What is a credit union?  Credit unions are full service financial cooperatives that provide all the same banking services as other financial institutions.  Why should you pick a credit union over another institution?  Easy - because it's best for your checkbook.  In December 2008, Datatrac release this data comparing the interest rates of credit unions and banks:

 

Consumer Loans	Credit Unions	Banks
Credit Card	11.64%	12.76%
48-Month New Car	5.46%	6.91%
48-Month Used Car	5.72%	7.50%
36-Month Unsecured	10.60%	12.47%
Mortgage Loans
Home Equity Line of Credit	4.70%	4.90%
5-Year Adjustable Rate Mortgage	5.54%	5.71%
30-Year Fixed	5.44%	5.58%
Savings
Regular Savings	0.68%	0.44%
Interest Checking	0.48%	0.36%
Money Market	1.22%	0.62%
1-Year Certificates of Deposit/Term Share Accounts	2.93%	2.26%

 

Across the board, credit unions have lower loan rates and higher savings rates.  Banking at a credit union just makes more "cents."