2006-11-24 05:13:38 · 6 answers · asked by stasia1959 1 in Business & Finance ➔ Credit
A credit union is "member owned" where a bank is private. Credit unions are also considered "not for profit" where a bank is in business only for profit.
Credit Unions offer more interest on savings and less interest on loans. Banks are trying to shut them down because of this.
CU is the way to go.
2006-11-24 05:20:43 · answer #1 · answered by MN-Mike 4 · 0⤊ 0⤋
A bank is owned by the stock holders. A credit union is owned by the share holders or customers. You have to join a credit union. Credit unions usually have a simple interest rate and banks seem to compound interest on loans.
2006-11-24 13:39:07 · answer #2 · answered by Flyby 6 · 0⤊ 0⤋
credit unions are smaller "banks" owned by there "members" (customers)
banks are large corporations owned by there stock holders
credit unions usually have cheaper interest and are easier to get loans from when your just starting out. I highly recommend them for the "personal touch" they often offer over large banks.
Oh yeah, credit unions are federally insured by NCUA not the FDIC (like banks) but it's pretty much the same thing.
2006-11-25 20:58:54 · answer #3 · answered by danielsexton17 2 · 0⤊ 0⤋
A bank does a lot more things--checking accounts, mortgages, safe deposit boxes, and probably other things I'm not even aware of. A credit union is usually, but not always associated with an employer. If you work in a company you can walk down the hall, make a deposit or withdrawal and apply for a loan.
2006-11-24 13:28:28 · answer #4 · answered by The Bird 3 · 0⤊ 1⤋
When you join a credit union there is a cost involved to purchase a share. Credit unions are owned by the people who deposit their money in them. If you join a credit union, you can vote on important issues that affect you, you can run to become a member of the board of directors and you vote on the appointment of directors.
2006-11-24 13:20:46 · answer #5 · answered by nmp948 4 · 0⤊ 0⤋
credit unions are not only part of large employers, they are community and federally chartered to be able to serve your community locally and/or throughout the US. Most credit unions can only serve you if you are affiliated by area, or they have credit unions that you can join only if your part of military, etc ....you have to find the community chartered ones in your area..
2006-11-24 13:52:18 · answer #6 · answered by Anonymous · 0⤊ 0⤋