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Co-Ops Get Higher Consumer Marks Than For-Profits

Consumers trust more accountable businesses and prefer cooperatives, according to a recent survey released by the National Cooperative Business Association (NCBA) and the Consumer Federation of America (CFA).

This is good news for credit unions, particularly given recent media coverage of corporate accountability scandals and greater efforts by federal regulators to scrutinize corporate governance and board election processes.

The survey of more than 2,000 adults revealed that less than half think investor-owned corporations are ethically governed. In contrast, about two-thirds of respondents believe businesses that are owned and governed by their customers and have consumers on their boards of directors are more trustworthy than those that do not.

CFA Executive Director Stephen Brobeck says the survey reveals that consumers believe the nation's more than 40,000 co-ops offer more democratic, accountable options, and trustworthy options. Co-ops are known for their reputation of quality service and products.

Asked whether consumer co-ops have the best interests of consumers in mind when conducting business, 77% of Americans agreed they did, while fewer than half said the same of investor-owned companies.

More than half of adults in the U.S. say they're members of cooperatives. To locate a credit union to join, visit the online locater at www.howtojoinacu.org.