What Is a Credit Union?
A credit union is a nonprofit savings and lending cooperative that’s owned by its members. Most credit unions offer checking and savings accounts, auto loans, mortgages and home equity loans, credit cards, and other financial products and services.
“As member-owned and cooperative institutions, credit unions provide a safe place to save and borrow at reasonable rates,” says MyCreditUnion.gov, a website operated by the National Credit Union Administration, a federal government agency that charters and regulates credit unions, and insures their deposits.
How is a Credit Union Different from a Bank
What is a credit union and how is it different from a bank? Credit unions are non profit and run by a local board of volunteers. Get lower interest rates on loans, higher interest rates on savings, lower and fewer fees.
Bank & Credit Union Top Picks
Best Credit Union for Fees: Alliant Credit UnionSource
“Alliant Credit Union is a consistent highly rated credit union and the 5th largest in the United States by assets.”
Best Credit Union for Big Network of Branches: First Tech Credit Union
“First Tech Credit Union has one of the largest footprints of branch locations, with 40 branches in nine states and Puerto Rico.”
Best Credit Union for Military: Navy Federal Credit Union
“Unlike most others on this list, everyone can’t join Navy Federal Credit Union. However, any active military, retired military and their families can join.”
Best Credit Union for Mortgages: Pentagon Federal Credit Union (PenFed)
“Pentagon Federal Credit Union, better known as PenFed, is a Washington area-based credit union with a military focus, but you don’t need to be in Washington or a part of the military to join”
Best Credit Union for Checking Accounts: Langley Federal Credit Union
“Langley, Virginia is famous as the headquarters of the CIA, but the Langley Federal Credit Union is not cloaked in secrecy. “
Best Credit Union for Kids’ Savings: GTE Financial Credit Union
“According to GoBankingRates, GTE Financial Credit Union offers one of the best savings rates of credit unions that anyone can join.”
Best Credit Union for Customer Service: Wings Financial Credit Union
“Minnesota based Wings Financial Credit Union earns generally high marks in customer service across the board.”
Best Credit Union for Using any ATM: Connexus Credit Union
“Most big banks charge you a fee to use another bank’s ATM, plus you may have to pay a fee to that bank”
Why choose a Credit Union rather than a Bank?
Here is an infographic that compares banks to credit unions.
Bridging the consumer gap between credit unions and bcanks
While the sample sizes for these statistics are not commensurate – 100 credit unions vs. 256 banks – these figures do go to show that credit unions are, at the very least, at no major disadvantage when it comes to annual marketing spend.