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ABA: The American Bankers Association
Issue

Credit Union Transparency and Accountability

ABA Position

The credit union mission of service and its not-for-profit cooperative structure have long shielded the $2.3 trillion industry from public scrutiny. ABA supports competition within the financial services marketplace, but insufficient transparency and accountability for credit unions harms both consumers and taxpayers. Regulators and members of Congress alike have concluded that the modern credit union system – and its 140 million members – would benefit from more disclosure and reporting requirements. ABA seeks to promote more regular oversight of credit unions while advocating for more appropriate regulatory, supervisory, and tax requirements that better reflect the industry's evolution.

Congress established federal credit unions more than 90 years ago to provide basic consumer financial services to those of modest means connected through some common bond. In light of their statutory mission and not-for-profit structure, Congress exempted credit unions from federal income taxes and limited their activities.

Throughout the last several decades, credit unions have changed significantly and now acquire banks, issue subordinated debt, and even offer membership nationwide with multimillion-dollar marketing campaigns. As credit union activities expand, the need for congressional oversight and regulatory review grows. Policymakers have a responsibility to ensure that the credit union industry’s special tax and regulatory treatment is justified by the community benefit it produces.
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Learn more about efforts to reform credit unions

Help ABA educate consumers and policymakers about 21st-century credit unions and how their expansion efforts run afoul of their mission and structure.

Visit ReformCreditUnions.com

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ABA Washington Summit Panel on Need for Credit Union Oversight

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Industry Resources

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What Others are Saying

“Credit Unions have largely escaped scrutiny by a combination of wrapping themselves in the ‘good guy’ flag as a nonprofit, mission-oriented entity and by not releasing data to the public.”

Aaron Klein, Brookings Institution (2023)

“It's starting to seem like the notion, codified in statute, that credit unions are ipso facto benevolent to our most vulnerable borrowers is in need of rethinking.”

American Banker Washington Bureau Chief John Heltman (2023)

“Our legislators have given a huge pass to credit unions, on the assumption that they’re serving and meeting the needs of their members.”

National Fair Housing Alliance President and CEO Lisa Rice (2023)

Credit Unions in Each State

Get the real story on credit unions in each state, with data compiled by ABA. Find the state you're looking for by choosing the first letter below.

In Depth

Our Experts

Hu Benton

Hu Benton

Senior Vice President & Policy Counsel

Regulatory Policy

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Press Contact

Jeff Sigmund

(202) 663-5439

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Working Group on State Issues

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Reform Credit Unions

Large credit unions have lost their way. It’s time to level the playing field and hold them accountable. See state and national data.