What Is a Credit Union?
A credit union is a not-for-profit financial cooperative owned by its members, who share a common bond such as an employer, community, or organization. Credit unions offer services similar to banks — checking and savings accounts, loans, and credit cards — and return earnings to members through lower fees and better rates.
Deposit Insurance
In the US, deposits at federally insured credit unions are covered by the NCUA up to 250,000 per member, per ownership category — the same limit as FDIC coverage at banks.
Membership
Joining typically requires meeting eligibility rules and opening a savings account with a small deposit.
🧮 Calculate It Yourself
Put Credit Union into practice with these free calculators — no sign-up, nothing stored.
🔗 Related Terms
More Personal Finance Terms
📖 Browse all glossary terms or explore all free calculators.
Last updated: September 29, 2026. This definition is for general educational purposes only. It is not financial, investment, tax, legal, or medical advice, and it does not recommend any product or course of action. For decisions about your own situation, consult a qualified professional.