What Are Stocks?

A stock represents ownership in a company.
When you buy a share of stock, you own a small portion of that business. If the company grows, the value of your stock may increase. If the company struggles, the value may decrease.

Think of it like this: the company is a whole pizza, and your stock is one slice.

Why Do People Invest in Stocks?

• Growth Potential: Stocks have historically grown in value more than most other investments over time.
• Ownership: You directly benefit when a company succeeds.
• Dividends: Some companies share profits with investors in the form of dividend payments.

Stocks come with risks, but they’re also one of the most popular ways to build long-term wealth.

Getting Started with Bits of Stock™

Normally, you would have to buy stocks through a brokerage account, but Bits of Stock™ makes it simple by letting you earn stock rewards from your everyday purchases with your ALLIANCE debit card.

Here’s how it works:

• Use your debit card for qualifying purchases.
• Stock rewards are added to your Bits of Stock™ account as fractional shares.
• Over time, you build ownership in real companies just by spending as you normally would.

It’s an easy way to dip your toes into investing without needing to choose individual stocks or commit a large amount of money upfront.

Things to Know

• You’ll need to open a Bits of Stock™ brokerage account to receive rewards.
• Only qualifying debit card purchases are eligible (ATM withdrawals, teller/ITM withdrawals, and cash back don’t count).
• Round-Up Investing lets you invest spare change by rounding purchases to the nearest dollar (must maintain a positive balance).
• Selling stock to access funds may take 2–5 business days.
• Stock values can go up or down, and rewards are not insured or guaranteed by ALLIANCE Credit Union.
• Rewards may count as taxable income: consult a tax advisor.
• The Free Plan is included with eligible accounts. You can also upgrade to Premium (paid directly to Bits of Stock™) for extra benefits.

Final Thought

Stocks don’t have to be overwhelming. With Bits of Stock™, you can start learning about investing while building ownership in companies, one purchase at a time. Think of it as a hands-on way to begin your investing journey.