Credit Union Overview

Overview

A Credit Union is defined under the Credit Union Ordinance 2016 as a financial co-operative society which has as its main objectives the promotion of thrift and the creation of a source of credit for its members for provident and productive purposes.

Anyone carrying on activities defined as credit union business in the islands must be licensed to do so by the Turks and Caicos Islands Financial Services Commission (FSC), as authorized by Section 12 and 14 of the Credit Union Ordinance.

A meeting must be convened with the FSC prior to the application for a Credit Union License, therein the application form and other licensing requirements will be explained.

Membership

The membership of a credit union licensed under the Ordinance shall comprise a minimum of 100 members.

Capital Requirements

The  Credit Union Ordinance 2016 under Section 53 requires a credit union to have a minimum institutional capital of $100k, while Section 54 requires the maintenance of a statutory reserve equal to the institutional capital.

Filing Requirements

Holders of a Credit Union licence are required under Section 74 of the Credit Union Ordinance to submit to the FSC

• its financial statements;
• statements of its loans and advances, including delinquency;
• statements of its earnings and expenses;
• statements of its assets and revenues related to non-financial business activities; and
• statements of its other financial data or information as the Commission may require.

Fee for Credit Unions

Please refer to Sections 12(a), 14(2), 16(2) and Schedule 7 of the Credit Union Ordinance 2016.