Finance and Insurance

Credit Unions

More than 12,000 credit unions supply financial services for over 76 million consumers nationwide. Using up-to-date technology, they offer a wide range of services at prices that are usually lower than those of for-profit institutions For example, credit unions usually charge fewer and lower fees and lower loan rates, than do competitors.

While most credit unions serve the broad middle class, an increasing number are meeting the financial services needs of low-income communities. As many banks abandon these areas, community development credit unions are stepping in to serve low and moderate-income households. (Information contributed by Consumer Federation of America)

• Credit Union Resources

Cooperative Banking

Cooperative banks are banking institutions that serve the cooperative business community, both agriculture and consumer. These institutions were created in part to meet the financial needs of the cooperative community that were not being met by the traditional financial community. That sometimes finds it difficult to understand cooperative structure.

• Cooperative Banking Resources

Cooperative Development Funds

Cooperative Development Funds were started because traditional lenders did not understand the cooperative structure and were unwilling to take a chance that the democratic model of ownership could work. Even today, affordable conventional financing is still hard to find for cooperative start-up businesses. Fund investors typically are cooperatives, socially motivated institutions and individuals who believe in the importance of reinvestment in the community.

• Cooperative Development Funds Resources

Insurance Companies

According to the National Association of Mutual Insurance Companies, mutual insurance companies are owned by their policyholders; unlike stock insurance companies, which are owned by investors who may have no other connection with the company. Policyholders are entitled to vote for members of the company's board of directors, and may receive special dividends in the form of capital distributions or reductions of policy premiums. Unlike stock companies, mutual companies exist solely to serve the insurance needs of their policyholders, and not to provide investment profits to shareholders.

• Insurance Company Resources