Credit unions explode thanks to banks mistakes

by: Christina Pontisso

Jay Jenkins from The Motley Fool examines why credit unions are thriving and what is contributing to their growth — one of which is includes the mistakes banks are making.

Since the 2008 financial crisis, credit unions have soared in membership — now over 100 million. This is in part, due to the mistakes banks made that contributed to the ’08 crisis.

Some other advantages contributed to the credit union growth include:

Credit unions have meaningful structural advantages that banks can’t compete with such as: credit unions are not for profit financial institutions and operate under a less stressful and burdensome framework, credit unions report to their members not shareholders.

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