What is a credit union?
Take a look at how credit unions work differently, how they compare to other financial providers, and how becoming a member can help build a stronger, more supportive local community for everyone.
What is a credit union?
A credit union is a member‑owned, community‑focused financial organisation. It’s designed to offer fair, accessible financial products that put people first.
Unlike other financial providers, credit unions are owned by their members. That means members have a say in how the credit union is run, and any surplus made is reinvested back into improving services, supporting local communities, or shared with members, rather than paid out to shareholders.
Credit unions focus on keeping things fair and affordable. That includes competitive interest rates, lower fees, and a more personal approach to service. While credit unions offer similar products to other providers, such as savings accounts and loans, everything is shaped around supporting members’ financial wellbeing, not maximising profits.
Are all credit unions connected?
No. Each credit union operates independently and serves its own community. Some are part of wider networks that can offer shared access to services across the country, but every credit union is run locally and for its own members.
To learn more about how we approach finance and the values behind everything we do, check out our about us page.
How do credit unions work?
Credit unions are built on a simple idea: when people come together, everyone benefits.
As a member, your savings are pooled with other members’ money and used to provide fair, affordable loans within the community. Any surplus we make isn’t paid out to shareholders. Instead, it’s reinvested to improve our services or shared with members.
Here's what that looks like in practice:
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Members save together creating a shared pot of money that’s used to lend to other members at fair, competitive rates.
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Profits are returned to members. Any surplus goes back to members, not external investors. That helps support better savings returns, lower borrowing costs and fewer fees.
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Money stays local. When you save or borrow with a credit union, your money supports people and communities nearby, rather than leaving the area.
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Savings are held as shares. Dividends may be paid depending on how the credit union performs. The stronger the membership, the more everyone can benefit.
How is a credit union different from a bank?
Choosing between a credit union and a bank comes down to more than just interest rates, it's about who your money is working for.
Here's a straightforward comparison to help you decide.
✔ GWCU shares profits with members and the local community
✔ GWCU makes loan interest rates low and affordable
✔ GWCU prioritises our members and what they need
✔ GWCU tries to help members, even if they have poor credit
✕ Banks spend their profits on bonuses and advertising
✕ Banks charge loan customers as much interest as possible
✕ Banks make decisions to please shareholders
✕ Banks say “no” to people unless they have good credit
Why join a credit union?
Choosing where to manage your finances is about more than just money. It’s also about what your money supports.
Joining a credit union means becoming part of something that puts people and communities first. It’s a way to manage your finances while helping create positive change for others around you.
Benefits of credit unions
Credit unions are built around people, not profit. That means everything we do is designed to support our members with fairer rates, a more personal service, and a real investment in the communities we’re part of.
Because we reinvest back into our members, we’re able to offer competitive loan rates designed to be fair and affordable.
Who can get a credit union loan?
Credit union loans are designed to be more inclusive. We look at your full situation, not just your credit score. That means we can often support people who might have been turned down elsewhere.
We take time to understand what you can afford and work with you to agree a loan and repayment plan that fits your life. It is a simple, fair process focused on helping you move forward with confidence.
What services do credit unions offer?
Credit union loans
At Great Western Credit Union, we offer loans that are fair, affordable and easy to understand. Whether it's an unexpected bill, buying a car or renovating a home, we will work with you to find a loan that fits your budget. There are no hidden fees and everything is clearly explained.
We take time to understand your situation and agree repayments based on what you can afford.
Ready to see what you could borrow? Explore our loan options and apply in minutes
Credit union savings
Your savings are in safe hands with Great Western Credit Union.
We offer competitive returns on savings, with options to suit different goals and stages of life. Because we are a co-operative, any profit goes back to our members.
What we offer:
- Competitive returns on standard share accounts
- Tax-free savings through ISA options
- FSCS protection up to £120,000 so your savings are fully protected, just like with a bank
- Regulated by the Financial Conduct Authority so you can save with confidence
Whether you are building an emergency fund, saving for something specific or simply want a safe place for your money, we make it simple to get started and stay on track. Explore our savings options and start your saving journey today.
Ready to join?
Join thousands of members across the South West who are making their money work smarter, for themselves and their community.
If you live, work, or study in our area, becoming a member of Great Western Credit Union only takes a few minutes. You'll gain access to fair loans, competitive savings rates, and the support of a financial organisation that genuinely puts you first.