THE WESTERN CANADIAN LUMBER WORKER ess you pay for it sss you pay for it mless you pay for it mless you pay for it . free life insurance d repaid the loan in. 1¢ true rate the above Pee © to 22% per annum. over 14 months for a ference of $124.50 be- re a ee . : car, as its with the finance , months at $54.25. te ; DECIDES? Ms are passed by a mmittee of not less ree members ap- r from the hion members them- v; y large 1 by a Credit Of- ed by the Credit NEUTRAL One of the prime principles of credit unions is neutrality in religion, race, and politics. The services of a credit union are open to anyone who quali- fies for membership regard- less of race, creed, or political belief. VOTING POWER Voting power within the credit union is strictly on the principle of one member one vote. No matter how large or how small the share hold- ings of a member may be, his voting power always re- mains equal to that of the other individual members. YOU SAVE By having its members save regularly, even in small amounts, in shares in the Credit Union, it is hoped that after a member has saved for awhile the habit of thrift will have become rooted and he or she will continue saving. _ WHAT'S A SHARE? -A share is a $5.00 unit of savings. However, no share certificates are issued by a Credit Union, the $5.00 share merely being a unit of sav- ings upon which dividends are calculated. YOUR DIVIDENDS At each Annual Meeting the Credit Union may declare a dividend payable on. all $5.00 units of savings left in the Credit Union for such minimum period as the mem- bers, on the recommendation of the Board of Directors, may decide. WITHDRAW AT WILL? Yes. A member may with- draw funds any day the Cred- it Union is open for business. However, if the member has a considerable sum in shares, the sudden withdrawal of which would embarrass the Credit Union, the member may be required to give rea- sonable notice. This is mere- ly a measure of precaution. CREDIT PASSBOOK All members are provided either with a Credit Union passbook or a_ statement which records savings, with- drawals, and the amount you borrowed and repaid. MOST INSURED In the great majority of Credit Unions it means that the life of an insurable mem- ber is insured in an amount equal to his savings deposited prior to age 55 but not ex- ceeding $2,000. Insurable sav- ings accumulated after age 55 are insured on a pro rata basis, depending upon age at time of deposit. The premium for this insurance is paid by the Credit Union. Insurance once created remains in force ae gine SNe oe. ian ase PrITeL ett te 233 : iv ae : =. reer | | | 7 : viii hy — —— a_i Wii net te —— si - an td ‘ge U4 S ae PICTURED ABOVE is the modern building of the IWA Credit Union in New West- minster as an example of what a group of people with common interests and wanting to help each other can achieve. : until death, as long as the sav- ings remain in the Credit Un- ion, providing the Credit Un- ion continues to carry a group life insurance contract for this purpose. LOAN RESTRICTIONS The Directors of the Credit Union set the maximum amount which may be loaned to any individual member, al- so the maximum amount which may be loaned without security within the provisions of the Credit Unions Act. Loans may be made only for a provident or productive purpose. USUAL SECURITY The usual forms, of security such as co-signers, chattel and other mortgages are ac- ceptable security to Credit Unions. NO SECURITY Subject to policy laid down by the Board of Directors, amounts can be loaned on the signature of the borrower but only within a limit laid down by the law. Credit Union transactions are based upon the character of the member which is one of the best col- laterals. INTEREST RATES The maximum rate permit- ted by law is 1% per month on the unpaid balance of the loan. The facilities of the few lending institutions offering loans at any lower rate are not available to most people. Then, too, many people often think they are borrowing more cheaply, when actually they are paying a higher rate than the Credit Union rate. The term “on the unpaid bal- ance” makes the amount of interest much less than a cas- ual glance would show. $100 borrowed and repaid at $5.00 every 2 weeks would only cost $4.83 in interest. Many Credit Unions refund a portion of the interest to borrowers at the end of the year as a percentage of inter- est paid. Credit Union serv- ices are available to all mem- bers and not only to the privi- leged few who can secure their credit needs from other financial institutions. OFFICERS’ PAY The manager and staff of a credit union who are full time employees are, of course, i smaller not receive payment for their services. LOANS INSURED? Yes, Loans up to $10,000 to individual members may be, at no direct cost to the mem- ber, insured against death or permanent disability. This is a boon to the borrower’s fami- ly. Here, again, the premium on the insurance is paid by the Credit Union. TREASURER BONDED? The Credit Unions Act re- quires that all persons handl- ing money in the credit union be bonded. The Credit Unions Act stipulates a minimum bonding which must be car- ried according to the size of the credit union and the amount of money handled. NO LOAN DEMAND This rarely happens. If a Credit Union is functioning properly it should have its money out on loan at all times. If it should happen that it has a surplus of funds, these may be deposited in the Central Credit Union for use by other Credit Unions, or be invested in securities as al- lowed by the Credit Unions Act. The Central Credit Un- ion pays interest and divi- dends to the member Credit Unions. AMOUNT Onvoun MONTHLY PAYMENT PLANS OF LOAN 6 12 18 24 30 36 42 48 54 60 Mths. Mths.| Mths. | Mths. | Mths. | Mths. | Mths. | Mths. | Mths. | Mths. 100. | 17.25 100. | 200. | 34.50 | 17.75 200. 300. | 51.50 | 26.50 | 18.25 300. 400. 35.50 | 24.25 | 18.75 400. 500. 44.25 | 30.25 | 23.50 | 19.25 500. 600. 53.00 | 36.25 | 28.00 | 23.00 | 19.75 600. | 7,00. 42.25 | 32.75 | 27.00 | 23.00 | 20.25 700. | 800. 48.25 | 37.50 | 30.75 | 26.25 | 23.25 | 21.00 800. 900. 54.25 | 42.00 | 34.50 | 29.50 | 26.00 | 23.25 900. 1,000. 46.75 | 38.50 | 33.00 | 29.00 | 26.00 | 23.75 1,000. 1,100. 51.50 | 42.50 | 36.50 | 32.00 | 28.75 | 26.00 | 1,100. 1,200. 56.25 | 46.25 | 39.75 | 35.00 | 31.25 | 28.25 | 26.00 | 1,200. 1,300. 50.00 | 43. 37.75 | 33.75 | 30.75 | 28.25 | 1,300. 1,400. 54.00 | 46.25 | 40.75 | 36.50 | 33.00 | 30.50 L,400. 1,500. 57.75 | 49.50 | 43.50 | 39.00 | 35.50 | 32.50 | 1,500. 1,600. 52.75 | 46.50 | 41.50 | 37.75 | 34.75 | 1,600. 1,700. 56.00 | 49.25 | 44.25 | 40.00 | 37.00 | 1,700. 1,8.00. 59.25 | 52.25 | 47.00 | 42.50 | 39.00 | 1,800. 1,900. 55.00 | 49.25 | 44.75 | 41.25 | 1,900. 2,000. 58.00 | 52.00 | 47.25 | 43.50 | 2,000. 2,100. 54.75 | 49.50 | 45.50 | 2,100. 2,200. 57.25 | 51.75 | 47.75 | 2,200. 2,300. 59.75 | 54.25 | 50.00 | 2,300. 2. le 56.50 | 52.00 | 2 i 2,500. 59.00 | 54.25 | 2,500. THE PAYMENTS ARE BASED ON REGULAR REPAYMENTS ON THE SET DATES