Toledo union journal. [volume] (Toledo, Ohio) 1942-current, 1950-08-18

borrowed IN the IlTSC place.
Up until about 10 years q
for borrowers wasn't ever
considered. The working man
who saved h il m o ley re-
ccived no justice either. Depos-
itors got low dividends from To-
cal banks, high mortgage rates
prevailed for any loan, and you
had to give title to everything
you owned to get any kind OF
loan. The character of the bor-
rover had no value. The only
part bankers considered was the
collateral. In fact, bankers were
known as the people who loan
ed money only to people who
didn't need it and never to the
man who did. And often failure
of a borrower to meet a payment
even on a small loan resulted in
repossession of everything -
everything he may have acquir-
ed over a lifetime of work and
thrift.
Under such conditions as
these, cooperative Credit Unions
began in 1884. After long agita-
ton and local state action, our
73rd Congress passed the Fed
eral Credit Union Act. This act
authorized the establishment of
cooperative savings and loan as
sociations to be known as Credit
Unions for the purpose of thrift
and loans among any group OF
people with a common interest,
such as a group of employees, a
church parish or a fraternal or
der. Today As states have Credit
Union laws similar to the Fed
|eral act.
These laws were passed with
the realization that more justice
was needed for small depositors
as well as consumers needing
credit. Today there are 106 Cred
it Unions operating under state
and federal charters in North
west Ohio alone. Ninety of these
are here in Toledo, 70 among
e m ployee groups, eight in
churches, and the rest in other
groups.
Basicly, the Credit Union i;
set up for mutual aid and sell
assistance. It's spirit depends up
on how much human interest the
membership and their elected
representatives bring to theil
business. Like other unions anc
our co-ops, the membership
chooses the officers. Each mem
Der votes as an individual, no
according to how big his depos
its are. Officers serve in a volun'
tary capacity although when
credit union b e C o m large
enough, the officers may hire {
full-time treasurer. Some cred
it unions have complete offices
of their own. The books r au
dited regularly by the auditing
committee of the membership
and State or Federal bank ex
aminers.
The competition furnished b,
our ACKNOWLEDGEMENTS coopera
tive Credit Unions has not onl,
opened thrift and credit facili
ties at fair and just terms t.
their members, but also ha
caused competitive banking ant
finance companies to b e C o m
more liberal and more fair to al
consumers.
Credit Union terms are clear
u 10 a month interest on thu
unpaid balance of a loan. YoV
can always figure your own il
terest charges, 500 costs $40
for the month. Some credit un
ions make real estate loans at
smaller interest rate; p Life in
surance on the loan. The deb
dies with the debtor. If you di
while you are in debt to tn
Credit Union your loan is auto
matically paid up. Loan insur
ance" they call it, at no addi
tioral charge.
How has providing loans t
those who need them, so lon
summed by profit business a
too risky" turned out? Thes
Credit Unions, of, by, and 70
the working man, have a recor
which has astonished even tn
disbelievers: With a SO loss rs
ito considered good, the 900
Credit Unions of the u. S. ca
point to their record of a 2/10th
of a l% loss on all loans made
Working men and women every
where are continually provin
that they can do business 70
themselves in a democratic mar
ner.
Toledo Council for Coopers
tive Development meets Angus
so, 8 PM. at the Carpenter.
Hall, 61219 Huron Street. Elec
ton of temporary officers Wi