What Is A Credit Union

There was a time where if you wanted bread you had to have something that the baker desired to offer in exchange. Swapping vegetables for chickens is about as primitive of an economic system as you can get. Long gone are the days of when we were a barter society. Economic growth spurred on by the use of precious metals for trade of goods and further driven with the advent of currency, a complex financial system exists today that the Greek scholars could not have even imagined 2000 years ago.
The best forex trading markets today eclipse those of earlier times. Banks were originally started by the goldsmiths. People who owned a large amount of gold would often ask the goldsmiths who in his shop had a large and secure vault, to store their gold. To keep track of who's gold belonged to the goldsmith would issue a receipt to the owner. In trade that owner would often exchange his receipt for goods and hence the concept of banknotes and banks arrived.
But what is a credit union? Credit unions are small, nonprofit, cooperative, consumer organized institutions owned entirely by their member-customers. The primary liabilities of credit unions are checking accounts which are called share drafts and savings accounts which are called share accounts. Their investments are primarily devoted to short-term installment consumer loans. Credit union share accounts are federally insured to a maximum of $100,000. Credit unions are organized by consumers having a common bond such as employees of a given for our union. To use any service of a credit union in individual must be a member. The major differences between credit unions and other depository institutions are the common bond requirement, the restriction that most loans are to consumers and their exemption from federal income tax because of their cooperative nature but they cannot offer forex trading tips. As you can see our financial system has evolved and will go even further in the coming years.