Credit Cards

Credit Union Credit Cards

With bank card fees and hefty interest rates on the rise, credit cards from a credit union could make better financial sense than a traditional bank-issued card. Credit unions, which are nonprofit financial cooperatives owned by their members, usually offer more reasonable rates and fees on their credit cards than banks.


Consumers who routinely pay a few days late or carry a balance may also find that a credit union card is much cheaper to use than a bank-issued card. With a credit card from a credit union, your interest rate is capped under federal law. You’ll often find lower interest rates and other fees on credit union-issued credit cards.

You’re much less likely to be charged an annual fee for a credit union credit card. Only about 10 percent of all credit union credit cards charge an annual fee, compared with around 45 percent of banks who do. The average annual cost of ownership for a credit union-issued credit card is also about 50 percent less than that of the average bank-issued card.

Those who tend to carry large balances and pay high interest rates might benefit from a credit union-issued credit card. And depending on your eligibility, it may be possible to find a credit union card that offers perks comparable or better than that of traditional bank issuers.


Start your credit journey on the right foot with the help of Y-12 Federal Credit Union! Whether you are just starting to build credit or re-establish your current credit, need another credit card for convenience, or need a card with a higher line of credit, one of our VISA cards will meet your particular need. Best of all, all of our VISA credit cards are offered at no annual fee! Click here to compare our options, then come see us today!