Credit Union Central

When Muhammad Yunus won the 2006 Nobel Peace Prize for establishing the microcredit movement in the developing world and "turning banking upside down," the folks at Credit Union Central of Nova Scotia were not surprised.

After all, the idea of providing small loans to individuals and small businesses who would not be considered risk worthy by banks is the very foundation of credit unions. They know it's a "risk" that pays off by helping many small businesses get up and running, and succeed, making their communities even stronger.

"Credit unions have been active in microcredit for years, although it hasn't been called that," says Bernie O'Neil, president and CEO of Credit Union Central of Nova Scotia. "It's the idea of self-help and pooling resources to help one another. The human element -- that's how credit unions began."

And it's just one of many innovative credit union "firsts" that have gone on to become industry standards. Credit union innovation includes common items such as ATMs, variable-rate mortgages, equity-linked GICs, home equity lines of credit and PC-based home banking.

Each credit union is locally owned and operated. Credit Union Central of Nova Scotia is owned, in turn, by the credit unions, and provides support and services to credit unions of Nova Scotia and Newfoundland and Labrador. It also acts as one voice in advocating for credit unions and their ideas, as well as working together to advance credit union causes.

One such cause was the 2006 Global Microcredit Summit. Through Credit Union Central, credit unions were able to sponsor the international summit, which was hosted in Halifax. Delegates from 110 countries came to the historic seaside city to hear Yunus speak about the benefits of supporting even the smallest business venture. And they left knowing that Nova Scotia's credit unions supported that same ideal.

O'Neil is big on small business.

"They contribute more to the economy than we appreciate," he says. "They are responsible for the creation of a significant number of jobs."

O'Neil knows first hand. A provincial loan program run by the credit unions has produced and preserved an impressive number of jobs.

"This program has created, according to our statistics, some 479 new jobs, while maintaining in excess of 1,000."

He is justly proud of the more than 90 per cent success rates for small businesses helped by Nova Scotia's credit unions. He believes Nova Scotians' commitment to community is the cornerstone of the such success. Businesspeople want to succeed so family, friends, children, and neighbours can continue to thrive at home and friends and neighbours want to see businesses work for the same reasons. It's especially satisfying for credit union employees -- members of the same communities -- who help make it happen.

"One of the main reasons businesses fail," says O'Neil, "is that they don't get outside advice. Employees at credit unions are willing to spend a bit more time with individuals than many other institutions. We will work with them to make it a success. Because the business' success is the community's success.

"It all goes back to putting in that extra effort and being human."

O'Neil has high praise for the people who work at credit unions."

Being in Nova Scotia gives us access to a well-trained, well-educated workforce."

But it's not all work, work, work.

"There's a temperament to the people here," he says, "an attitude towards family and friends that is different than a lot of provinces I've visited."

"When I go to Vancouver, one thing I notice is that everybody is always running for the bus. The other thing is horns blowing all the time. The light changes, and people are leaning on the horn. Everybody is in a mad rush to get nowhere."

Nova Scotia, he says, is more relaxed, more balanced. Because of that, Nova Scotia's credit unions have attracted people from other provinces who want to trade in the mad rush for a quality of life that includes great career opportunities and work-life balance.

"A number of people have come to us from other provinces and stayed," he says. "There are people here in excess of 20 years who wouldn't trade this lifestyle for anything."

"They fell in love with our coast, our people, and how affordable things are. They like the history, the options for activities, and wonderful scenery."

Credit Union Central is located in Halifax, which O'Neil describes as an ideal location.

"It allows us to connect with other Atlantic provinces, and areas of the country, much more easily from a travel perspective. There are Credit Union Centrals right across the country. Whether we're travelling to them, or they're coming to us, it's quite convenient."

Halifax is a city bustling with universities and a far-reaching cultural life. And for anyone tired of long commutes to soulless suburbs, secluded homes on the water, a world-class golf course with views of the sea, and perfect places for kayaking are all within minutes of Halifax. Attributes some people in other cities spend hours trying to get to on weekends, are available in minutes here, every day of the week.

As he looks toward the future, O'Neil says Credit Union Central is going to be paying a lot of attention to developing the right programs to attract youth to the operation.

"We think a lot more young people, given the economy, are starting their own businesses as a means to develop a career. That is quite different from 20, 25 years ago when people went to work for company and stayed a long time. Small business is going to be an increasing part of our economy, and the younger people will be behind it."

So even as Nova Scotia's economy grows, O'Neil, Credit Union Central and the credit unions they represent, will remain big on small.

http://www.cucentral.ca/

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