Greetings fellow PSECU members!
The last time you heard from me, I took things back to basics by talking about PSECU: How the credit union began, what it has become, and what our purpose is today. In this message, I will spend some time explaining the not-for-profit credit union model and how all of our members benefit from it.
A credit union is a not-for-profit financial institution that exists solely for the purpose of serving its members and the communities in which it operates. Every member is a partial owner of the credit union, which is governed by a board of directors.
While credit unions like PSECU are not-for-profit institutions, that doesn’t mean we don’t earn profits. It’s what we do with those profits that’s different. Unlike publicly-held financial institutions, we return those profits to our member-owners in the form of reduced or no-fee services, low rates on loans, and investments in providing an excellent member experience. Further, at PSECU, we invest time and money into providing our members with a robust array of financial education tips and tools in the form of blog posts, educational videos, financial worksheets, a podcast, and other resources so that they are positioned for financial success. Finally, it’s important to point out that we also retain some of the profits for contingency or future opportunity purposes, but as retained earnings, they are still part of what the cooperative, and, therefore, the members, own.
PSECU’s not-for-profit membership model also places emphasis on community outreach. We provide financial wellness outreach to young people through schools and partnerships with programs like Junior Achievement. We take this concept even further by operating Financial Education Centers on more than 20 college campuses across Pennsylvania.
Credit unions, including PSECU, were designed with and continue to operate on the concept of a cycle of mutual assistance. One member’s savings enables someone else to receive a mortgage or a car loan. All of this occurs based on the principle of working to ensure all members’ financial well-being.
PSECU’s principles guide everything we do and set us apart from other financial institutions. Our mission is to provide life-long value to our members, empowering them to achieve more. Our vision is to be your preferred financial partner. We live and breathe the credit union philosophy of “people helping people,” a principle we’ve believed in since our founders came together in 1934. When you join PSECU, you become a part of an organization focused on our members’ best interests. That was true in 1934, and it’s still true today. It is my sincere hope and goal that each member will see our emphasis on trust and integrity and know that it is their best interests we serve.
All this boils down to one, very important thing: As a member of a credit union, you are part of something that is different—a cooperative that’s here solely for the purpose of providing an alternative to for-profit-banking and a trusted partner in the communities in which it operates. Thanks for being part of our cooperative as a member of PSECU!
George Rudolph, President & CEO