A Special Day for Credit Unions!

​Celebrating 90 years of the Federal Credit Union Act – signed in 1934 by President Franklin D. Roosevelt. Do you know the first FCUs chartered in the Dakotas?  

Tomorrow, Wednesday, June 26, is a very special day for credit unions, as it is significant in the history of the credit union movement. This year, June 26 marks 90 years since the Federal Credit Union Act was signed by President Franklin D. Roosevelt.

While the first credit union in the United States was formed by Alphonse Desjardins in 1909, it wasn’t until this day in 1934 that President Roosevelt signed the Federal Credit Union Act, enabling all 50 states to authorize federally chartered credit unions. FDR and his administration supported the idea of cooperative financial institutions, and the concept spread quickly.

The legislation made it possible for credit unions to organize under state or federal charter and created the Bureau of Federal Credit Unions, the first government agency to oversee credit unions. The organization later became the National Credit Union Administration (NCUA).

The act was spurred into law by a grassroots movement in America working to spread the idea of cooperative credit. In the decades after the act was signed, credit unions grew rapidly, even during tough economic times. A 1964 Social Security Administration report shared that in 1934, there were 39 credit unions in the U.S. serving 3,200 Americans; by 1964, there were 11,200 credit unions with 7.7 million members. Today, more than 140 million Americans belong to a credit union and benefit from being part owners in an independent financial cooperative.

In the years since the passage of the Federal Credit Union Act, credit unions have grown, evolved, and of course, are more complex and regulated today than those first institutions. Most importantly – credit unions continue to provide needed financial services to millions of Americans – including many in North and South Dakota.

To celebrate the anniversary, DakCU is offering free resources that credit unions can use to spread awareness about how they help people and communities prosper. Download the newsletter article and suggested social media text here. If you are interested in learning more about the historical timeline of credit unions, visit ncua.gov.

Dakota Trivia:
In North Dakota, the first credit union was established in 1934 – Fargo Public Schools FCU, Charter #47. In South Dakota, the first credit union was also established in 1934 – First Dakota Federal FCU, Charter #40. (They are now part of Bluestone FCU). The oldest active credit union in South Dakota is Levo FCU, also established in 1934 with Charter #60.