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Illustrate the role of credit unions in depository institutions.
Credit unions:
Credit unions are non-profit institutions equally organised and owned through their members as depositors. Their main objective is to satisfy the depository and lending requirements of their members, who have to belong to an exact group (known by occupation, organization, geographical location). The members’ deposits are used to provide loans to other members, and earnings by these loans are utilized to pay a higher rate of interest to member of depositors. They all are the most numerous in between the institutions composing depository institutions, totalling regarding 8,535 into 2006 as per the Credit Union National Association.
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