What it Means to be a Member
Credit unions are unique because they are member-owned (instead of being owned by a stockholder), but what does it mean to be a member?
A member is simply someone that has deposited money in a credit union. Anyone who does this is then an owner-member. This makes you both a customer and an owner of the credit union.
Similar to a bank, the credit union uses the money that you and other members deposit to make loans to other credit union members.
Credit union members share their financial institution’s ownership, vision, and profits. This arrangement also allows the opportunity to help shape not only your personal banking experience but also to have an impact on the community. As a member, you have control over decisions that are made and you (not a stockholder) enjoy any benefits.
The Board of Directors at a credit union is volunteer-based and board members are not paid for their service. Additionally, credit union members vote to elect board members. Board members oversee and govern the management of the credit union, therefore credit union staff are also part of the financial cooperative nature of a credit union structure.
There are many advantages to joining a credit union. Read about it here!