10 Secrets your Bank Doesn’t want you to know about your credit union

1. Credit Unions are owned by their Members. Banks are owned by groups of stockholders and are operated by paid boards of directors. Credit Unions are owned and controlled by the people who use their services.


2. Credit Unions are not- for-profit corporations.Credit Unions exist solely to serve their Members who share a common bond. Banks exist to give profits to their owners.


3. Credit Union Members receive dividends. Credit Unions distribute all profits back to their Members. Banks pay lower interest rates and charge users additional fees to boost their bank's profits.


4. Credit Unions are exempt from most state and federal taxes. Credit Unions charge lower fees due to their tax- free or tax- limited status. Banks pay taxes, which are passed on to the users of the banking services in the forms of fees.


5. Credit Unions have lower fees for loans. Credit Unions often offer much lower rates on loans for cars, mortgages, and other purposes because only small administrative costs are added on to the loans. Banks have higher interest loan rates to maximize profits.


6. Credit Unions have reduced or waived checking and savings account fees. Credit Unions have very few banking fees, and they offer all of the same services as banks, such as money market accounts, certificates of deposit, health savings accounts, etc. Banks charge fees for all aspects of banking, and they are continually adding fees to both checking and savings accounts, and for a host of other banking services.


7. Credit Unions pay higher interest rates on checking and savings accounts. Credit Unions pass on dividends to their Member Owners in the form of higher interest rates on checking and savings accounts. Banks pay little or no interest for checking accounts, and much lower rates of interest on savings accounts, than credit unions do.


8. Credit Unions offer free access to a huge network of ATMs or reimburse fees on other institutions' ATM machines. Credit Unions have agreements with a huge network of other banking institutions for free use of ATM's or they will reimburse Members for outside-of-network fees of ATM usage. Banks only give free ATM use at their banks, and charge $2.00- $5.00 per ATM transactions outside of their banking institutions. Some banks charge $10.00- $15.00 for ATM usage at their own banks outside of the U.S.!


9. Credit Unions offer lower interest rate credit cards. Dividends are passed on to Member Owners in the form of lower interest on credit cards issued by Credit Unions. Banks use credit cards with higher interest rates to maximize bank profits.


10. Credit Unions deposits are insured up to $100,000. Deposits made by Members in a Credit Union are insured by the National Credit Union Administration for up to $100,000.