Credit cooperatives and credit unions exist in many different forms. The main differences relate to the nature of the membership and the opening of a credit institution. The main activities of credit unions, aimed at the organization of mutual aid and social support of citizens is not intended to profit. As of the January 1, 2012 the national associations and confederations unite more than 196 million members participating in the 51,013 credit unions in 100 countries. The value of credit unions is not limited to the role of the economic agent - they are an important element of the social structure and a factor of social stability and progress. Credit unions appeared in England in the 19th century. In 1844 a group of workers from Rochdale established the first cooperative. All the members of the credit union, regardless of gender, ethnicity, religious and political beliefs, as well as the size of the monetary share have equal rights. Typically new members of the credit union become citizens having suretyship or recommendations from their friends - members of the credit union. The specifics of credit unions and, in some sense, their uniqueness lies in the fact that they work not for profit and do not appropriate profit.
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As of the January 1, 2012 the national associations and confederations unite more than 196 million members participating in the 51,013 credit unions in 100 countries. The value of credit unions is not limited to the role of the economic agent - they are an important element of the social structure and a factor of social stability and progress. The main activities of credit unions, aimed at the organization of mutual aid and social support of citizens is not intended to profit.
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First central bank of credit unions appeared in 1876. Credit unions began to appear rapidly in many European countries. The specifics of the credit union as a credit consumer cooperative is that it is a form of mutual financial assistance of citizens. Income derived from the provision of services to its members, does not become the profit of credit union and is distributed among its members in proportion to their savings. Main share of credit unions assets is concentrated in loans (about 50%), while the share of consumer loans in commercial banks and finance companies active operations rarely exceeds 15%. The most common type of loans in credit unions are loans to purchase new and used cars (40%), followed by first mortgages and second mortgages (35%), about 10% are unsecured personal loans to member of unions and about 15% - are loans on credit cards and other loans. The value of credit unions is not limited to the role of the economic agent - they are an important element of the social structure and a factor of social stability and progress. Credit unions encourage savings of citizens, setting compensation payments (interest) on savings and provide from these savings loans to their members. Standards by which credit unions build their work do not coincide with the standards and regulations of consumer cooperation of the usual type. Corporate credit unions are united on a cooperative basis in the Central Credit Union (US Central Credit Union).