limit on the number of checking accounts you can open, whether you have them at traditional banks, credit unions or online banks.

Enter the credit union's name and check the "Charter State" field. If the field says “CA,” your credit union is chartered in California. That means it is regulated by, and complaints can be filed with the California Department of Financial Protection and Innovation or DFPI.

Some credit unions use text messages for legitimate communications in order to help protect their members' information, accounts, and to provide other convenient messages. Here are some examples of what a credit union would NEVER text you.

If you deposit the checks and they are later found to be fraudulent, you will likely be required to pay the deposited funds back to your credit union or bank. Be on guard.

A checking account is a type of bank account that allows you to deposit and withdraw money, write checks or use a debit card to make purchases or pay bills. This type of account is sometimes called a transactional account, as an individual can draw money from it for day-to-day needs, making it easy to access.

Regular and Money Market accounts, Certificates, and other plans available. Most credit unions offer at least one of the following accounts: free checking, prime-time checking, or interest-bearing checking. A wide variety of loan types including personal, auto, secured, home improvement, mortgage and credit cards.

Checking accounts are also called a demand deposit account (DDA) because the funds can be withdrawn without advance notice (“on demand”).