Serious question. I’m currently with a bank and have heard CU’s are better. Is there any difference?
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A bank is a big for profit business.
A CU is pretty much a bank that is owned by it’s customers. To get a loan you have to buy an equal share of the union. So the profits aren’t made by a few rich shareholders but rather by everyone equally.
CUs *tend* to focus on giving good conditions to their customers instead of focusing on profit. (At least that’s the original idea. But If you are a customer you are also an owner, so if they focus on profit you get a share of that)
The issue is that CUs often have limits in how much money they can provide. So for a housing loan you might have to take another loan on top.
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