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Credit Union Pushing Stocks??

paoli2   |     |   2,212 posts since 2011

I cannot believe the conversation I just had with one of our credit unions and  wonder what is going on in the background that we aren't aware of.  I was calling to see about getting our interest transferred to a local savings account instead of being mailed and the rep said he was going to switch me over to one of their "investment counselors first".  I asked what did their investment counselor have to do with this request and was told "have you considered investing in stocks or bonds?    They can guide you with better investments than CDs." 

Well I told him their investment counselors should check the "age" of their customers before suggesting riskier investments to them and I was much older than my youthful voice.  I also told him "if" I had been with their stocks maybe I would not have had the money to put in their CDs now or at any time.  He said he never thought about it that way and decided to check on my original request.

What I am concerned about after that conversation is whether or not banks and credit unions are maybe trying to get out of the CD business so they won't have to pay us any interest.  Could this be the reason they are now even trying to push phone call customers on to their "financial advisors"?  Is the day of the CD coming to an end??  Where will they get money for their loans if they don't sell CDs?  I know they can get some from the government but not all if they ever have a lot of  people needing loans.  Just wondering if anyone else has had such an odd experience.  Thanks.

Ally6770   |     |   1,925 posts since 2010
There have been brokers in credit unions for 30 years or more in my area. This is nothing new. 
Everytime I cash in a CD, make a large deposit or buy a CD this is what I hear from both a credit union and a bank. Nothing new here. I think the credit union brokers are employees of CUNA, but work in a local credit union office. 
paoli2   |     |   2,212 posts since 2011
It may not be new but I do think it is getting to be more persistent than it was years ago.  I have never had a bank or credit union wanting to put the financial person on a call I was making to them about a completely different purpose.  They usually approached us while we were in the bank.  Time will tell where they are really going with this and what new changes it will eventually bring to banking as we know it.