Delaware County Credit Union | Delaware County, PA | BHCU
Delaware County Credit Union | Delaware County, PA | BHCU
Description: Whether you're deciding between a Credit Union vs Bank account or simply trying to learn more about personal finance, we've got you covered
What are the differences between a Credit Union and a Bank ? This is a question that is very commonly asked and it usually stems from a decision consumers have to make about which financial institutions to open a financial account with. Whether its for traditional custodial services such as a checking account or savings account or for other products such as a credit card, mortgage and auto loan, the fact that these products are offered by both credit unions and banks means that many consumers have to weigh
In our view the most significant difference between banks and credit unions is the fact that with credit unions, members – who are also the customers – are also the owners while with banks, account holders are almost always just customers. This stems from the fact that by law credit unions are not-for-profit organizations whereas banks are for profit entities and exist first and foremost to serve their shareholders. So what does this mean in practice?
The difference in incentives between credit unions and banks manifests itself in products and services generally being cheaper at a credit union than at a bank. The image above (which uses data from the National Credit Union Administration ) shows the average interest rates charged on various products offered by credit unions and banks in the United States. In every case, the interest rates charged by credit unions are either the same or lower than the rates charged by banks. Further, in our completed study
Delaware County Credit Union | Delaware County, PA | BHCU
Delaware County Credit Union | Delaware County, PA | BHCU