Final answer:
Credit unions appeal to depositors through favorable interest rates, lower fees, community-oriented services, personalized experience, and better customer service. Their nonprofit status and member-owned structure focus on serving members' needs, unlike banks and savings institutions that aim to maximize shareholder profits.
Step-by-step explanation:
A credit union would appeal to a depositor for several reasons. Being member-owned and operated, credit unions are focused on serving their members rather than earning profit for shareholders. This often translates into more favorable interest rates on deposit accounts and loans, lower fees, and a community-oriented approach to financial services. Additionally, credit unions usually have eligibility requirements centered around a common community, employer, or organization, making the experience more personalized. The focus on member service often leads to better customer service experiences.
While both banks and savings and loans (also known as thrifts) receive deposits and make loans, credit unions differ in their nonprofit status and could potentially provide depositors with a sense of contributing to a member-driven, co-operative organization. The growing total assets of credit unions indicate their increasing appeal and stability, which can be reassuring to depositors looking for a secure place to manage their finances.