Principles of cooperation

1. Voluntary and open membership.

Credit unions open their doors to people regardless of their race, gender, or financial situation. As not-
for-profit institutions, they are devoted to their members’ financial wellness, and not to make a profit.
2. Democratic member control.
Co-ops operate on a democratic platform, meaning one vote, one member no matter their financial
status. Each credit union has a board of directors that serve on a volunteer basis.
3. Member economic participation.
Members are both owners and customers. The more people that participate, the more can be given back
in the form of more products, lower loan rates, higher savings yields, and fewer fees.
4. Autonomy and independence.
Cooperatives are owned by members, not shareholders, making each member the boss.
5. Financial education, training, and information.
Credit unions are committed to providing financial education to their members and to the community at
large. From budgeting basics to retirement planning and how credit works, they do all they can to ensure
that the general public and policymakers are informed.
6. Cooperation among cooperatives.
Working together, financial cooperatives are there when you need them. Credit unions provide more
ATMs than the world’s largest bank.
7. Concern for the community.
Credit unions are passionate about serving their members and about making an impact in the
community. They volunteer for local charities and participate in causes to make a difference.
What is Credit?
Credit is a contractual agreement in which a borrower receives something of value now and agrees to
repay the lender at some date in the future, generally with interest. Credit also refers to an accounting
entry that either decreases assets or increases liabilities and equity on the company's balance sheet.

Types of Credit
Credit refers to the concept of a lender providing a loan for a borrower. There are various different types
of credit – such as credit cards, overdraft facilities, higher purchase agreements and personal loans –
depending on how the borrower intends on repaying the finance.
Credit cards
Credit cards are a type of credit that allow users to borrow money from a bank or credit card issuing
company to purchase goods and services or to withdraw cash. There are countless credit card types, and
various forms of charge cards, store cards, rewards cards and balance transfer cards available. Here at
aqua we offer three different types of credit cards – The Classic, Reward and Advance cards – to suit your
individual financial needs.
Bank loans
Other types of credit include loans, which can be paid off in monthly installments over a particular
period. Mortgages are a type of credit often used to purchase property. They are secured against a
property and are usually paid off in monthly payments over an extended period of time.
Overdrafts
Overdraft facilities are another type of credit that, because of a pre-arranged agreement authorised by
your bank, allow you to withdraw money after the bank account balance reaches zero. An overdraft has
a limit depending on your account history and needs. They are helpful in providing a safety net to cover
short-term arrears and to compensate for a temporary lack of cashflow. Be aware that overdrafts incur
interest and, depending on your agreement, may include an administration fee or monthly payment
charges.