credit union

noun

Definition of credit union

: a cooperative association that makes small loans to its members at low interest rates and offers other banking services (such as savings and checking accounts)

Examples of credit union in a Sentence

Recent Examples on the Web State law requires that its funds be held in one of these 46 banks and credit unions. oregonlive, "Oregon Lottery sends $1.2 million in state funds to the Bank of George, a key partner in state’s new sports betting game," 30 Oct. 2019 Most banks and credit unions are closed, check with your local branch. Leada Gore | Lgore@al.com, al, "Columbus Day 2019: What’s open, what’s closed? Will mail run today? Are banks open?," 14 Oct. 2019 Bigger banks have more ATM networks, said Greg McBride, chief financial analyst at Bankrate, but smaller banks and credit unions belong to nationwide fee-free alliances that may have many more ATMs available. John Hielscher, orlandosentinel.com, "ATM fees keep on rising, new study finds," 8 Oct. 2019 Among the parade sponsors were two banks, a credit union and a paper mill that was owned by one of the most influential companies in the nation. al, "In this small Alabama town, black Democrats feel left behind," 13 Oct. 2019 Among the parade sponsors were two banks, a credit union and a paper mill that was owned by one of the most influential companies in the nation. Washington Post, "‘I don’t think they know we exist’," 12 Oct. 2019 Duane Kurt Makela, 50, appeared before U.S. District Judge Charles R. Breyer in San Francisco and admitted to robbing 17 banks or credit unions and attempting to rob two others in an 11-month span before February. John King, SFChronicle.com, "The Scanner: Bank robber busted in hospital just hours after baby’s birth faces prison," 7 Oct. 2019 At about 3:06 pm, the same time the credit union in Laplace was robbed, a man walked in wearing jeans, a white shirt, sunglasses, and a black baseball cap. Justin Rohrlich, Quartz, "Automatic license plate readers are making getaway cars extinct," 4 Oct. 2019 In court, Stryon admitted to opening up an retirement account with the credit union under false and fraudulent pretenses. Levi Edwards | Ledwards@al.com, al, "Foley man sentenced for using retirement account in bank fraud," 4 Oct. 2019

These example sentences are selected automatically from various online news sources to reflect current usage of the word 'credit union.' Views expressed in the examples do not represent the opinion of Merriam-Webster or its editors. Send us feedback.

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First Known Use of credit union

1843, in the meaning defined above

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Time Traveler for credit union

Time Traveler

The first known use of credit union was in 1843

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Statistics for credit union

Last Updated

14 Dec 2019

Cite this Entry

“Credit union.” The Merriam-Webster.com Dictionary, Merriam-Webster Inc., https://www.merriam-webster.com/dictionary/credit%20union. Accessed 14 December 2019.

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More Definitions for credit union

credit union

noun

Financial Definition of credit union

What It Is

A credit union is a financial institution that is owned and controlled by its members rather than shareholders. The members of the credit union pool their deposits and provide loans and other financial services to each other.

How It Works

The services offered by a credit union include a wide range of financial services, such as savings accounts, checking accounts, credit cards, certificates of deposit and online financial services.

A credit union’s fees, interest rates and levels of service are highly responsive to the needs of its members. Generally, they offer lower interest rates on loans and higher interest rates on savings accounts and certificates of deposit.

Credit unions may be formed among any group of members who have a common interest -- usually community groups or employees of a particular organization. The board members of the credit unions are usually volunteers. Credit unions are generally not-for-profit, so often profits are shared by members.

Why It Matters

Credit unions offer most of the same services as banks, but differ in that individual members are owners and there are generally less assets under management. Because credit unions are usually considerably smaller than banks, they are able to offer more personalized advisory services to their members and they may offer lower cost banking service.

Federal and most state-chartered credit unions in the United States are able to insure their members’ savings accounts through the National Credit Union Administration, a federal organization with the full faith and credit of the U.S. government.

Source: Investing Answers

credit union

noun

English Language Learners Definition of credit union

: an organization that gives small loans to its members at low interest rates and that offers savings and checking accounts

credit union

noun

Legal Definition of credit union

: a cooperative association that makes small loans to its members at low interest rates and offers other banking services (as savings and checking accounts)

More from Merriam-Webster on credit union

Britannica.com: Encyclopedia article about credit union

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