The community development credit union : evaluating its success in improving the urban community

This study examines the fundamentals, operations, and performance of community development credit unions (COCUs) in urban communities throughout the Great Lakes region. It incorporates a system for evaluating their operation as well as an analysis of traits that can be linked to CDCU effectiveness. The two-pronged approach to the study begins with an evaluation matrix that utilizes a collection of criteria designated as performance benchmarks. Data collected via mail survey for each of the nine case studies are passed through the matrix, producing scores that provide a basis for comparison in the analysis section where a set of criteria is drafted to personify an ideally successful community development credit union. The analysis of trends within the case studies has produced the conclusion that effective CDCU operation is linked to a high loan-to-deposit ratio, presence of local small business support, and an existent level of citizen participation within the community. In addition, the thesis suggests continued improvement of small business lending and support as well as providing financial education programs for residents.