Credit unions are a popular alternative to banks for financial services. International Credit Union Day is on Oct. 20, so GOBankingRates researched the best credit unions in 15 categories. Everything from federal credit unions and national credit unions to community credit unions and local credit unions were included in the study, and the findings might surprise you: The largest credit unions aren't necessarily the top credit unions.
Whether you're looking for a credit union with low mortgage rates, free checking or just a cool mobile app, check out this year's top picks to find a credit union that might improve your financial life.
Best Credit Union for Car Loans: Pentagon Federal Credit Union
With rock-bottom rates as low as 1.49% APR for a new auto loan on a 2016 or 2017 model, PenFed offers among the lowest credit union interest rates on car loans. Other options include a used-car loan rate as low as 1.99% APR. Whether you want a used Mazda or a new Mercedes, PenFed has you covered with available loan amounts ranging from $500 to $100,000. These rates are for 36-month loans, but even 72-month loans feature rates less than 3 percent for a new-car loan and 4 percent for a used-car loan. PenFed offers loans up to 110 percent of the car's value, and you can even apply online.
PenFed is over 1.4 million members strong and has more than $20 billion in assets, which gives it the power to offer many benefits and great rates to members. Many of its members are actively employed by the military, state and local governments, government contractors and school systems.
Read: 10 Best Credit Unions for Car Loans
Best Credit Union for Credit Cards: State Department Federal Credit Union
Credit union credit cards typically come with a wide variety of features, but because it offers credit cards with no annual fee, a low-interest rate and plenty of rewards, the State Department Federal Credit Union Visa Platinum Card wins this category. This credit union card also features no foreign transaction or balance transfer fees. Add to that interest rates that start at 7.24% APR and this card is darn competitive.
One downside is the card's lack of a sign-up bonus, but it does come with a rewards program that offers one "Flexpoint" for every dollar spent. Flexpoints can be redeemed for merchandise, gift cards, travel and charitable giving.
Best Credit Union Anyone Can Join: GTE Financial Credit Union
GTE Financial Credit Union did well in most of the survey's categories, but it really stood out for its annual percentage yield on savings accounts -- 2.49 percent -- for those who qualify for its Member Advantage Program. Of all credit union savings rates, GTE's is the best. GTE Financial also offers a comprehensive set of products, including home, auto and student loans, and credit cards.
To join, you must fund your primary savings account with $5, which GTE will automatically transfer from your primary savings to a Member Owner Share account. The $5 represents your ownership and membership in the credit union. GTE also offers its members free checking and savings accounts, free bill pay and free person-to-person payments. And, of course, anyone can join -- at least, anyone with $5.
Best Credit Union for Checking: Alliant Credit Union
Last year, Alliant took the top spot for best online services. This year, it takes top honors in the coveted checking-account category, based mainly on its relatively low insufficient funds fee of $25 for its free checking account.
Alliant Credit Union's checking account has no monthly maintenance fee, no minimum monthly balance requirement and an out-of-network ATM fee reimbursement of up to $20 a month. Customers get their first box of checks free, too. The account, which offers free bill pay, is compatible with Android Pay, Apple Pay and Samsung Pay.
Best Credit Union for Savings: Alliant Credit Union
Alliant won this category thanks to its 1% APY on its High Yield Savings account in addition to its lack of account maintenance fees. You do have to make a $5 minimum deposit and the interest kicks in only for balances of $100 and up, but according to the website, Alliant will pay the $5 initial deposit for you.
If you're wondering why "Anyone Can Join" category winner GTE Financial Credit Union didn't win this category with its 2.49% APY savings account, it's because that account comes with strings attached: Unless you meet certain criteria, you have to pay a monthly maintenance fee.
Best Credit Union for CDs: Affinity Plus Federal Credit Union
Affinity Plus edged out the competition for credit union CD rates because of its high APYs on CDs combined with low minimums. For instance, its one- and two-year CDs, with a minimum deposit of only $500, will earn you 0.5% APY and 0.75% APY, respectively. Perhaps that's not enough to make you do a happy dance, but it's something.
It's worth noting that Affinity Plus offers a 1.5% APY five-year CD rate. Affinity also offers checking, savings and money market accounts, as well as a variety of loan products.
Best Credit Union for Mortgages: Lake Michigan Credit Union
A mortgage is one of the biggest financial decisions you're likely to make during your lifetime, so it's important to choose your lender wisely. This year, winner in the all-important mortgage category goes to Lake Michigan CU for its low interest rates on both 30- and 15-year, fixed-rate mortgages.
Lake Michigan offers a 3.67% APR and 2.97% APR on a 30- and 15-year mortgage, respectively; however, the 15-year option carries a 0.125-percent point fee. The credit union also offers construction, vacant land, refinance and home equity loans, as well as FHA mortgages.
Read: Advantages and Disadvantages of Credit Unions
Best Credit Union for Customer Service: Hughes Federal Credit Union
Nothing is more frustrating than having a problem with your bank and not being able to talk to someone immediately about it. Customer service is a biggie in banking and, in this technology age, it comes in many forms. For this category, the study looked at five criteria: live chat, 24/7 phone customer service, 24/7 voice response service, and presences on Facebook and Twitter.
