The Credit Union Difference
About Credit Unions
New federal laws and regulations are changing the structure and face of the financial services industry. In this time of accelerating change, it is important to truly understand how credit unions are unique and different, and why we remain a necessary and extremely popular financial alternative for more than 90 million Americans.
Credit unions are not-for-profit financial cooperatives which means we're here to serve our members, not to make a profit. Unlike most other financial institutions, credit unions do not issue stock or pay dividends to outside stockholders. Instead, earnings are returned to our members in the form of lower loan rates, higher interest on deposits, and lower fees.
Credit unions are an Economic Democracy. Each credit union member has equal ownership and voting power -- regardless of how much money they have in their account. At a credit union, every customer is both a member and an owner.
Credit unions are governed by their board of directors, individuals elected by and from the credit union's membership. Board members serve voluntarily, without pay.
By current federal statute, credit unions can't serve the general public. People qualify for credit union membership through their employer, organizational affiliations like churches or social groups, or a community-chartered credit union.
Financial Education for Members
Credit unions assist members to become better-educated consumers of financial services. A national study shows that just ten hours of personal finance education can positively affect students' spending and savings habits for a lifetime.
People Helping People. Credit unions exist to help people, not make a profit. Our goal is to serve all of our members well, including those of modest means - every member counts. Our members are fiercely loyal for this reason. They know their credit union will be there for them in bad times, as well as good. The same people-first philosophy causes credit unions and our employees to get involved in community charitable activities and worthwhile causes - just ask us.
Your savings is federally insured to at least $250,000 and backed by the full faith and credit of the United States Government National Credit Union Administration, a U.S. Government agency.