What is a Credit Union?

Credit unions are not-for-profit, financial service cooperatives, owned and controlled by their members, and operating in a democratic way. As co-ops, credit unions operate solely for their members’ benefit, rather than to make a profit.

Why Join a Credit Union?

Member Owned. Member Driven.

Credit unions were founded on the principle of people helping people. When you join a credit union, you become part of a community. A community that exists to help its members grow and prosper financially. You become something bigger than just an account number. You become a member-owner with the power to shape the future of the credit union through your voice and your vote. You become part of a movement that exists solely for the purpose of meeting the financial needs of their member-owners by following seven cooperative principles.

Seven Cooperative Principles

All co-op businesses run in accordance with seven basic principles.

Open and Voluntary Membership

It’s important that members voluntarily choose to become members. Cooperatives are “open to all persons able to use their services and willing to accept the responsibilities of membership…”

Democratic Member Control

Members ultimately control their cooperatives. When you attend your credit union’s annual meeting or vote for the board of directors, you’re exercising your member control.

Member Economic Participation

“Cooperatives operate so that capital is the servant, not the master, of the organization.”

Autonomy and Independence

While governments determine the legislative framework within which co-ops function, this principle asserts that co-ops also have an “essential need to be autonomous in the same way that enterprises controlled by capital are…”

Education, Training, and Information

This principle says members can play their role in the cooperative only when they understand that role and the co-op. That’s one reason, for example, that your credit union provides you with this information and other educational tools.

Cooperation Among Cooperatives

Those managing a cooperative believe that co-ops have a unique opportunity to protect and expand the interests of ordinary people. This kind of one-for-all and all-for-one idea is unique. Even in areas where they compete, it’s common for credit unions to cooperate on activities.

Concern for Our Community

Cooperatives exist primarily for the benefit of their members. Because of this strong association with members, they also are often closely and actively tied to their communities.

“The credit union movement… it is a great movement, worthy of great deeds, deserving of great loyalty.”

Edward Filene, founder of the first credit union in the United States.

A Message from Executive Leadership

APGFCU’s 2024 results ran counter to nationwide trends for muted deposit, loan and member growth. While it was a challenging economic environment, through deliberate actions, APGFCU’s growth rates in loans and members exceeded national and peer credit union averages. Strong growth continued in Harford and Cecil counties, where, combined, APGFCU has the largest market share of deposits among all financial institutions. Expansion continued in Baltimore County and Baltimore City, which are primarily served via digital and remote channels as we plan for future physical locations. Since 2022, the number of APGFCU members in Baltimore County and Baltimore City has doubled – from approximately 13,000 at year-end 2021 to nearly 26,000 at year-end 2024. Thirty-six percent of all new members who joined the credit union in 2024 were from Baltimore County or Baltimore City.

One of our priorities has been leveraging recent investments in technology to better serve the needs of our members. Enhancements were made to our internet loan application and online account opening processes to improve member convenience and efficiency. Technology upgrades in 2024 included the implementation of a new cloud-based phone system, which has helped reduce call handling and wait times. In addition, the transition to a new credit and debit card processor has resulted in enhanced fraud monitoring, and a more robust credit card rewards program.

Improving service delivery is one of the key initiatives of a larger five-year strategic plan launched in 2024. Other areas of focus include elevating member satisfaction, deepening member relationships and maximizing our community impact. We are committed to being a financial partner you can trust as your needs change throughout the various phases of life and evolving to serve the needs of generations to come.

Throughout 2024, consumers continued to feel the effects of high inflation and rising interest rates. More members fell behind in loan payments, and net charge-offs trended upward. Despite higher charge-offs, your credit union achieved strong net income and increased its net worth in 2024. APGFCU continues to be a safe place to both save and borrow. If you experience financial difficulty, remember your credit union is here to help with financial tools and resources, including counseling and loan repayment strategies to get you back on track. Help is just a phone call or click away.

APGFCU remains committed to further strengthening our foundation while embracing the opportunities ahead. We will continue to focus on expanding our reach and impact in both established and new communities, ensuring we meet the diverse needs of members. The future holds great promise, and we look forward to continuing to grow with you as your trusted financial partner.