Why are credit unions typically able to offer higher interst rates to savers and lower rates to borrowers than commercial banks?

Credit unions are member-owned, nonprofit financial institutions, which allows them to focus on serving their members rather than maximizing profits. This structure enables them to offer higher interest rates on savings and lower rates on loans, as they reinvest earnings back into the organization to benefit their members. Additionally, credit unions often have lower operating costs compared to commercial banks, allowing them to pass on these savings to their members in the form of better rates.