How Do You Compare Banks With Credit Unions?
There are several facets involved in taking control of your finances. One aspect is taking an active role in deciding what type of financial institution to use. If you compare Banks and Credit Unions, you’ll discover that both are capable entities, but with some important differences. Make an informed choice. Compare financial institutions before deciding where to invest your assets. Understand who’s in charge. Banks are for-profit institutions who answer to stockholders and a paid Board of Directors. Credit Unions are non-profit organizations, owned and democratically controlled by the membership. Membership elects Credit Union Board Members from their membership and Board Members work in a voluntary capacity. Follow the dividends. Surplus earnings, (funds beyond expenses and required reserves), are returned to Bank investors. Credit Unions typically use this funding to reduce loan rates and offer low-cost member services, as well as returning a small portion to the members in dividen
