Banks and credit unions both offer essential financial services, such as safe places for your money, loans, and credit lines. However, a significant difference lies in their core objectives: banks aim to make profits for their shareholders, while credit unions focus on providing benefits to their members, who are also part-owners. This fundamental distinction influences their operations and the services they offer. Banks generally provide more convenience through a wider network of branches and ATMs, fewer eligibility restrictions, and superior technology. They also offer a broader range of products and services. However, they may charge higher fees, offer less competitive interest rates, and prioritize shareholders over customers, which can sometimes lead to poorer customer service. On the other hand, credit unions are known for potentially lower fees, more competitive interest rates, and a focus on customer service and community. They might offer a more personalized service experience but tend to have limitations such as less convenience, more membership restrictions, fewer service options, and technological constraints compared to banks.
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Choosing Between Banks and Credit Unions: What You Need to Know

Banks and credit unions both offer essential financial services, such as safe places for your money, loans, and credit lines. However, a significant difference lies in their core objectives: banks aim to make profits for their shareholders, while credit unions focus on providing benefits to their members, who are also part-owners. This fundamental distinction influences their operations and the services they offer.

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