What is a Credit Co-operative

A Credit Co-operative is owned and controlled by the people who uses its services. The profit made are returned to its members in the form of annual dividends. Credit Co-operatives are not-for-profit and exist to provide a safe and convenient place for its members to save money and apply for loans in time of need at a reasonable interest rate.

A Credit Co-operative operates on a self-financing basis. On admission, a member pays a small entrance fee and undertakes to subscribe according to their financial abilities. A monthly contribution towards the Subscription Capital is required. A minimum amount to be subscribed is fixed in the by-laws of the Co-op.

A Credit Co-operative is a socio-economic organization formed by its members with the following objectives:

  • to promote co-operation and self-help;
  • to encourage thrift;
  • to prevent permanent indebtedness of its members by enabling them to obtain loans on reasonable terms;
  • to receive deposits from members;
  • to assist members to reduce the cost of living and improve their economic position

The Co-operative Principles

All Credit Co-operatives in Singapore conforms strictly to the principles of co-operation, enunciated by the International Co-operative Alliance.

  • Open a voluntary membership
  • Democratic control – one voting rights per member
  • Limited interest on Capital
  • Distribution of surplus to members in proportion to their patronage
  • Promotion of education
  • Mutual co-operation among co-operatives at Local, National and International levels.

Why join a Co-operative?

A Credit Co-operative is one of the best ways by which you can free yourself from financial disposition and at the same time inculcate the habit of thrift. Joining a Co-operative also:

  • Encourages Members to save 
  • Pays interest and dividends above market rates on deposits 
  • Promotes co-operation and self-help
  • Assist members to reduce the cost of living and improve their economic position

Membership of a Credit Co-operative is open to all who are eligible as specified in the by-laws and wish to enjoy it’s benefits and services.

Join SSBEC today to enjoy attractive interest rates and membership benefits!