What is a credit union?
How credit unions differ from banks
Credit unions are similar to banks; we accept deposits, make loans, and provide an array of other financial services. So, what makes us different?
Credit unions are not-for-profit cooperatives. When you open an account, you become a member—and an owner. Unlike for-profit financial institutions that must pay stockholders, we return benefits back to you, the member. That means you pay lower fees, and get lower interest rates on your loans and credit cards.
| Context | Credit Unions (CU) | Banks |
|---|---|---|
| Business Structure | Not-for-profit, financial cooperative that is owned by its members; has volunteer board members | For-profit financial company with paid board members |
| Eligibility | CU membership is granted to groups of people based on an affiliation with an organization, or based on where a person lives or works | Everyone |
| Access | CUs partner to give you access to one of the largest branch and ATM networks nationwide | Branch and ATM networks vary |
| Fees, Incentives, and Rates | CUs typically offer lower fees and loan rates, and higher deposit rates | Often charge higher fees and loan rates, and pay lower deposit rates |
Why First Tech
Over half a century ago, a group of Hewlett Packard and Tektronix employees came together to found what is now known as First Tech Federal Credit Union. They shared a common vision: to strengthen people’s financial futures. Today, with more than 500,000 members, First Tech is one of the top 10 credit unions in the U.S. (based on asset size).
- First Tech offers a full suite of products and services, including checking accounts, home loans, credit cards, insuranceInsurance products and services offered through First Tech Insurance Services, a wholly owned subsidiary of First Tech Federal Credit Union., and investment managementRegistered address: 1011 Sunset Blvd. Rocklin, CA 95765 | 855.744.8585
- Deposits are federally insured up to at least $250,000 by the NCUA
- You can bank with First Tech in all 50 states through the CO-OP Shared Branch and ATM network
Financial Advisors offer securities through Raymond James Financial Services, Inc. Member FINRA/SIPC and securities are not insured by credit union insurance, the NCUA or any other government agency, are not deposits or obligations of the credit union, are not guaranteed by the credit union, and are subject to risks, including the possible loss of principal. First Tech Federal Credit Union and Addison Avenue Investment Services are not registered broker/dealers and are independent of Raymond James Financial Services. Investment advisory services offered through Raymond James Financial Services Advisors, Inc.
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