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.
|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.