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Are you really a cooperative? Prove it!
We are tax exempt so that our cooperatives can give back to our members. We should be able to blow big banks out of the water, not just with more personalized service (as a function of our small size), but with *significantly* better value in other areas. Every membership is different, but typically we also see this as lower fees and better interest rates. Or perhaps you offer unique and specialized products and services targeted to their unique community or membership?
As a small CU, you should to stand out from the big banks, with a clear and relevant value for your members... are you? If you are financiall strong and healthy (with a decent ROA and NW Ratio over 12%), you should be able to radically give back, in noticeable ways.
In recent years as competitive pressure increases, small CUs are struggling to grow loans and membership, so we suggest you find ways to "give back" that make a big splash, while prompting growth in members and loans - do things that help spread word of mouth. Have you been donating to special charitable causes lately, or do you have the best rate in town, or perhaps you can afford to return special year-end dividends, putting more money in your member pockets? Don't be shy - and spread the word, so that your members realize the unique valuey you offer.
Consider some of these examples from my own credit union, the *only* small credit union in the Tri-Cities (there were 6 other small credit unions back in the 1980s, now we are the only one left). Note: These statistics were gathered and assembled by myself:
Homes for Underserved Populations:
The SMALLEST credit unions make a big impact!
Pulling HMDA public data from 2023, we looked at the number of mortgages that banks and Credit Unions approved in Eastern Washington, and what percentage of those were for Hispanic (minority/underbanked) borrowers? You will notice below that Big Banks approve the lowest ratio for Hispanic Communities, Community Banks are okay, while credit unions radically outperform with mortgages to Hispanic Communities Which credit union had the highest ratio of approvals for Hispanic borrowers? Tri-CU, the smallest credit union! (Note: % ratio, not volume).
Small Credit Unions answer the phone!
As far as “call wait time” (waiting on hold), again it is evident that big banks provide the worst service, with smaller community banks and credit unions providing the fastest response times. The smallest credit unions comes out as the best, again.
Smallest Credit Union
has the lowest fees?
What about checking “Non Sufficient Fund” fees, as well as overdraft fees and overdraft “transfer” fees? This one is unusual, because the biggest banks stopped charging many of these fees in 2022 (pressure from CFPB and lawsuits), so they outperform many community banks and credit unions (although the big banks radically benefit from economies of scale, making their relative operating expenses much lower). Regardless, my “Tri-CU” stopped charging any NSF or overdraft transfer fees during COVID, and never brought it back (even though we are the only small credit union in the Tri-Cities).
Smallest Credit Union:
Best Google Reviews?
What about general customer (member) satisfaction, based on the online Google Reviews? With multi-branch bigger institutions this is tricky, but the trend is still apparent. (The bigger the bank, the worse the service).
What about specific examples of community impact in the lives of real people?
Tri-CU Giving Back
Tri-CU Giving Back
Tri-CU partnered with Campbell and Company, to give an HVAC system to a needy local couple. Tri-CU finances many HVAC systems in the Tri-Cities area, but sometimes there are those who can't afford it, who really need a break. Thanks to Apple Valley News Now! https://www.applevalleynewsnow.com/news/kennewick-couple-receives-free-hvac-after-old-unit-breaks-down/article_b5ce0220-522a-4cff-b636-e3aaa0a329da.html
Connection Credit Union, Silverdale, WA
A Fresh Start: Beyond Prison Bars, by Scott Prior, CEO of Connection Credit Union
In a financial system where big banks routinely deny services to people with criminal records—citing poor credit, perceived risk, or rigid policies—small credit unions like Connection CU in Silverdale, Washington, are making a profound difference. The Banking Beyond Bars program, launched as a pilot in December 2024 in partnership with a local non-profit, provides a true "fresh start" for individuals recently released from incarceration, a group frequently overlooked and underserved by traditional institutions.
Without any formal marketing—relying entirely on word-of-mouth through the "convict referral network"—the program has already attracted 130 participants, with 80 becoming active members. As CEO Scott Prior observes, "I think the fact that I have not marketed it AT ALL as it was a 'pilot group' and I got 130 participants (all through the convict referral network) says a lot about the potential." This organic growth highlights both the urgent need and the deep trust earned when a small, community-focused credit union steps in where others won't.
