Today we decided to talk about credit unions, which played a huge role in lending. It broadened the horizons of credit for consumption and increase fraud schemes and defaults credit union .

On the surface, credit unions may seem profitable tool investments or loans. Sometimes they just shake their generosity: if banks offered deposit at 18-20% per annum, the unions lure rate of 24% per annum.

Credit unions (CUs) as a non-profit financial institutions, the purpose of which is lending to its members, in a form in virtually all developed countries. And interest and other terms and conditions set by the members of credit union loans are then taken.

And with the non-profit institutions that take, especially if the Financial Services Commission and its departments, the Department for Supervision of credit unions, the state "teeth" does not actually give the necessary apparatus of authority and law attached liability for violation of its provisions.

When writing, the Tristar encountered some problems finding credit unions. Their addresses and phone numbers, which were listed on the website of the National Organization of Credit Unions of Ukraine, in many cases do not correspond to reality. Most often, if you go to the address listed on the site UNASCU or COP, or will find another credit union, or will not find anything at all.

One of the special characteristics of the COP include their migration - CS department is constantly moving from one place to another, or even close. Do not think that the credit union is very different from the institution. Some, for example, the COP "Leader" - are created by the banks themselves, which in principle is contrary to the very nature of the credit union. In this sense refer to the CC is almost absent, as at best, they are banking (with margins of COP may be higher).

As for the service - it could be better. In many of the COP to customers include enough disdain. This is quite understandable situation, since (unlike banks) COP provide training for staff to work with clients credit union

How to distinguish a pyramid scheme of the credit union?

The first thing that should alert the investor - a broad and massive advertising campaign. Remember that only "cost" credit union Berliner Bausparkasse. Their information on record-low interest rates for loans he spread across different sources of information. Special attention was paid to free newspapers, which are distributed in the mass field - exit the subway. Out of all the fact that the scam was revealed, and took money from people (in terms of mortgage loan had to be a certain amount of time to make payments) and not returning.

COP - perfect niche for fraud, therefore, choosing an alliance, you must be careful enough and more picky than when a bank or insurance company.

Remember that the credit union is not the Deposit Guarantee Fund, as the banks. This means that you do so at your own risk. It is important that the selected CS fall into one of two associations: the All-Ukrainian Association of Credit Unions (VACS has about 260 KS - about one third of Ukrainian credit unions) or the National Association of Credit Unions of Ukraine (united UNASCU 153 COP, including the largest unions of the country).

It is also important to know how long the union is on the market and what his members.

Seek not a big consumer loan to the credit union is then, if you have failed in several banks. But the simple design of the loan should not exceed 30 minutes credit union .