Credit unions are financial institutions formed by an organized group of people with a common bond.  This can be an employer, civic or religious group, place of residence, etc.  Members of credit unions pool their assets to provide loans and other financial services to each other.  Earnings from credit union operations and investments are returned to the membership (not outside stockholders) through dividends, low loan rates, and provision of financial products at little or no cost to the member. 

 

 

Credit union deposits are federally insured.  The National Credit Union Administration (NCUA) is the federal agency that charters and supervises federal credit unions, as well as insuring the savings in federal and most state-chartered credit unions in the United States through the National Credit Union Share Insurance Fund (NCUSIF).

 

Like FDIC (which insures deposits at banks), the NCUSIF is a federal fund backed by the full faith and credit of the United States government.  NCUA currently insures deposits up to $250,000.  Members may qualify for more than $250,000 in coverage, depending on how accounts are structured.  Not one penny of insured savings has ever been lost by a member of a federally insured credit union.

 

Deposits with Coosa Pines FCU are insured up to an additional $250,000 through Excess Share Insurance, Inc., a division of American Share Insurance, the nation's largest provider of private share insurance to credit unions since 1974.  Members may qualify for more than $250,000 in coverage, depending on how accounts are structured.

"Credit unions exist to help people, not make a profit.  Our goal is to serve all of our members well, including those of modest means - every member counts.  Our members are fiercely loyal for this reason.  They know their credit union will be there for them in bad times, as well as good.  The same people-first philosophy causes credit unions and our employees to get involved in community charitable activities and worthwhile causes." - Credit Union National Association (CUNA) 

 

Not for profit, not for charity…
The first U.S. credit union opened in New Hampshire in 1908; however it was not until 1934 that President Franklin D. Roosevelt signed the Federal Credit Union Act, forming a national system to charter and supervise federal credit unions.  By 1935, credit unions were busy helping Americans get through the Great Depression. 

 

The harsh economic climate made it very difficult for the average consumer to borrow money or gain essential services from traditional financial institutions.  As a result, Americans were turning to credit unions for the loans and banking services needed by their families.  By this time, 39 states had adopted credit union laws, and 3,372 credit unions were already serving over 640,000 members.  The treasurer of a Midwestern credit union stated that credit unions were "not for profit, not for charity, but for service," and that philosophy still holds true.

Credit unions have continued to look out for their members’ interests and provide a level of service that is not generally available at other financial institutions.  Whether it’s supplying the tools to manage basic personal or family finance, providing a loan to cover unexpected medical bills, giving financial counseling to a member whose company closed its doors, helping to fulfill a need in the community, or simply offering a better deal on a car loan, credit unions strive to make a difference for their members and the communities they serve.

But for service.
Credit unions are unique financial institutions in that they are created not for profit, but to serve the member-owners who save and borrow there.  Unlike most other financial institutions, credit unions do not issue stock or pay dividends to outside stockholders.  Instead, earnings are returned to members in the form of lower loan rates, higher interest on deposits, and fewer and lower fees.

By federal statute, the general public cannot join credit unions.  Instead, people qualify for credit union membership because they are united by a common bond – such as their employer, church, social or civic organization, or community.  Credit unions are exempt from Federal and most State taxes because they are member-owned, democratically operated, not-for-profit and managed by volunteer boards of directors.

Credit unions worldwide have a common mission of meeting the credit and savings needs of consumers; they exist to serve all members well, including those of modest means who have traditionally been underserved by banks and other institutions.  Beyond this mission, they seek to improve the lives of members and others by promoting financial literacy, supporting worthwhile charities, and volunteering in their own communities.

 

Coosa Pines Federal Credit Union was chartered in 1950 by a small group of paper mill employees in Childersburg, Alabama.  The credit union was operated out of a small office within the paper mill, and membership was open only to employees of the mill, their immediate family members, and members of their households.  For many years, the mill ran strong in Talladega County, and the credit union grew just as strong, outgrowing the little office inside the mill.  The members of Coosa Pines constructed the first credit union office building, which still serves as the Childersburg branch and Corporate Office, on property adjoining the mill, amid the great evergreen pines of Central Alabama. 

Over half a century later, the credit union’s directors and members decided that it was time to open the field of membership to their friends and neighbors, allowing them access to the benefits of credit union membership.

 

In 2003, Coosa Pines Federal Credit Union opened its charter to include all those who live, work, worship, or attend school in Talladega, Coosa, Clay, Shelby, and St. Clair Counties.  Now the charter area also includes parts of Jefferson County. 

 

The first branch office was established in Sylacauga (Talladega County), and was followed by branches in Chelsea (Shelby County) and Pell City (St. Clair County).  With the 2010 merger of Jefferson Community Development Federal Credit Union, CPFCU members are now served by a fifth location in Roebuck (Jefferson County). 

Today, Coosa Pines FCU serves almost 22,000 members and maintains over $210 million in assets.  With five offices in the six county membership field, the credit union is larger than ever and still growing.  Coosa Pines FCU is also strong and secure, with deposits federally insured to $250,000 by the National Credit Union Administration (NCUA) and to an additional $250,000 by American Share Insurance, the nation’s largest provider of private share insurance to credit unions since 1974.

 

Coosa Pines FCU is democratically controlled by a volunteer board of directors elected by credit union members, and remains committed to member service and security, sound and conservative operation, furthering financial literacy among its members and neighbors, and strengthening communities through leadership and volunteerism.