Financial Terms Glossary...
Member's instructions to the credit union directing it to dishonor a specific check.
An organization, such as a corporation, religious congregation or association, that promotes the establishment or continuation of a credit union for its employees or members. Same as Select Group (SG).
Supervisory Committeea credit union committee established to protect the financial welfare of the members by examining the affairs of the credit union, performing an annual audit, and reporting to regulatory agencies as required.
Third Party Check
Check presented to a financial institution by an individual or company, but the check is written to another party instead of to the presenter.
Share Account Certificate (CD)Account that will earn dividends at a particular rate if held to maturity, and on which a penalty shall be assessed for the withdrawal of all or any portion of the principal amount prior to maturity.
Bond issued by the U.S. government to help pay its expenses and also encourage savings.
Select Employer Group (SEG) Select Group (SG)
An SEG is an employer group is company that is accepted and approved by the credit union. The company employees are eligible for credit union membership. An SG is the same as an SEG except it is an umbrella term that refers to a company, organization or an institution whose employees or members are eligible for credit union membership.
Share Draft (Checking)
Printed document allowing payment for goods and services. Originally considered a check only if drawn directly on a financial
institution. If "payable through" was involved, it was a draft. Today, a Share Draft Checking Account and a Checking Account are the same.
Share Certificate Account (Savings Account)
An account that earns dividends at a specified rate for a specified period of time when held to maturity. A penalty may be assessed for any premature withdrawal.
Share Draft Checking Account (Checking Account)
A dividend-earning account from which the holder is authorized to withdraw shares by means of a negotiable or transferable instrument or other order (similar to a NOW account).
Interest calculation based only on the original principal amount.
Summary for members of the transactions that occurred over the preceding month. A credit union statement lists all deposits and withdrawals, as well as the running account balance.