Belize Credit Union League: The umbrella organization that unites, strengthens and advances Credit Unions by fostering the movement’s growth, stability and success.
To empower the people of Belize through credit unions.
A Credit Union is a group of people who pool their monies to assist each other financially. Thus, the main objective of a Credit Union is to assist its shareholders with their financial needs. One of the most important opportunities that Credit Unions offer is the opportunity for shareholders to own and manage their financial institution.
Each shareholder is a part owner of the Credit Union and monies they deposit with the Credit Union are called shares. At the end of each financial year, a rate of dividend is declared which will be paid to the shareholders. The rate to be paid is dependent on the profits the Credit Union made during the financial year. Although all shareholders receive the same dividend rate, the total monies received by a shareholder depends on the amount of shares owned. However, regardless of the number of shares owned by a shareholder, each shareholder has equal rights and is entitled to only one vote at the Annual General Meeting (AGM).
As part owners, shareholders of Credit Unions assist to create more opportunities for themselves, such as starting small businesses, building family homes, and educating their children. While it is important for a Credit Union to be financially sustainable, it is not driven by profit. Credit Unions are only like for-profit corporations in that they also seek to generate profits for the benefit of the owners. However, unlike private commercial banks and other for-profit institutions, the members of Credit Unions serve as both owners and recipients of the CUs’ services. Therefore, when Credit Unions maximize their profits, it results in lower interest rates on loans, lower service fees and higher dividends for the members. In addition to this unique aspect, Credit Unions are democratic institutions, where a single shareholder receives a single vote, regardless of their financial stake in the organization.
The ultimate mission of Credit Unions is to serve their shareholders; in turn shareholders are entitled to be involved in the management of the organization. They can do this by being a voter, a member of a committee, or a director since every shareholder of a Credit Union, regardless of account size, is eligible to cast a vote in the elections of officers and directors, and they may also contest for a seat on the Credit Committee (CC), Supervisory Committee (SC), or Board of Directors (BOD), respectively.
Guided by the Credit Union Act (CUA) of 2002, all Credit Unions are required to hold an AGM to report on the year’s operation, financial audits, and other issues of the Credit Union. It is at this meeting that members can become aware of the activities of the Credit Union during the previous year and become involved in deciding who manages their Credit Union on their behalf.
The Belize Credit Union League Limited (BCUL) was established in 1956 under section the Credit Union Act, No. 7 of 2002 Part XII section 80. BCUL is an association of Credit Unions and was established to further the Credit Union movement’s common interests through advocacy, bulk purchasing, and training for the benefit of its members. The philosophy of BCUL is that by working together the credit union movement will become strong and possess the necessary skills to be able to provide products and services for its members.
The Belize Credit Union League has the power to institute and implement measures to enable its member Credit Union to always carry on their operations in a manner that will ensure the protection of their members’ interests. The scope of BCUL’s activities is but not limited to the following:
- Conducting, encouraging, and assisting educational and advisory work relating
to member Credit Unions. - Improving methods of management of member Credit Unions and standardizing their record keeping, accounting and other procedures.
- Reducing operating costs of member Credit Unions by arranging for group services; and
- Rendering to its members consultative and any other services incidental to its objectives.
In addition to representing local Credit Unions nationally, Belize Credit Union League also represents affiliated Credit Unions regionally to the Caribbean Confederation of Credit Unions (CCCU). The CCCU is a non-profit organization which serves as the apex organization for Credit Unions throughout the Caribbean. It is through the CCCU that local Credit Unions are represented internationally to the World Council of Credit Unions (WOCCU).
“WOCCU is the global trade association and development agency for credit unions. WOCCU advocates on behalf of the global credit union system before international organizations and works with national governments to improve legislation and regulation. Its technical assistance programs introduce new tools and technologies to strengthen Credit Unions’ financial performance and increase their outreach” (WOCCU).
Every Credit Union in Belize can become a member of Belize Credit Union League and eleven of the twelve Credit Unions presently registered Belize are currently members of Belize Credit Union League.
