What is a Credit Union

The Definition of a Credit Union

Credit Unions are mistakenly thought of as just another financial organization, but through established values and organization we also identify ourselves as cooperatives. A credit union is unlike any other financial institution.

Owned and operated by the people it serves, every credit union is formed by a group of people wanting to control their own financial destiny. Bringing their money together as savings and by making low-cost loans to each other, they establish a cooperative serving its members with other services and added benefits. At the heart of a credit union are goals of placing service and member’s needs above all else.

Every credit union operates democratically giving each member equal voice and an equal vote. Regardless of his or her assets in a credit union, each member has an equal say in the operations and decisions made.

The Credit Union System

Credit unions are based on the cooperative idea that more can be accomplished by working together than by working individually. The Credit Union System maintains that philosophy and provides financial services to a growing number of Americans and other countries.

The Credit Union System is made up of organizations at the local, state, and national levels.

Credit unions, corporate credit unions, chapters, leagues, and league service corporations all serve member needs on the local and state levels. On the national level, the Credit Union National Association and its affiliates, CUNA Service Group and U.S. Central Credit Union, provide the leadership, products and services credit unions need to compete effectively in today’s financial marketplace.