Money, a source of income, an asset acquired to increase your income, all these come from one and one destination only, the bank, the place where the money originates, to get a loan, or apply for a credit card we often follow the bank’s certain procedures which are long and tedious, is there any other financial institution that provides the same services but at a faster rate?. Let us know ‘MCU Routing Number’.
Yes, indeed and that would be the MCU which stands for Municipal Credit Union, this is a cooperative bank, which works similarly to our ordinary bank, but with a few differences, for eg: a bank is a profit institution where as a credit union is a non-profit institution. Memberships are required to become a part of a credit union, no membership is required to be a part of the bank.
What is MCU?
As, said earlier it stands for Municipal Credit Union which is a cooperative bank, that acts as a type of NGO (Non-Profitable Organization), the cooperative bank charges low fees for their services, they invest money in small businesses that create jobs and improve financial stability for people using their services. Credit Union does not have customers but “members”, who all share a common bond.
One member’s deposit becomes another member’s auto or business loan, the credit union offers protection similar to FDIC (Federal Deposit Insurance Corporation), these cooperative banks are part of a national shared branch network, which allows you to utilize other credit unions just like they were your own. Though there are a few drawbacks to these cooperative banks, such as limited branches in the countryside and much more.
Credit Union V/S Banks, how are they different from each other?
For a better understanding, we will compare both of them of what these two hold on similar grounds and what makes them different from both of them.
- The banks are owned by shareholders who invested a certain amount with the expectation that the bank will generate a profit in the form of stocks, dividends, or a combination of both, whereas the credit union is owned by their members who have active accounts, where generating revenue is not a priority.
- So, for banks to generate a high revenue their services include, higher interest rates on loans, monthly accounts maintenance fees, and lower interest rates on deposits, but on the credit union side, it is the complete opposite, where there are lower interest rates on loans, high-interest rates on deposits.
If a credit union coincidently makes a profit, it is redistributed among the active members’ accounts, for other service purposes, or making donations to local non-profit or community organizations.
- The banks being a national institute are having multiple branches all over the countryside, so if you are a business person and require cash on the other side of the country, you can get your bank branch anywhere, however, a credit union is very limited to local areas and are not available on a wider side.
- Another limitation of the credit union is technology or more formally mobile app, the banks are at a national level thereby being advanced in technology and have developed a mobile app, to perform all the in-person services which can be performed on a mobile device, whereas the credit union comes short in app technology.
MCU routing number: Purpose and Use
So we know the working of both banks, let us have a deeper understanding of how an MCU routing number works,
For identification purpose, the credit union generate a 9-digit number that is called a routing number which varies from member to member, the purpose is identification purpose and other transaction purposes
The routing number for domestic wire transfer and ACH payment is 226078036, for international wire transfer a swift code is required.
The purpose of having a routing number is for setting up direct deposit in your MCU, pay bills automatically, and have salary, pensions, and payments deposited in your account, the routing number is found just below the cheque.
MCU routing numbers are used in:
Setting up automatic online payment (for larger Credit Union only). Make payments from your bank account through the telephone. In banking institutions routing numbers help in transactions from one person to another.
Even though the routing numbers of MCU and banks are public it is important not to share transaction information with strangers to avoid scams etc. so yes the MCU routing numbers work for their branch of the network while it can be used to make a transaction to other banks or within their own MCU branch.
if you want to find out the routing number of your area, you can call your MCU branch to find out the number, they will let you know, or it can be found in the cheque.
Frequently Asked Questions
What is an MCU number?
this information is available to only MCU members, they can contact (212) 693-4900, this is the call center contact number which they will tell your MCU number.
What does MCU stand for?
MCU stands for Municipal Credit Union.
What bank routing number is 021000021?
That routing number belongs to the JP Morgan bank number.
Is the routing number the same for everyone at the same bank?
Routing numbers are unique to each bank and no two banks will have the same number, larger institutions will have multiple routing numbers.
Conclusion
So, we have covered everything to what an MCU is, how it is different from main banks, and the routing numbers, which are the address source to the different unique banks, although the main bank will have the same routing number, the MCU routing number provides the same perks as the main bank, but only at a lower and beneficial rate.
