Every credit card works in roughly the same way, but that doesn’t mean there aren’t vast differences among your choices. From banks and credit unions to stores and airlines, the companies offering a credit card are legion. Some work only at a particular business (a store credit card), and some work everywhere but offer rewards through a specific company as part of their business (think the Southwest Airlines credit card). Others are offered by financial institutions—these cards work just about everywhere and their reward programs, rates, and other features vary widely.

Before we look at the major differences between credit union-issued and bank-issued credit cards, let’s start with the basics.

Credit cards are not new for most Americans. In the face of the pandemic, many families relied on their credit cards to get them through disruptions in employment. According to Shift Processing, there are currently about 1.06 billion credit cards in use in the United States, and 70% of people have at least one credit card. They’re an essential part of handling emergencies for many families, and credit cards are often the first step to building credit for young people. In an increasingly cashless society, credit is king. On average, each person in the U.S. has 2.7 credit cards. (That’s a statistical average. Don’t feel left out if you count your credit cards in whole numbers.)