What is the difference between a credit union and a bank?

The main difference between a credit union and a bank is the type of ownership they have. A bank is usually owned by private shareholders, while a credit union is owned by its members. As a result, credit unions are usually nonprofits, and profits are returned to the members through lower fees and higher interest rates on savings accounts. Another difference between the two is the types of services offered. Banks typically offer a greater number of services than credit unions. They include personal banking, online banking, business banking, and investment services. Credit unions may offer fewer services, but they tend to be more community-based and provide better customer service. Finally, banks and credit unions often have different lending policies. Credit unions usually focus on serving their members, while banks may be more willing to lend to non-members. Banks also tend to have more stringent requirements for borrowers, such as higher credit scores and larger down payment amounts, while credit unions may be more flexible. In Delaware, both banks and credit unions are regulated by the state Department of Banking. All banks and credit unions in the state are required to adhere to certain state and federal laws.

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What is the difference between a credit union and a bank?

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