Credit Unions vs. BANKS

Credit Unions

Banks

Return profits to members in the form of lower loan rates, higher savings rates and low or no fee services

Return profits to a small group of stockholders

Have members - each person who deposits money has a share of ownership.

Have customers

Federally insured by the National Credit Union Association (NCUA)

Federally insured by the Federal Deposit Insurance Corporation (FDIC)

Credit Union members vote for the Board
of Directors

Have customers that do not have voting privileges

Not-for-profit institutions

For-profit institutions

Democratically controlled by member-owners

Controlled by stockholders and paid officials

Serve only those within their field
of membership

Serve anyone in the general public

Have a volunteer Board of Directors

Have a paid Board of Directors