Hughes Federal Credit Union scored a perfect five out of five, edging out GTE Financial CU, which scored a four because it doesn't offer 24/7 phone customer service. Hughes, which serves the people of Tucson, Arizona, has also received many accolades from its local paper's readers. Apparently, the personalized service is paying dividends in more ways than one.
Best Military Credit Union: Navy Federal Credit Union
At the risk of making the U.S. Air Force, Army and Marine Corps angry, this year's best military credit union award goes to the U.S. Navy. Navy Federal CU beat out its next closest rival, PenFed CU, in a few crucial categories. Navy Federal CU's free savings account pays 0.25% APY, as opposed to PenFed's 0.05% APY. It also pays a slightly higher yield for a 12-month CD and has no mandatory minimum deposit for its free checking account, whereas PenFed requires a $25 minimum.
You don't have to be a member of the U.S. Navy to join Navy Federal Credit Union: Any active-duty members in the U.S. Army, Marine Corps, Air Force or Coast Guard can join, as well as veterans and civilians who work for government agencies. Even better, all of the aforementioned groups' immediate family members are eligible for membership, too.
Best Credit Union Mobile App: SEFCU
Talk about an important category -- with everyone on the go these days, mobile banking is not just a perk, it's a necessity. And although there are a lot of great mobile apps among credit unions, SEFCU's garnered particularly high marks from its Apple Store users.
The app is impressive for a few reasons. One, it's available for iOS devices, Android devices and Kindle Fire devices. The app has all the features you might expect, including easy mobile deposits, quick balance checks, and a locator that shows you its ATM and credit union locations. However, it also features bill pay, transfers and member-rewards offers. Major kudos to this straightforward app that customers say is very easy to use.
Best Credit Union for Investors: Community First Credit Union
If you want more than just checking, savings and loans from your credit union, many organizations can accommodate you. If you're an investor looking for a credit union, Community First offers everything from financial and estate planning to mutual funds, stocks, IRAs, 529 college savings plans and a wide variety of insurance products.
Community First CU also has some cool online tools to help you stay on top of your investments. The website features a newsletter and a Market Watch page that provides summaries on the state of the Dow Jones industrial average, Standard & Poor's 500 index, Nasdaq composite and more, as well as video reviews of the markets. The credit union's site also offers video seminars on a variety of investment and planning topics. The page covers everything from financial planning basics to Roth IRA conversions to advanced estate planning.
Best Credit Union for Online Services: Alliant Credit Union
Sure, lots of institutions offer credit union online banking, but Alliant's online credit union services are every bit as impressive as its mobile app. Alliant features innovative technologies and tools that help members manage their finances easily and responsibly. It also offers online account management, including bill pay and e-Statements.
Alliant also offers some unusual features, such as free access to your credit score and quarterly updates on it so you can keep an eye on any changes. Alliant's budget-and-planning tool is also pretty cool, too; it gives you an overview of your spending by category, which enables you to make informed budgeting and spending decisions in seconds. In short, Alliance makes online credit union banking easy.
Best Credit Union for International Travelers: Associated Credit Union
If you're a jet-setter, credit card and foreign transaction fees can really add up. Associated Credit Union's Visa Platinum Preferred credit card carries no annual fee and no foreign transaction fee, so you can go abroad without worrying about racking up big costs. The card also has low interest rates, ranging from 9.9% to 12% APR.
The Visa Platinum Preferred credit card offers users rewards points they can redeem for travel and merchandise. Members can also enjoy plenty of banking options when they travel domestically. Associated CU is part of a nationwide credit union co-op that provides service at 5,000 shared branch locations, 2,000 self-service locations and nearly 30,000 in-network ATMs. Members also receive perks like discounts on AAA memberships and car rentals through National and Alamo.
Best Credit Union for Scholarship Program: OneAZ Credit Union
Credit unions and their employees often have a close connection to their communities, and perhaps that's why many give back through college scholarships. An impressive example of this is the OneAZ Community Foundation's scholarship program. It offers 20 $1,000 scholarships and one $4,000 scholarship to Arizona residents enrolled full-time in an undergraduate program during the 2016-2017 school year.
Best Credit Union for Financial Counseling Services: Community Financial Credit Union
Like many credit unions, Community Financial offers financial counseling services free to its members through its Accel Members Financial Counseling program, which can serve as an invaluable resource for those who feel they're in over their heads with loan payments or bills. Through Community Financial, you can gain access to professional financial counselors who provide a detailed action plan to help you straighten out your financial situation.
In addition, you can opt for credit-report counseling and gain access to a debt-management plan in which your financial counselor contacts creditors on your behalf to try to work out a payment plan that matches your budget. Other free perks include online tools, forms and advice designed for budgeting; tips on merging finances when you get married; and guidance on how not to blow an unexpected windfall of money, which might just be the best problem you can have.
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GOBankingRates is a personal finance and consumer interest rate website owned by ConsumerTrack, Inc., an online marketing company serving top-tier banks, credit unions, and other financial services organizations. Some companies mentioned in this article might be clients of ConsumerTrack, Inc., which serves more than 100 national, local and online financial institutions. Rankings and roundups are completely objective, and no institution, client or otherwise, paid for inclusion or specific placement. Any opinions, analyses, reviews or recommendations expressed in this article are those of the author's alone and have not been reviewed, approved, or otherwise endorsed by the companies included in the article.
This article originally appeared on GOBankingRates.com: Best Credit Unions: 15 Top Picks for International Credit Union Day