WHAT IS A CREDIT UNION?
A credit union is a cooperative, not-for-profit financial institution organized to promote thrift and provide credit to members. It is member-owned and controlled through a board of directors elected by the membership. The board serves on a volunteer basis and is responsible for hiring a management team to lead the credit union. The board also works closely with the CEO to establish and revise policy, set dividend and loan rates, and direct certain operations.
Members are provided with a safe, convenient place to save and borrow at reasonable rates at an institution which exists to benefit them.
Credit unions are member-owned and are not driven by the goal of generating profits for stockholders. Each member owns one “share” of the organization and is therefore entitled to vote on important issues, such as the election of member representatives to serve on the board of directors.