Q: How do you start a credit union in New Mexico?
Any seven or more residents of this state of legal age that share the common bond referred to in Section 58-11-21 NMSA 1978 may organize a credit union and become charter members thereof by complying with this section. The organizers shall prepare, adopt and execute in triplicate articles of organization and agree to the terms thereof. The articles shall state:
- The credit union's name and the location of the proposed credit union's principal place of business;
- That the existence of the credit union shall be perpetual;
- The names and addresses of the organizers; and
- that each member shall subscribe to one share of the credit union.
The organizers shall prepare, adopt and execute in duplicate bylaws consistent with the Credit Union Act [58-11-1 NMSA 1978] for the general governance of the credit union.
The organizers shall select at least five persons who are eligible for membership and who agree to become members and serve on the board of directors and at least three other persons who are eligible for membership and who agree to become members and serve on the supervisory committee. The persons selected to serve on the board of directors and supervisory committee shall execute an agreement to serve in these capacities until the first annual meeting or until the election of their respective successors, whichever is later.
The organizers shall forward the triplicate articles of organization, the duplicate bylaws and the agreements to serve to the director who shall act upon the application within sixty days. The director shall issue a certificate of approval if the articles and bylaws are in conformity with applicable provisions of the Credit Union Act and he is satisfied that:
- The characteristics of the common bond set forth in the proposed bylaws are favorable to the economic viability of the proposed credit union;
- The reputation and character of the initial board of directors and supervisory committee provide assurance that the credit union's affairs will be properly administered; and
- The share and deposit insurance requirements of Section 58-11-48 NMSA 1978 will be met.
Q: What is the minimum amount required to set a credit union in New Mexico?
The minimum amount of donated capital required to start a credit union is dependent upon the business plan submitted. The business plan must detail the startup cost of the credit union along with money available for the operations of the credit union until it becomes self sufficient.
Q: Whom do I contact with questions concerning credit unions?
The Credit Union Industry Manager of the Financial Institution Division.