About Credit Unions

What is a Credit Union?
In the simplest of terms, a credit union is a not-for-profit financial cooperative. There are approximately 8,000 credit unions in the U.S. Their roots go back to 1849 when the first credit union was established in Western Europe. A credit union is usually formed around a common bond, generally employment. Its main purpose is to give member-owners a place to save and borrow. Members put their money into a variety of savings and investment accounts. This money is then loaned out to members who pay interest. After operating expenses and reserve requirements are met, the remaining loan income is returned to the members as dividends and other financial services. Member-owned credit unions are not-for-profit; they exist only to serve their membership. As a result, credit unions are able to pay high dividends on savings and charge low interest rates on loans.

Membership is Ownership
United Educators Credit Union is a cooperative, owned and operated by its members. This is what distinguishes credit unions from other financial institutions. UECU is governed by two volunteer bodies: a Board of Directors that establishes and reviews policy, and a Supervisory Committee that ensures the financial stability of the credit union. These volunteers are all members of the credit union who have been elected by the membership and serve without pay. Every member has one vote, regardless of how much he or she has on deposit. At the Credit Union, there is no select group of shareholders that profits more than anyone else. All members profit - individually and collectively. This unique structure sets credit unions apart from banks - credit unions are truly run by the members for the members.

Our Role
United Educators Credit Union is a state-chartered credit union, organized under strict regulatory laws that are monitored and enforced by Minnesota's State Banking Department. Member funds are insured up to at least $250,000 by the National Credit Union Administration, an agency of the U.S. Government, and an additional $250,000 with Excess Share Insurance, Inc. Since its charter in 1957, the mission of the United Educators Credit Union has been that of a full-service not-for-profit financial cooperative providing quality products and services that meet members' needs at fair, competitive prices. The staff and elected volunteers are committed to prudent growth and the protection of members' assets.