A credit union is a financial co-operative which is made up of a group of persons who join together to make certain financial services available to themselves the members of the credit union. The major services offered by a credit union is to provide a facility to save money and to make loans available to members at a rate of interest lower than the commercial rate.

All members of any one co-operative must have something in common. They must all fall under what is called a common bond of the co-operative, before they can become eligible to join that particular co-operative. The bond could be, for example, that the people all live in the same Parish or community or that they are involved in the same activity or profession.

To join a credit union, the members must invest a sum of money. This sum is broken down into units called shares. Under the principles and practices governing co-operatives, this investment allows the members to become owners of the credit union. Regardless of the number of shares held in the credit union, each member has only one vote.