NIU credit union OK: students

By Pam Schmidt

Students might be a few steps closer to their banking needs next semester if the Student Association is successful in obtaining a charter for an on-campus credit union.

The SA randomly surveyed 260 students by telephone in March on whether they would participate in a student credit union.

About 62 percent of the students said they would be willing to join and/or transfer some of their money into a student-run union, said John Russick, SA research adviser.

Although no application has been filed, the SA has begun investigating options for developing a plan to be proposed to the NIU administration later this semester, said Jason Broderick, an NIU student working on the proposal.

“It is difficult to make a success of a student credit union economically because most students don’t have an independent income,” said Matt Rouker, chief of charters, insurance and liquidation for the National Credit Union Association in Chicago.

About 40 percent of the students polled said their average monthly checking account balance fluctuated between $100 and $300. About 15 percent said their balance was less than $100. Nineteen percent said their balance was between $300 and $500. About 20 percent said they had balances of more than $500.

A committee will meet later this semester to develop a business plan including membership fees, a board of directors, minimum deposits, the location of the union and office hours.