One notable difference that you see at credit unions is the availability of smaller loan amounts on new loans. Qualified members can receive new loan amounts of $100 or more. Most traditional banks require a minimum amount of anywhere from $1,000 to $2,500 borrowed on a new personal loan. Why is this? The small loan is not profitable to the bank. That doesn't mean much to a consumer who has a $150 repair bill and only needs to borrow $150. The difference here is that the credit union's purpose is not focused on profit. We are here to serve and assist our member-owners with their financial needs, however small or large that the needs may be.
This is a good example of a credit service designed to help the bottom line of the consumer, not the bottom line of the financial institution.