Credit Unions
higher dividends, lower loan rates, and
free or low-cost services.
vs. Banks!
Credit unions have advantages over
banks. They typically pay higher interest
rates than banks and charge lower inter-
est rates on loans than those charged by
by JIM GOLDEN
How Safe?
banks. Credit unions are not as restrictive
in their loans as banks have become dur-
ing these uncertain economic times.
I
N THESE TIMES of economic There are several ways in which credit If you are in the market for a change
uncertainty and financial institu- unions are different (and better) than in your financial services and are a
tion failings, people are asking banks. Unlike banks, credit unions have Church of God minister, a paid employee
themselves, Where can I find a members, not customers. Each member is of a Church of God entity, or a paid staff
place to invest my hard-earned dollars? Your an owner and has a voice in how the member of a local Church of God congre-
federally insured local credit union is a credit union is run. Unlike the depositors gation, I would like to invite you to
very safe place. of banks, who have no voice in how the investigate our own federally insured
Banks are insured by the federal institution is run, each member has one Pathway Credit Union. Please visit us on
government (Federal Deposit Insurance vote in electing board members and cer- the web at http://www.pathwaycredit.com
Corporation). Just like banks, deposits in tain committee members. Members can or contact our manager, Helen Smith, at
federal credit unions are insured up to even run for election to these posts. 423-479-2168 or by e-mail at hsmith@
$100,000 per account (increased to Unlike a bank where only the investors pathwaycredit.com.
$250,000 through December 31, 2009). get a share of the profits, member-owners
Federally chartered and many state-char- of a credit union share in the success of Jim Golden serves as president of the Path-
tered credit unions are insured by the the credit union. After expenses and way Credit Union Board of Directors. He also
National Credit Union Share Insurance reserves are set aside, surplus earnings are serves in the Information Services division of
Fund (NCUSIF), which is managed by the returned to members in the forms of Church of God World Missions.
National Credit Union Administration
(NCUA), an agency of the federal govern-
ment. The NCUSIF is backed by the full
faith and credit of the U.S. government.
The NCUSIF has never had to use taxpay-
ers’ money. If you are considering joining
a credit union and you would like to find
out if it is federally insured, you can visit
http://www.ncua.gov/indexdata.html.
Member savings are also protected by
a number of provisions in the Federal
Credit Act and the standard bylaws of the
credit union, which include the following:
(1) All persons handling or having cus-
tody of credit union funds must be bond-
ed. (2) The affairs of the credit union and
the records of the treasurer are audited by
the supervisory committee or a contracted
licensed CPA. (3) The Federal Credit
Union Act and bylaws of the credit union
require fund reserves for uncollectible
loans. (4) Credit unions may only invest
surplus funds in specified investments.
16 EVANGEL • MAR 2009
Page 1  |  Page 2  |  Page 3  |  Page 4  |  Page 5  |  Page 6  |  Page 7  |  Page 8  |  Page 9  |  Page 10  |  Page 11  |  Page 12  |  Page 13  |  Page 14  |  Page 15  |  Page 16  |  Page 17  |  Page 18  |  Page 19  |  Page 20  |  Page 21  |  Page 22  |  Page 23  |  Page 24  |  Page 25  |  Page 26  |  Page 27  |  Page 28  |  Page 29  |  Page 30  |  Page 31  |  Page 32  |  Page 33  |  Page 34  |  Page 35  |  Page 36