Should I Keep Cash at Home?

March 9, 2022

A lot of people are asking should I keep cash at home? The short answer is no, but it’s natural to want to feel in total control of your money, especially during times of uncertainty. We understand the seriousness of the situation in Ukraine and the security concerns it has raised locally, across the country, and globally. Your Credit Union is strong, secure, and your money is safe with us and that’s why we’re sharing what keeping your savings at home versus at a Credit Union can really mean for you and your financial future.

Keeping your money at home:

  • Higher risk of losing your money. You could lose your hard earn savings to fire, theft, or water damage, which is not insured by homeowners or renters insurance.
  • More time spent and room for error managing bills. Keeping large amounts of cash could prevent you from paying essential bills from home like your mortgage, car payment, or electricity bill or cause you to make multiple trips to deposit money needed for automatic payments. At Northern, we make banking simple with tailored solutions and advanced technology designed to save you time, so you can focus on what matters most.
  • You could accidentally throw it away or forget where it is. In 2009, a woman in Tel Aviv gave her mom a new mattress and threw away the old one. There was just one problem – the mom had hidden $1 million of her savings inside the old one.

Keeping your money at a Credit Union:

  • You’re insured! Deposits at Northern Credit Union are insured by the National Credit Union Association (NCUA). The NCUA is a U.S. government agency that allows Credit Union members up to $250,000 of insurance per individual depositor. Your money is protected at Northern no matter what’s happening on Wall Street or with the economy.
  • More automated savings in the long run. Your money won’t earn any interest under your mattress but can grow right before your eyes in interest-earning savings or checking accounts. Plus, our checking accounts offer great perks like ATM fee refunds and cashback or dividends. You can even set up direct deposit and automatic transfers to separate accounts and shares, making it easier than ever to build your savings.
  • Dedicated team to help with your financial goals. As a not-for-profit community-focused credit union we aren’t focused on generating profit for the bottom line, but instead on providing an institution for member-owners to gain information and professional guidance to make the best possible financial decisions for their families.
  • We’re Member Owned. At Northern, you’re part of something bigger, a local community of members that believes in lending a hand and giving back. When you bank at Northern, you’re part of a cooperative owned by the people who save and borrow here and you have a stake and an equal voice in the future direction of your Credit Union and you’re treated with the utmost respect and appreciation; whether you have $50 or $500,000 on deposit. We have no outside shareholders, all of our decisions are made locally, and earnings are returned to members in the form of lower rates on loans, higher dividends, fewer fees and better service.
  • Feel safer not carrying cash. Have your wallet stolen? A stolen debit card means calling to deactivate it and getting a new one. A stolen wad of cash means you’re probably never going to see that money again. You’re also more likely to be targeted if seen with lots of cash in your wallet or bag.
  • You’ll feel less tempted to spend it! Having a stack of money before your eyes can feel good but so does spending it. You know what they say, out of sight, out of mind and it never hurts to remove the temptation to spend money that you might need for emergencies later.

Your financial well-being is the “why” for our existence – your why, is our why, and we’re committed to helping you reach your goals. Whether that’s through the dream of homeownership, your first vehicle or credit card, earning a college degree, providing your daughter or son with their dream wedding, or getting through tough times. We’re committed to being your partner, and we’re here when you need us most. Northern Credit Union owes its success over the last 67 years to our loyal and valued member-owners and we are so grateful for that! If you have any questions or concerns over the safety of your money, please reach out to us.