At a fundamental level, credit unions and banks have key structural differences impacting their operations. Credit unions are not-for-profit organizations owned by their members. The main difference in ownership between credit unions and banks is who owns them. Credit unions are not-for-profit organizations owned by their members, typically people in a certain geographic area. This means any profits the credit union makes go back to the members through lower fees, higher savings account rates, and lower loan rates.
Credit unions typically offer more favorable rates and lower fees compared to banks. This difference stems from their not-for-profit structure. For instance, at Jeanne D’Arc Credit Union, members often enjoy lower loan interest rates and higher savings account yields. We return profits to members through better rates rather than distributing profits to shareholders.
At Jeanne D’Arc, this means:
- We’re invested in you: As a member, you’re at the core of everything we do. We offer personalized service, better interest rates, and financial guidance to help you reach your goals.
- We’re invested in our community: We understand your needs and actively support the causes that make our area thrive. From scholarships to volunteer programs, your membership makes a real difference right here.
You can find out more information about Jeanne D’Arc and other credit unions in the Money Mill Blog.