XCEL Federal Credit Union is a financial institution and is very common to a bank. However, it is important to understand what kind of financial institution you are trusting your money with.
WHAT IS THE DIFFERENCE BETWEEN CREDIT UNIONS AND BANKS?
|Have MEMBERS; each person who deposits money IS an owner of the Credit Union||Have CUSTOMERS; customers have no ownership in the organization|
|MEMBER-OWNED and operated||CORPORATE-OWNED and operated|
|Are NOT-FOR-PROFIT institutions||Are FOR PROFIT institutions|
|SERVICE driven||PROFIT driven|
|Members gain from the profits||Company gains from the profits|
|Profits are returned to members in the form of LOWER LOAN RATES, HIGHER SAVINGS RATES, and LOWER FEES||Profits are returned to a small group of stockholders|
|Serves ONLY those individuals within their field of membership||Serves anyone in the general public|
|Members elect a volunteer Board of Directors to represent their interests||Has a paid Board of Directors who represent the owners; customers do not have voting privileges|
|Federally insured by the National Credit Union Administration Share insurance Fund||Federally insured by the Federal Deposit Insurance Corporation (FDIC)|