Credit unions are not taxed, as a result well-run credit unions are often able to charge lower loan rates and pay slightly higher deposit rates than banks.

Question

Quizplus · Accepted Answer

Credit unions are nonprofit financial institutions that are exempt from federal income tax, unlike banks. This allows them to pass on the benefits of tax savings to their members in the form of lower loan rates and higher deposit rates.

Credit Unions Are Not Taxed, as a Result Well-Run Credit