Credit Unions continually demonstrate their ability to improve the lives of individuals, families, communities and countries around the world, and have done so for generations. Today, October 20th we invite you to join us as the world celebrates International Credit Union Day.

Both banks and credit unions are institutions that engage in a number of similar financial operations. However, in keeping with the theme of this year’s International Credit Union Day, the focus is on “The Authentic Difference.” This is a timeless concept that celebrates what makes credit unions truly unique.

As defined in the Oxford English Dictionary, credit unions are non-profit-making money cooperatives whose members can borrow from pooled deposits at low interest rates. Even though they offer the same types services as other financial institutions, the difference is in both philosophy and structure.

Here are a few differentiating principles:

1. Credit union users are considered members/owners of the credit union. Credit unions can do business only with their members.

2. Members share a common bond such as having the same profession, area of residence, workplace or association.

3. Each member has one vote that can be used on matters concerning the union’s management.

4. Members elect a Board of Directors and Committees to operate the credit union. The Board is responsible for hiring a manager for the credit union, and handling other decisions related to the business. Credit unions may be run by volunteers as well.

Source: Jamaica Co-operative Credit Union League