Question

What is a major difference between retail banks and credit unions?

Answer 1

Answer:

The answer is B Retail banks operate in order to earn profit, while credit unions are nonprofit.

Explanation:

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Answer 2

Answer:

Retail banks operate in order to earn profit, while credit unions are nonprofit

Explanation:

What is a major difference between retail banks and credit unions?

Retail banks only serve businesses, while credit unions only serve individuals.

• This answer is false, both retail banks and credit unions serve businesses and individuals.

Retail banks operate in order to earn profit, while credit unions are nonprofit.

• This answer is true, retail banks earn profits while credit unions are non-profits.

Retail banks only have small local branches, while credit unions are nationwide.

• This answer is false. Generally speaking, retail banks have a much larger geographic footprint  than credit unions. Many retail banks are found across the entire country (and sometimes world!) but most credit unions are focused on serving their local community.

Retail banks manage a person's money, while credit unions focus on providing loans.

• This answer is false. Both retail banks and credit unions offer money/investment management services in addition loans. The financial products offered by retail banks and credit unions depend on the market served and business conditions.