Verity Credit Union: 10 Key Things You Must Know

Overview

Verity Credit Union, headquartered in Seattle, Washington, is one of the longstanding credit unions in the United States established in 1933. Originally founded as the Postal Works Credit Union #8, it serves the diverse needs of Washington state residents. Known for its pioneering social media presence, Verity was the first financial institution to start a blog in 2004, setting a precedent in digital engagement. As you delve into Verity Credit Union's journey, you'll discover how a cooperative banking ethos and community-focused initiatives have crafted a distinct identity and impact.

1. Historical Background

Founded in 1933 during the Great Depression, Verity Credit Union was established to serve postal workers in Washington. It has retained its member-owned model and expanded its membership eligibility over the decades. Ensuring financial services for those in Washington state, Verity evolved into a secure financial entity with over $580 million in assets as of 2019, supporting more than 33,000 members with various financial products.

2. Member-Owned Structure

Verity operates under a cooperative model where every member has a stake in the organization. Unlike traditional banks, profits at Verity Credit Union are reinvested back into the credit union to enhance service offerings for its members, rather than distributed to shareholders. This model promotes community involvement and allows members to steer the direction of their financial institution.

3. Community Involvement and Impact

Verity Credit Union is deeply embedded in its community, facilitating local economic growth by channeling 87% of its deposits back into the community through loans and support initiatives. The credit union actively partners with local businesses and organizations to foster a thriving economy, focusing on areas traditionally underserved by conventional banks.

4. Branch Network

Though its origins are in Seattle, Verity Credit Union has grown to include eight branches throughout the metropolitan area. Each branch is strategically placed to maximize accessibility for its members, ensuring convenient financial services across various neighborhoods.

5. Leadership and Values

Verity Credit Union prides itself on diverse leadership. Its board and executive team predominantly consist of women, reflecting the credit union's commitment to inclusion and representation. Leadership believes in finance that supports social well-being, a vision spearheaded by CEO Tonita Webb, who advocates for addressing racial and economic disparities through financial inclusion.

6. Socially Responsible Banking

Verity is part of the Global Alliance for Banking on Values, aligning with institutions globally to advocate sustainable economic development. This membership underscores Verity’s commitment to using finance as a tool for positive change, be it through supporting green initiatives or economic opportunities.

7. Technological Innovation

Pioneers in integrating technology into banking, Verity was among the first to engage members through blogging and social media, earning national recognition. This innovative approach extends to digital banking, enhancing member experience with cutting-edge online tools.

8. Community Development Financial Institution (CDFI)

As a certified CDFI, Verity Credit Union extends financial opportunities to communities traditionally excluded from economic participation. This certification allows Verity to provide unique lending programs and services, including specialized loans for first-time buyers and businesses in low-income areas.

9. Financial Education and Resources

Verity’s mission extends to offering financial education and resources aimed at empowering members. By providing tools such as investment advisory services and budgeting workshops, Verity fosters financial literacy essential for personal and business growth.

10. Challenges and Opportunities

Operating within the credit union model presents unique challenges such as stricter regulatory requirements compared to commercial banks. However, it also offers opportunities to innovate in member services. Verity continues to explore partnerships and technological advancements to mitigate these challenges, bolstering its resilience in a competitive financial sector.

Conclusion

Verity Credit Union exemplifies the power of cooperative banking to drive meaningful impact in communities. From its founding in the early 20th century to its current operations, Verity consistently adapts to meet the evolving needs of its members. As they navigate the complexities of modern finance, the credit union's commitment to societal betterment sets it apart as a leader in ethical banking. As we consider the future of finance, Verity’s model poses the question: how can more financial institutions adapt such principles for broader economic equity?