New book explores 'humble beginnings' of credit unions on P.E.I.
CBC News | Posted: November 2, 2017 11:36 PM | Last Updated: November 2, 2017
First credit unions opened just over 80 years ago, some with assets of just $100
Although credit unions on P.E.I. now hold assets of about $1 billion, their earliest holdings were miniscule fractions of that amount — sometimes as little as $100.
Author Scott MacDonald explores the origins and rise of the institution on the Island in a new book, appropriately titled From Humble Beginnings.
"There was 75 different credit unions over the 80 years," MacDonald said adding the first one opened in May 1936.
"How they started was the banks after the First World War had put branches in every conceivable small town...and most of them didn't make it and closed."
MacDonald said this left people without any banking options so the idea of having small credit unions in their communities was appealing.
"You could put money in and as a shareholder control it."
MacDonald said having credit unions meant people could borrow money to help start businesses.
"The idea of them being able to put money in and loaning money to their friends and neighbours, they just loved the idea."
MacDonald said credit unions on P.E.I. are owned only by Island shareholders. While some of the smaller original credit unions had assets of $100 to $200, the larger ones might have had $10,000.
MacDonald adds it was the credit unions in Canada that first introduced consumer loans, debit cards, direct deposit and more.
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