What Is A Credit Union?
A credit union is a not-for-profit member-owned financial cooperative offering traditional banking services including credit cards, loans, and checking accounts. More on what it means to be a cooperative below. A credit union is owned, operated, and controlled by the members.
Credit unions are governed by a board of directors consisting of volunteers elected by the members. These volunteers are responsible for overseeing the organization and deciding on the credit union’s direction. Credit unions typically hold annual elections, during which the general membership votes to determine who sits on the board of directors.
A Financial Cooperative
A cooperative is formed when people join together to help one another meet their economic needs. Cooperatives are a business in many ways like any other business. But a cooperative belongs to the people (in our case members) who use it. It is operated solely for the benefit of the members.
Cooperatives are successful when supported by the members to create an efficient operation and when its members are committed to do a majority of their business with the cooperative.
When you do business with First Choice Credit Union, you are doing business with yourself. That is a great partner to have! When you get a loan you are using the funds of the cooperative, your own funds as well as other members’ funds. When you pay interest, you are paying that money back into the cooperative.
Benefits of Membership in the FCCU Cooperative
- Ownership
- Below market borrowing rates
- Competitive saving options
- Less and lower fees like overdraft
- Online technology for access, convenience and service
- Free checking
- Large free ATM network
- Management of the resources of the cooperative to return value to members
How You Can Contribute to the Success of the FCCU Cooperative
- Borrow and save at FCCU
- Use mobile check deposit when possible
- Sign up for electronic statements – saves the cooperative a lot in postage and paper while also keeping the world green.
- Use online applications to apply for loans and new accounts
- Use cash back and Free ATMs to conveniently access cash
- Try texting and email for prompt service during business hours
How a Credit Union Cooperative Differs From Other Financial Institutions
Credit unions differ from other financial institutions in several ways. Take a look at the chart below to see some of the important differences:
| Credit Unions | Other Financial Institutions | |
|---|---|---|
| Not for profit cooperatives | For profit institutions | |
| Owned by members | Owned by outside stockholders | |
| Governed by volunteer boards | Controlled by paid boards | |
| Credit Unions | Other Financial Institutions | |
|---|---|---|
| Not for profit cooperatives | For profit institutions | |
| Owned by members | Owned by outside stockholders | |
| Governed by mostly volunteer boards | Controlled by paid boards | |
Learn more about the cooperative principles of credit unions.
