Question

A firm wants to gain access to higher savings and lower lending rates than banks are offering and also be able to access payment networks to affiliated clients. Which of the following would provide these benefits?

A) Opening a traditional bank account

B) Joining a credit union

C) Establishing a fintech partnership

D) Applying for a business loan

Answer 1

Joining a credit union would provide the benefits of gaining access to higher savings and lower lending rates than banks are offering, as well as access to payment networks to affiliated clients.

Step-by-step explanation:

Joining a credit union would provide the benefits of gaining access to higher savings and lower lending rates than banks are offering, as well as access to payment networks to affiliated clients.

Credit unions are financial cooperatives that are owned and operated by their members. They offer a range of financial services, including savings accounts, loans, and payment networks. Because they are not-for-profit organizations, credit unions often provide more favorable rates and fees compared to traditional banks.

By becoming a member of a credit union, an individual or a firm can enjoy the benefits of competitive savings rates, low-cost loans, and access to payment networks, which can help them access financial capital and conduct transactions more efficiently.