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I was November 5 for anybody who didn't -- -- did consumers decide to change banks what this day successful.
Well yeah it was pretty busy for him a lot of credit unions and probably models a lot of smaller banks to.
We did a quick survey on Monday and asked -- our member creditors what happened and based on that -- we estimate that there were about.
Consumers opened up new credit union accounts on Saturday.
That's just multiple we would normally expect to have fewer than a thousand on a Saturday so it was it was phenomenal and this follows on the fact that.
We had we estimate 650000.
New accounts opened -- credit unions for the full month of October leading up to bank transferred -- so.
You know we -- blood bank transferred David we think this is sort of bank transfer season there was just one day in the middle of the season.
And I talk a little bit -- to bid.
Big differences between a credit union at a bank.
Well the main thing is is that is that the credit union -- provides all the same services is a bank but it actually is a cooperative -- really is owned by its members.
And so the only job that accredited has -- to please its members who happen to be its customers.
Where is -- bank of course tested in addition to being providing good service -- and a good deal for there.
Customers whenever they can also remain mission in life is to preserve -- stockholders and -- nothing wrong with that model with -- with -- that the capitalist model.
And in a competitive system within -- -- work well also and so because the credit unions is only owned by its customers who are its members.
They tend to offer better deals across the board you know if it's not like credit -- have no fees they have much lower fees and banks typically do.
Have lower loan rates and banks do they pay higher rates on deposits and on many cases they have no fees and where they do have fees vary their fees tend to be lower than merit a bank.
And so yeah any any examples of how some people have benefited from making.
That transition -- one way or the other.
It's it's still way early to tell now but what what.
What tends to happen is if you have a credit union account.
You're in the first place you're gonna have -- -- to start out with and also not gonna have so many hidden fees -- -- you were talking a few minutes ago about how.
When when banks get overdraft -- they -- -- amount to take the biggest 11 to increase the chance that there's an overdraft in the can charge more fees.
-- credit is much less likely to do that the credit union.
-- if they get a bunch of overdrafts and today we're just taken that what was or they came in.
Or many credit unions will deduct the checks from lowest to -- to -- the two largest in order to minimize the sorts of fees that are.
-- -- -- -- -- Figure that the credit union you know we talked to people who are members -- credits to folks who belong to credit as well as things that tell us is that.
When I go to the credit united impression now not out to get me you know -- on my side and and that's been pretty pervasive in the culture credit -- again because of the ownership structure.
-- -- Some states have seen a bigger boom in credit unions and other know California right now as the biggest.
The biggest -- anyway bring in an estimated 90000 new members.
Followed by text says and so on so is there any reason for more of the draw in one area and then another -- Perhaps have more perks an urban setting up -- vs in rural setting.
-- -- -- -- two things first of all that the states with the biggest card exposure to credit in the first place of the ones that we think -- of the biggest increase in membership.
But on top of that we do think that that cravings and urban centers -- have the bigger pick up in membership from this this whole bank transfer date.
Publicity because it was basically in larger cities where.
The that it's important to realize there was not a direct connection between the occupy whatever the -- Occupy Wall Street are occupied fill in the blank.
Demonstrations and the bank transfer -- But a lot of folks mix those two up and therefore the areas for which there was coverage of an of an occupying movement there was more likely to be coverage for from the bank -- -- -- for for those though we think those are the main reasons why.
We tended to have a bigger kick in those areas we're doing it in larger urban areas.
And I wonder in this survey they did aside from Ziering in on these topics -- -- sort of our read.
In terms of growth or general where the economy is going to be giving any -- read on how credit unions are fitting into that.
Well we didn't get that from that survey rhetoric we're in the we're in the business of keeping track of growth credit has all the time I would -- -- -- -- in trade association is an economist for them.
And what we're seeing from credit unions is.
-- and also just from other economic data is that.
They're consumers psychology is still really really lousy that's a technical term it's really bad right.
The household sector feels it that the level of consumer confidence right now is as low as it was.
In -- for early stages of their government coming out of the recession back in 2009.
In fact consumer psychology right now is worse than it was at the bottom of any of the previous post war recessions.
That's the recorded consumer conference but people do appear to be starting to spend.
And and we we think -- reason for that is that the low level of consumer confidence is.
Less an indication of people's view of their individual economic situation and just absolute frustration with what's going on.
Political -- from both sides of the political spectrum of where we're mired in this deep long recession and no one seems to have -- answers to get out of it so people are pessimistic about the economy.
But they're starting to spend partly because they've been doing so little spending for the last few years that they've built up some backlogs of demand.
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