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FOR IMMEDIATE RELEASE | October 20, 2016

NAFCU Offers 5 Reasons Credit Unions Are Better Than Banks

FOR IMMEDIATE RELEASE

Washington (Oct. 20, 2016) –Credit unions—not-for-profit, member-owned financial cooperatives- continue to prove that they offer consumers distinct advantages over banks. On International Credit Union Day, it is a great time to showcase the benefits of credit unions.

"With membership reaching nearly 105 million, it's clear that people appreciate Main Street credit union values that put members first and ensure outstanding service, competitive rates and low fees," said National Association of Federal Credit Unions (NAFCU) President and CEO Dan Berger. "Credit unions help people achieve the American dream of home ownership, buying a car, and building or expanding their small business. It is especially telling that millennials are helping to drive credit union growth. Proving credit unions values are timeless."

5 Credit Union Benefits

As consumers review the options of a "credit union or bank," here are some key credit union benefits to consider:

1. People before profits

At a credit union, members come first, not profits. Members are owners and have a say in how it is operated. Credit unions are governed by a board of directors made up of volunteer members. Any "earnings" go to members in the form of lower fees and competitive rates.

2. Joining, or switching, is easy

Consumers can find a credit union to join atwww.culookup.com. You can apply at a branch or online. Many credit unions have online forms or "switch kits" that make switching a snap. It only takes a few minutes to open a new account and transfer funds. Once your account is established, you can also implement your automatic bill payment options.

3. Low minimum balances and fees

According to Bankrate's2016 Credit Union Checking Survey, 76 percent of credit unions offer free checking compared with 37 percent of banks. At most credit unions, you can open an account for as little as $5. Credit unions offer a wide range of products, including savings/checking accounts, debit cards, credit cards and auto and mortgage loans, as well as online banking.

4. Low interest rates on credit cards and loans

Credit union credit cards have been widely recognized for their low rates. They also offer a variety of benefits and rewards programs. Recent figures show that average rates for credit union reward credit cards are 10.12, as compared with 12.65 at banks. Compare bank rates and credit union rates atwww.culookup.com/CompareCURates.

5. Convenience/Technology

Many credit unions participate in a shared branching network that gives members access to credit union locations in all 50 states. They also offer access to tens of thousands of free ATMs nationwide. With shared branching and a vast ATM networks, many credit union members can enjoy direct, surcharge-free access to their money.

Deposits in the nation's federal credit unions are federally-insured to $250,000, same as banks, by the National Credit Union Administration.

The National Association of Federal Credit Unions (NAFCU) is the only national trade association focusing exclusively on federal issues affecting the nation's federally-insured credit unions. NAFCU membership is direct and provides credit unions with the best in federal advocacy, education and compliance assistance. For more information on NAFCU, go to www.nafcu.orgor @NAFCU on Twitter.

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Patty Briotta
Director of Public Relations
Office:703-842-2820
pbriotta@nafcu.org

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