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Credit Union

 

credit union is a financial intermediary institution controlled by its members, who brings deposits to the union and become a creditors of the institution. The principal services of the credit union are the same as commercial banks and the principle is to take deposits and give credits for a higher interest. 

 

Credit unions usually are smaller than banks but still are competitive on financing market because of smaller administration costs. However, normally such unions are local market players and are quite small compared to the banks that usually are international networks that are capable to provide much wider spectrum of financial services including investment services.

 

 






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