The program begins with three in-person financial education classes over consecutive weeks, covering the banking system, personal financial responsibility, and credit pitfalls. Graduates qualify for membership regardless of credit history, opening free checking and savings accounts with no minimums or fees. Each participant is paired with a certified Money Mentor for 12 to 14 months of personalized coaching on budgeting, goal-setting, and credit repair. Progress unlocks non-predatory credit products: a $500 unsecured credit card at a fixed 13.5% rate after a budget cycle, and a starter auto loan up to $10,000 at 10% (with potential improvements) after another review—complete with guidance to secure fair deals and avoid common traps.
The impact shines through in the heartfelt words of participants:
"Thank you for trusting and believing in me and taking a chance on me when I know no one, and I mean no one else would. You’ve helped save my son and I will forever be grateful to you for this opportunity."
"You’ve truly saved my family just in the nick of time. Now he has time to get his income up and get caught up all because of the grace you allowed me to help my family. Now he won’t be drowning. Thank you again so much from not just myself but from my son. Hope you have a wonderful day and know you truly are changing lives."
"I want to thank you again for this opportunity. I think this program is amazing. Thank you and your team for looking out for people most despise. It's people like you that really help push us forward and really help our success. STAY YOU cause people like you are one in a million."
By prioritizing people over profit, Connection CU fills a critical gap left by big banks, reducing barriers to reentry, fostering financial independence, and offering dignity and support to those society often writes off. Programs like Banking Beyond Bars—now trademarked and ready for sharing with other small credit unions—demonstrate why community-focused institutions earn their tax-exempt status every day.
Connection CU is a small credit union in Silverdale, Washington. They have assets of about $38 million and focus on serving their local community. For more information, contact Scott Prior, CEO, at scottp@connectioncu.org or 360-307-6400.
When the Work Stops
When the Work Stops
United Trades FCU and the Apprentice Solidarity Payout
United Trades Federal Credit Union — a $57 million cooperative headquartered inside the UA Local 290 union hall in Tualatin, Oregon — learned from Local 290 leadership that approximately 80 apprentices had been out of work for 30 days or more. Many were picking up shifts wherever they could find them. Bartending. Driving for Amazon. Stretching unemployment benefits that were already running thin.
Unlike journeymen, apprentices aren't eligible to travel to other locals when work dries up at home. Local 290 negotiated placements for some apprentices with other locals — but most are simply having to wait it out.
Understanding that context — the cycles, the classifications, the way work actually moves through a union — is what made the response possible. You can't design for a community you don't know. United Trades knows this one.
The credit union's board approved a one-time payout of $185 to each eligible apprentice — funded not from a charitable foundation or a community grant, but directly from the credit union's current-year operating surplus. Members helping members. The cooperative working the way it was always meant to.
When the payments went out, James King, Assistant Business Manager at Local 290, responded simply:
"This is absolutely amazing. Thank YOU!"
The apprentices said the rest:
"Times are tough. Every bit makes a difference. Thank you so much." "This came just in time for groceries."
"Been working part time at Amazon. Every little bit helps."
"2nd time laid off in 2 years. UE benefits are getting limited. Thank you!" "So proud to be part of this credit union and Local 290."
"I so appreciate this. I'm working as a bartender at the Benson Hotel on Wednesday nights for jazz night — and invited anyone who wants to come."
That last one made the staff smile. When the apprentice who said her payment came just in time for groceries mentioned it, the team realized she didn't know about Local 290's separate grocery support program. They connected her on the spot — so she could use the $185 for something else entirely. That's what it means to be part of an ecosystem, not just a financial institution. As for Kerry — the whole United Trades team is already planning their next staff outing to jazz night at the Benson.
United Trades FCU has $57 million in assets and 10 staff. It is small by any measure. But it shares a building with the union, employs union members, and serves a community it is genuinely part of. When work slows for Local 290, it slows for them too.
That's not a program. That's solidarity.
That's not a program. That's solidarity.
For more information about Solidarity Link, visit unitedtradesfcu.org/solidaritylink
United Trades Federal Credit Union | Tualatin, Oregon | Banking built for those who build America.
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