What is a credit union?
A credit union is a financial cooperative. It is a financial institution that provides savings, credit and other financial products and services to its members. Credit unions are cooperatives – they are owned and operated by members and profits are shared among owners. They are governed by a volunteer board of directors elected from their membership.
After you make your first deposit in a credit union, you become a member. All members are equal owners in the credit union and have a vote in electing the board members.
An alternative to traditional banks
When you make a deposit in a New Brunswick credit union, it is protected by:
- The Credit Union. The Credit Unions Act requires that each credit union maintain a minimum level of equity to protect against any financial losses.
- The New Brunswick Credit Union Deposit Insurance Corporation (NBCUDIC). NBCUDIC is a Crown corporation governed by the provisions of the Credit Unions Act. Its mission under the Act is threefold. First, it protects people who have eligible deposits with a credit union in New Brunswick by providing deposit insurance against loss. NBCUDIC guarantees up to $250,000 repayment of all eligible deposits held at New Brunswick credit unions, including accrued interest. Second, it protects credit unions against financial losses and insolvency by establishing and maintaining a deposit protection fund. And finally, it provides financial assistance to credit unions for the purpose of stabilization.
To learn more about how your eligible deposits are protected, visit the New Brunswick Credit Union Deposit Insurance Corporation online.
The New Brunswick Credit Union Deposit Insurance Corporation (NBCUDIC) is a Crown corporation governed by the provisions of the Credit Unions Act.
Atlantic Central’s role is to provide liquidity management, payments processing and trade association services that support the credit unions of Atlantic Canada.
The Council offers a wide variety of services to help facilitate the continued success, growth, and competitiveness of cooperatives and credit unions in New Brunswick.
(French only) The CDR-Acadie is a consortium of New Brunswick francophone cooperatives united to promote and support the entrepreneurial nature of a cooperative.