Each shareholder is a part owner of the Credit Union and monies they deposit with the Credit Union are called shares. At the end of each financial year, a rate of dividend is declared which will be paid to the shareholders. The rate to be paid is dependent on the profits the Credit Union made during the financial year. Although all shareholders receive the same dividend rate, the total monies received by a shareholder depends on the amount of shares owned. However, regardless of the number of shares owned by a shareholder, each shareholder has equal rights and is entitled to only one vote at the Annual General Meeting (AGM).
As part owners, shareholders of Credit Unions assist to create more opportunities for themselves, such as starting small businesses, building family homes, and educating their children. While it is important for a Credit Union to be financially sustainable, it is not driven by profit. Credit Unions are only like for-profit corporations in that they also seek to generate profits for the benefit of the owners. However, unlike private commercial banks and other for-profit institutions, the members of Credit Unions serve as both owners and recipients of the CUs’ services. Therefore, when Credit Unions maximize their profits, it results in lower interest rates on loans, lower service fees and higher dividends for the members. In addition to this unique aspect, Credit Unions are democratic institutions, where a single shareholder receives a single vote, regardless of their financial stake in the organization.
The ultimate mission of Credit Unions is to serve their shareholders; in turn shareholders are entitled to be involved in the management of the organization. They can do this by being a voter, a member of a committee, or a director since every shareholder of a Credit Union, regardless of account size, is eligible to cast a vote in the elections of officers and directors, and they may also contest for a seat on the Credit Committee (CC), Supervisory Committee (SC), or Board of Directors (BOD), respectively.
Guided by the Credit Union Act (CUA) of 2002, all Credit Unions are required to hold an AGM to report on the year’s operation, financial audits, and other issues of the Credit Union. It is at this meeting that members can become aware of the activities of the Credit Union during the previous year and become involved in deciding who manages their Credit Union on their behalf.
The Credit Union (CU) Movement in Belize was started in 1943 by a coalition of 32 individuals. The pioneer of the movement was Father Marion Ganey, who believed that people have the responsibility to solve their economic and social problems.
This coalition led to the birth of two Credi Unions in the Toledo District: the first one, St. Peter Claver’s Credit Union Limited, was formed in Punta Gorda Town, and St. Joseph’s Credit Union Limited was formed in the Village of Barranco. The Credit Union idea soon became a sweeping movement throughout the whole country and between 1943 and 1950 they were being formed countrywide. Some of these early credit unions included Holy Redeemer Credit Union Limited (1944), St. Francis Xavier Credit Union (1945) and St. John’s Parish Credit Union Limited (1946).
In 1949, an attempt was made to form a Credit Union League however this did not materialized. It was not until 15 June, 1956 the then Registrar of Co-operatives, Mr. Henry Usher, along with a few dedicated persons finally got the League started. The British Honduras Credit Union League became a reality and was registered under the Credit Union Laws of the Country.
On the 22nd June 1956, the first Meeting of the League was held and the following persons were elected:-
BOARD OF DIRECTORS
- Mr. Donald Daly – President
- Mr. Owen Tucker – Vice-President
- Mrs. Jane Usher – Secretary/Treasurer
- Mr. G. Smith – Director
- Mr. H. McNab – Director
SUPERVISORY COMMITTE
- Mrs. L. Moir
- Mr. Clive Welch (Deceased)
- Mr. G. Cargill
In August 1956, the League was admitted into membership of the Credit Union National Association (CUNA). Through this organization, all League affiliates were offered Loan Protection and Life Saving Coverage by CUNA Mutual Insurance Society.
In 1970, the British Honduras Credit Union League along with other Leagues throughout the Caribbean came together to discuss the formation of a regional credit union organization. These discussions lead to the formation of the Caribbean Confederation of Credit Union (CCCU) in 1972. Through its affiliation with this organization the League is associated with the World Council of Credit Unions (WOCCU).
Presently, there are 8 credit unions in Belize that are members of the League which is now known as the Belize Credit Union League.
