What is a primary share account?

A Primary Share Account is a basic savings account offered by credit unions. It is often the first account opened by members and is a requirement for membership in the credit union. The account may also be called a Regular Savings Account or a Membership Share Account.

To open a Primary Share Account, members must typically provide a small deposit, usually between $5 and $25. The account earns dividends, which are similar to interest earned on bank savings accounts. Dividends are paid on a quarterly or monthly basis.

Primary Share Accounts offer several benefits to members, including:

• Ownership: By opening a Primary Share Account, members become owners of the credit union and have a say in how it is run.

• Low fees: Credit unions usually charge lower fees than traditional banks, which can help members save money.

• Easy access: Members can access their Primary Share Account funds through ATM withdrawals or in-person at a credit union branch.

Primary Share Accounts are a safe and secure way for individuals to save money, as credit unions are insured by the National Credit Union Administration (NCUA) up to $250,000 per account.