This page defines those and other terms that have special meaning for credit unions, their members and regulators. Board of directors Group of volunteers charged with providing the general direction and control of the credit union. Capital A measure of a credit union's ability to withstand troubled times.
Regulatory capital includes all the above plus allowances for loan and investment losses.
Credit committee Optional internal committee of a credit union that considers applications for loans and lines of credit. In the event the credit union has delegated that authority to a loan officer, the credit committee ratifies the applications approved by the loan officer. It is owned by the members of the credit union. An organization owned wholly or in part by one or more credit unions to provide service to the credit unions, their members, or both. A dividend represents the payment by the credit union to the member for use of the member's funds.