Credit Union or Bank: Which One Should Ukrainians in Michigan Join?

Authored By: USMFCU on 3/30/2023

A piggy bank image for credit union or bank for Michigan UkrainiansYou’re in need of a reliable financial institution where you can keep your money. There are plenty of credit unions and banks that have popped up in your community, but which one should you open an account with? 

You can open a financial account anywhere, what it really comes down to is: who can serve you and your community better? A credit union or a bank?

What is a Credit Union?

A credit union is a non-profit financial institution owned by its members. Credit unions do not need to make a profit for their members, instead, any earnings a credit union has is returned to its members in the form of decreased costs or better service.

Credit unions also put their members first by setting high-interest rates for their personal accounts and setting low-interest rates for various types of lending.

Pros and Cons of a Credit Union


  • Offer lower interest rates and higher savings rates
  • Provide great customer service and financial education
  • Fewer fees and lower fees, in general
  • Personal connection: usually serve local or regional communities
  • Accounts are insured by the NCUA up to $250,000
  • Members get a say in how a credit union is run


  • A lack of physical branches can be inconvenient for some
  • There are membership eligibility requirements to become a member
  • Fewer financial products are offered

What is a Bank?

A bank is a for-profit financial institution owned by investors. Banks must make a profit for their investors, and the earnings a bank makes are returned to the investors through dividends or other payments.

Banks also make profit their primary focus by charging steep fees for services and setting high-interest rates on loans.

Pros and Cons of a Bank


  • Are able to offer more banking, loan, and retirement services
  • Banks usually have more physical locations and ATMs locally/nationally
  • Anyone can join a bank, no eligibility requirements
  • Are usually more advanced when it comes to websites and mobile apps


  • Customers have no say in how a credit union is run
  • Offer higher interest rates and lower savings rates
  • Less concerned about offering exceptional customer service 
  • No connection to local community or culture
  • More fees and higher fees in general

Credit Unions vs. Banks


Impact on Your Local Community
Accounts Only opens accounts for those eligible, minimal fees because we aren’t chasing profit Will open accounts for anyone off the street, hits you with fees to raise profits
Loans Loans money to help the community grow and prosper Loans money to profit off of overcharging them on interest rates
Customer Service Takes customer feedback very seriously, members come first Deals with customer feedback when they are able to, profit comes first
Financial Education It’s important for member and the community that they understand their options Providing financial education doesn’t provide profit for investors
Culture Supports cultural events that are the lifeblood of first, second, and third generation cultural preservation Will support whatever cultural events corporate decides on


If you want to do your banking with a corporate entity that has tons of investors, and investment capital, and can offer you a decent checking account, go with a bank.

If you care about being a part of a prosperous community that founded a financial institution to positively impact the local community, and provide excellent service to all members, go with USMFCU.

Ready to Join?

Begin the process of becoming a member by starting a digital application. A member services representative will contact you to grant you account access.

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