Eligibility and Process
Serving on a credit union board is a significant commitment that offers the opportunity to make a positive impact on your financial institution. To be eligible for a board position, you must typically be a member in good standing of the credit union. Additional requirements may include age restrictions (often 18 or older) and adherence to other membership criteria outlined in the credit union’s bylaws. It’s essential to review your credit union’s specific bylaws for detailed eligibility information in becoming a credit union board member.
The NCUA made it clear in 1988 that credit unions do have some leeway in what requirements they have above the NCUA requirements, but the board members must be elected by and from the credit union membership. It suggested that education and the requirement of education is not only allowed but a good suggestion to ensure the board member is more prepared to take on the role. However, it would help if you looked at what your credit union’s bylaws state to be the requirements and steps to become a board member.
The process to become a board member usually involves the following steps:
- Express Interest: Begin by expressing your interest in serving on the board of your credit union. This can often be done through a formal application or by contacting the board directly.
- Meet Eligibility Requirements: Ensure you meet all the necessary qualifications as outlined in the credit union’s bylaws.
- Nomination: If eligible, you may be nominated for a board position by current members or by a nominating committee. There tends to be a deadline around 90 days before the Annual General Meeting.
- Election or Appointment: Depending on the credit union’s structure, board members may be elected by the membership or appointed by the current board.
- Board Training: Upon election or appointment, new board members typically undergo training to understand their roles, responsibilities, and the credit union’s operations.
It’s important to note that board members dedicate significant time and effort to fulfilling their duties. They attend regular meetings, participate in committees, and stay informed about the credit union’s financial health and industry trends. If you are passionate about your credit union and possess strong leadership and financial acumen, becoming a board member can be a rewarding experience. Remember, one of the greatest differences between credit unions versus banks is that you are a shareholder in your financial institution. This means you have the power to help make it stronger and more prepared for the future to benefit the members.
Disclaimer: The information provided here is a general overview and may not apply to all credit unions. Always consult your specific credit union’s bylaws and guidelines for accurate and up-to-date information.
