If you aren’t sure what the difference is between a credit union and a bank, don’t worry—we’re here to clear the air.
Credit unions are member-owned, not-for-profit financial cooperatives, which means they exist solely to help their members succeed financially. Sounds pretty good, right? Check out the chart below to learn more.
Rotate your phone sideways or swipe to the side to view full table.
| Credit Unions | Banks |
|---|---|
| Not-for-profit | For profit |
| Credit unions return earnings to members in the form of lower loan rates, higher savings rates, and free or low-cost services. | Banks return profits to shareholders. |
| Each person who deposits money into the credit union is a member with a share of ownership. | Customers have no ownership in the corporation. |
| Credit unions are controlled by a Board of Directors elected by members. | Banks are controlled by stockholders who elect the Board of Directors. |
| Credit union board members are volunteers. | Bank board members are generally paid for their service. |
| Credit unions are only allowed to serve a select group of individuals that have a common bond such as where they work, live or even their religion. | Banks can serve anyone in the general public. |
Take advantage of the credit union difference today, and learn how to become a member.
