Many credit unions structure their organization to include the presence of a credit committee that is either appointed by the chairman of the board or elected by the membership. The credit committee’s purpose is to assure membership fair access to members’ deposits in the form of loans. As explained in the board of directors program, the board is responsible for determining the policies from which the credit union will operate. The loan policy will outline the conditions necessary for any member to qualify for credit through the credit union. It is the credit committee’s responsibility to implement, monitor and evaluate these lending policies established by the board of directors.
By our definition, the committee must "assure membership fair access" to credit opportunities. In a democratic organization such as the credit union, fairness can be achieved best if a committee oversees this process. Usually the credit union's bylaws will define the structure of the credit committee, however it's most common for credit committees to consist of three or five members. The only qualification needed to serve on the credit committee is .. .