How to Open an Account in the Best Credit Unions in Cameroon. eligibility requirement to create or open a credit union account
Like Banks in Cameroon, Credit unions in Cameroon are an excellent source for services such as checking accounts, saving accounts, and loans. A list of credit unions in Cameroon must include popular, successful, and old credit unions such as Azire Cooperative Credit Union and Ntarinkon Cooperative Credit Union.
They are usually a safe bet for finding free checking, and interest rates are typically competitive. What's more, these institutions are generally local, so they keep your money (and their attention) in the same community in which you live.
How to Create or Open an Account at the Best Credit Unions in Cameroon?
But opening an account at a credit union can be intimidating, primarily because credit unions use different terminology. When "eligibility" and "membership" come up, people think the process will be complicated—but it is easy to open an account. To do so, complete three simple steps:
- Meet the eligibility requirement to create or open a credit union account.
- Make a small deposit (often 10000 FCFA to 25000 FCFA) to become a member-owner.
- Start using your credit union account in Cameroon.
Let's review each of those steps in more detail below.
1. Meet the eligibility requirement to create or open a credit union account
To join a credit union, you have to be a part of that credit union's field of membership. That means you must have some kind of shared bond with other members of the credit union.
It is easy to find a credit union that you are eligible to join. Some factors that might allow you to qualify to include:
Your employer has established a relationship with a credit union, and all employees are allowed to join.
Community-based credit unions allow anyone living in a specific community (a city, state, or another geographic region) to join.
Family members can open doors. You may be able to join a credit union based on a relative's ability to meet membership requirements (even if that person isn't a member).
Your occupation, regardless of your employer, might help you qualify.
Joining an organization may also make you eligible for certain credit unions, which makes those credit unions open to just about anybody. You might need to make a modest donation, but some groups are free to join.
Suggested: How to open a Bank Account in Cameroon?
How to Find a Credit Union in Cameroon?
If you need to find a credit union that you can join, ask your co-workers, friends, and neighbors where they go.
2. Make a small deposit (often 10000 FCFA to 25000 FCFA) to become a member-owner
Once you find a credit union for which you are eligible, you can open an account. You can often do it all online, or you can visit a branch in person.
To become a credit union member, you need to make a modest deposit, which represents your purchase of a share in the credit union. That deposit is often as small as 10000 FCFA to 25000 FCFA. You can make your deposit however you like, whether by cash, check, or using a debit card or other electronic funds transfer from your other bank.
Note that for several credit unions, though not all, you need to leave a minimal amount of money in your account at all times. So, if your account balance is 10000 Francs and the share requirement is 5000 Francs, you will really only have 5000 Francs available to spend. The credit union prevents you from paying those funds, so keep that in mind as you plan your budget.
Requirements to Create an Account in a Credit Union in Cameroon
As with any financial account in the country, you need to provide details about yourself, including:
- Your Tax Identification Number.
- Your physical address (you can also use a separate mailing address for correspondence)
- Valid identification, such as your national ID, driver's license, or passport.
A reason why you're eligible to join the credit union ("I work for ABC Company" or "my dad is a member here")
If you are opening a business account, you need additional documentation. Bring your employer identification number (EIN) and any documents showing that your business organization exists. Furthermore, ask the credit union for full details, and get signatures from all required partners.
3. Start using your credit union account in Cameroon
That is all—once you are a member, you can use all of the services at the credit union.
Also, set up direct deposit with your employer so that your earnings go directly to the credit union.
Use online bill pay at your credit union to make payments electronically and record all transactions.
Get your credit union's app so that you can quickly check your balance and (if possible) make mobile check deposits.
Set up alerts in your account (text or email) so that you know about any large withdrawals or low-balance situations.
Choosing a Credit Union in Cameroon.
You can probably choose from several different credit unions locally and nationally. Pick a credit union that offers the products, services, and rates that are best for you.
As you compare options, don't get too hung up on branch locations and hours. As long as your credit union is part of the shared branching network, you will have access to ATMs and branches of other credit unions nationwide. You can do most of what you need online or with your mobile device.
Frequently Asked Questions (FAQs)
What is a Credit Union?
A credit union is a financial institution that is owned by its members. As a credit union member, you can vote on issues related to the credit union, for example, which should be on the board of directors.
You must meet basic membership requirements, like living in a specific area or having a relative member, to join a credit union.
Are Credit Union's nonprofits?
Credit unions are nonprofits, which means that they do not have to pay corporate income tax on earnings, and they only need to earn enough to cover daily operations. That allows them to offer better interest rates to their members than what you may find at banks.
Read Also: Best Banks in Cameroon.