What’s 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 may hire a management team to run the credit union. The board also establishes and revises policy, sets dividend and loan rates, and directs certain operations. The result: members are provided with a safe, convenient place to save and borrow at reasonable rates at an institution which exists to benefit them, not to make a profit.
Who owns a credit union?
Most financial institutions are owned by stockholders, who own a part of the institution and intend on making money from their investment. A credit union doesn't operate in that manner. Rather, each credit union member owns one "share" of the organization. The user of credit union services is also an owner, and is even entitled to vote on important issues, such as the election of member representatives to serve on the board of directors.
Is my money insured?
Yes. Savings accounts are insured up to $250,000 by the NCUA, the National Credit Union Administration, an agency of the federal government. The $250,000 insurance is per member based on aggregate deposits.
Who can join a credit union?
Anyone who lives, works, worships, attends school or business, or other legal entities located in Cocke, Grainger, Hamblen and Jefferson Counties and Greeneville City, Tennessee may become a member of Lowland Credit Union.