BANKING GENERAL KNOWLEDGE
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Credit unions are not supervised and canmake their own rules.
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They are privately owned and run by a board of directors.
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They have an agreement with the U.S. Treasury Department.
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They are member owned and want to offer better services to their members.
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Detailed explanation-1: -YOU ARE PART OWNER. Credit unions are owned and controlled by the people, or members, who use their services. Your vote counts. A volunteer board of directors is elected by members to manage a credit union.
Detailed explanation-2: -Credit unions typically offer lower fees, higher savings rates, and a more personalized approach to customer service for their members. In addition, credit unions may offer lower interest rates on loans. It may also be easier to obtain a loan with a credit union than a larger bank.
Detailed explanation-3: -Credit Union Savings Account Basics You deposit funds in the account, which is insured by a government body and earns interest in return for you letting the financial institution use the money. At a credit union, these interest payments are called dividends. The more you deposit, the more interest you accrue.
Detailed explanation-4: -Being a credit union member means you share your financial institution’s ownership, vision and profits. It gives you the opportunity to shape your personal banking experience, as well as the impact your banking has on your local community. Membership has meaning and value.