What is generally true about a credit union compared to a traditional bank?

A credit union typically operates as a non-profit financial cooperative owned by its members. This structure allows credit unions to offer lower costs for banking services, including lower interest rates on loans and higher interest rates on savings accounts, compared to traditional banks. Since credit unions prioritize serving their members rather than maximizing profits for shareholders, they generally have lower fees and better rates on various financial products. This member-focused approach translates into more favorable financial outcomes for account holders, which is a significant advantage over traditional banks that often operate with profit motives in mind.

The other options do not accurately reflect the operational model or the focus of credit unions. For instance, credit unions are motivated by member benefits rather than profit for shareholders, and they often provide a comparable or broader range of services than traditional banks.