What is the difference between a Credit Union and a Bank? Most people never notice the differences between Credit Union and Banks. If you’re in the market for a new financial product, its best to find out the difference between them and get the best deals right for you. By reading these fast facts about credit unions, you’ll know what to expect.
What is a Credit Union?
“What’s the difference between a Credit Union and a Bank? For a starters, at Credit Unions, you are a “member”, while Banks refer to you as a customer, in most cases, Banks are owned by stock holders, while others are held by a smaller group of individuals. Either way, these individuals are seeking a personal profit, which may not necessarily be the same goals as their customers. It’s different with Credit Unions, as we are owned by the individuals that deposit money. Our members, every member has a share of ownership in the Credit Union. So, as a depositor the owner or the Credit Union happens to be you. Instead of giving profit back to shareholders Credit Unions are able to use that money in ways that benefit members.
What product to Credit Unions offer?
Credit Unions offer exceptional personalized services and competitive interest rates along with a wide range of financial products designed to complement a variety of member’s needs. These include checking and savings accounts, credit cards, ATM cards, mortgages, student loans, investment products, financial planning and much more.
Is money secure with Credit Union?
Credit Union members in Australia their deposits are insured way much like your bank deposit.
Which should you choose?
This depend on individual personal choice base on your priorities, individual need, convenience and the availability.