Recent bank collapses are not representative of the way credit unions operate, Louisiana Credit Union League Intertim President/CEO Steve Liberto wrote in The Hammond Daily Star. Liberto noted that consumers are looking for re-assurance their money will be safe in a financial institution, and credit unions are safe and secure.
"These unique business models are not representative of most banks and credit unions in the U.S. financial ecosystem. Both of these banks had a specific, limited customer base, which significantly increased their risk profiles," he wrote. "Today’s credit unions have a wide membership base, which strengthens our overall financial position."
Liberto adds that credit union deposits are protected, and credit unions members have "never lost a penny of insured savings" at a credit union.
"Technological, societal and environmental shifts are inevitable. As we continue to face times of constant disruption, there are some things that remain the same, like the credit union difference," he wrote. "Still not sure what that difference is? Visit your local credit union and experience it for yourself."