If you didn't know, credit unions are similar to banks. The products are pretty much the same, but the business structure is different.
Does it matter to you if a credit union actually uses the words "Credit Union" in the name? The Financial Brand notes that the term is less common than it used to be.
Most consumers don't care if they have a credit union account or a bank account. They just want to write checks and get a loan. While some understand the differences - and some personal finance gurus exclusively suggest using credit unions - most people never know or care.
The credit union industry debates whether or not this is important. They might distance themselves from banks and gain loyalty from their field of membership by stressing the "credit union" part. They also risk confusing people, who may end up at the bank across the street.
Do you specifically look for credit unions when you need a new account? Do you think credit unions win or lose by using the term? Tell us about it in the comments.
Further reading:
I know some people are confused and concerned about the federal deposit insurance of credit unions. Many don’t understand that NCUA is pretty much equivalent to the FDIC. Unfortunately, there’s also the issue that credit unions can switch to private deposit insurance (ASI) in some states.