|
Search over 100 encyclopedias and dictionaries: |
Research categories | Follow us on Twitter |
Research categories
View all topics in the newsView all reference sources at Encyclopedia.com |
|||
credit union
credit union cooperative, not-for-profit financial institution that makes low-interest personal loans to its members. It is usually composed of persons from the same occupational group or the same local community or institution. Funds for lending come from the sale of shares to members and from the members' savings deposits. Cooperative banking originated in Germany in the middle of the 19th cent.; it was developed by Hermann Schulze-Delitzsch and later was particularly adapted to rural communities by F. W. Raiffeisen . In the United States, the Credit Union National Association (founded 1934) has been instrumental in organizing credit unions. Credit unions are important because they provide loans to blue-collar workers and small farmers, who would otherwise have difficulty securing credit at reasonable interest rates. Under provisions of the Credit Union Act of 1934, U.S. credit unions are chartered by their respective states or by the federal government.
|
|
|
Cite this article
"credit union." The Columbia Encyclopedia, 6th ed.. 2011. Encyclopedia.com. 26 May. 2012 <http://www.encyclopedia.com>. "credit union." The Columbia Encyclopedia, 6th ed.. 2011. Encyclopedia.com. (May 26, 2012). http://www.encyclopedia.com/doc/1E1-creditun.html "credit union." The Columbia Encyclopedia, 6th ed.. 2011. Retrieved May 26, 2012 from Encyclopedia.com: http://www.encyclopedia.com/doc/1E1-creditun.html |
|
Credit Union
CREDIT UNIONA corporation formed under special statutory provisions to further thrift among its members while providing credit for them at more favorable rates of interest than those offered by other lending institutions. A credit union is a cooperative association that utilizes funds deposited by a small group of people who are its sole borrowers andbeneficiaries. It is ordinarily subject to regulation by state banking boards or commissions. When formed pursuant to the Federal Credit Union Act (12 U.S.C.A. § 1751 et seq. [1934]), credit unions are chartered and regulated by thenational credit union administration. A credit union can be distinguished from other financial institutions by the fact that membership is ordinarily restricted to individuals who meet certain residential or occupational criteria. In addition, it can make loans of a more diversified nature than certain institutions, such as building and loan associations. |
|
|
Cite this article
"Credit Union." West's Encyclopedia of American Law. 2005. Encyclopedia.com. 26 May. 2012 <http://www.encyclopedia.com>. "Credit Union." West's Encyclopedia of American Law. 2005. Encyclopedia.com. (May 26, 2012). http://www.encyclopedia.com/doc/1G2-3437701213.html "Credit Union." West's Encyclopedia of American Law. 2005. Retrieved May 26, 2012 from Encyclopedia.com: http://www.encyclopedia.com/doc/1G2-3437701213.html |
|
credit union
cred·it un·ion • n. a nonprofit-making money cooperative whose members can borrow from pooled deposits at low interest rates. |
|
|
Cite this article
"credit union." The Oxford Pocket Dictionary of Current English. 2009. Encyclopedia.com. 26 May. 2012 <http://www.encyclopedia.com>. "credit union." The Oxford Pocket Dictionary of Current English. 2009. Encyclopedia.com. (May 26, 2012). http://www.encyclopedia.com/doc/1O999-creditunion.html "credit union." The Oxford Pocket Dictionary of Current English. 2009. Retrieved May 26, 2012 from Encyclopedia.com: http://www.encyclopedia.com/doc/1O999-creditunion.html |
|
|
Search over 100 encyclopedias and dictionaries:
HighBeam™ Research, Inc. © Copyright 2012. All rights reserved.
The Encyclopedia.com advertising network includes:
