When trying to improve your credit, you have options that extend beyond traditional banks. Credit Unions offer a range of services designed to help members with problem credit. After all, these financial institutions are not all about making a profit. They have no stockholders waiting for profits. Instead, they are a member organization geared toward helping each account holder with their financial goals, and that shows in the services they offer.

Consider Credit Builder Loans

Many credit unions offer small loans that are designed solely for the purpose or rebuilding credit. Modest interest rates are fairly common, and the structure ensures no additional debt comes with the loan generation. All of the money lent is deposited in a savings account that you get once you’ve paid off the loan. No, you don’t get instant access to cash, but you do get a great way to build up a better credit history.

Free Credit Counseling Available

You may not see a lot of ads about credit counseling, but your credit union probably offers it. Counseling sessions typically focus on cash flow and giving you a better look at your overall financial situation. Just a few sessions can really help you feel more confident in managing your current finances. You might even get help working out a budget or creating a plan to pay down your debts. Some credit unions have online tools that can help as you pursue your financial goals.

Open a Secured Credit Card Account

While your credit history might make it difficult to open an unsecured credit card account, you always have the option of choosing a secured account. With a secured credit card account, you deposit collateral against the credit limit. If your credit is in recovery, you might only need to deposit a portion of your total limit. If you are behind the eight ball financially, you might need to deposit an amount equal to your credit limit. Either way, having the credit card account and making regular payments can help you rebuild your credit.

Credit unions often have a variety of options for rebuilding credit, usually with lower fees than you’d pay in a traditional bank. Just be sure to ask about the options. Many credit unions don’t advertise programs like their credit builder loans or secured credit cards.

Sources: Bankrate, Lexington Law, The Balance