Why Credit Unions Vs. Banks?

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Why Credit Unions Vs. Banks?

Have you ever wondered, what is the difference between a credit union and a bank? Well, you are not alone. Many people don't understand the difference between these two financial institutions, or why a Credit Union is such a smart choice to make.

Advantages of Credit Unions

  • Credit Unions are not-for-profit, while banks are for-profit and must satisfy the needs of their shareholders.
  • Credit Unions are owned by the members (meaning you) and work to satisfy the needs of the members, not shareholders.
  • Credit Unions offer the same kinds of services that most banks do, but they usually have better customer service.
  • Credit Union focus is on providing savings and benefits to members, unlike big banks who focus mainly on profits.
  • Credit Unions generally provide lower interest rates on loans and credit cards than most banks.
  • Credit Unions generally have higher dividends on savings and checking accounts.
  • Credit Unions generally have fewer or lower fees than most banks. 

It's easy to see why many people have made the move from mega banks to Credit Unions. If you would be interested in joining Communication Federal Credit Union, please visit your nearest branch or use our convenient online application and switch kit today.