Credit unions have long stood out as beacons of community-centric banking. At the heart of every credit union lies a fundamental difference from traditional banks: ownership. Unlike banks driven by shareholders, credit unions are owned by their members and operate under the principle of “people helping people.” This structure ensures that decisions are made with members’ best interests in mind. Members have a voice in how the credit union operates, from electing the board of directors to shaping policies that affect financial products and services. Advocacy is a core part of their mission—not just for their institutions, but for broader ideals of economic fairness, accessibility, and community empowerment.
Why Advocacy Matters for Credit Unions
Advocacy is essential for credit unions. It involves creating a voice in the legislative and regulatory arenas, where policies and practices that benefit members and the communities they serve are shaped. Unlike traditional banks, which prioritize profit for shareholders, credit unions focus on the financial well-being of their members. This difference makes it crucial for credit unions to ensure that laws and regulations support their unique member-owned model, which prioritizes community development, financial inclusion, and economic fairness.
Without strong representation, credit unions could face challenges that hinder their ability to compete with larger, profit-driven banks. Advocacy efforts help protect the tax-exempt status of credit unions, support the introduction of member-friendly financial products, and ensure that credit unions remain a viable option for people seeking an alternative to traditional banking.
How Bay Federal Champions for Its Members
Behind the scenes of everyday banking, Bay Federal Credit Union is proactively promoting policies and practices that benefit its members and the communities it serves. The credit union regularly sends members of its leadership team to various events throughout the year to engage in these efforts.
Capitola Branch Service Manager Denise Gomez recently attended an advocacy trip to Washington, D.C. After an extensive application process, she was selected to attend the annual Governmental Affairs Conference (GAC) as an emerging leader and representative of California. During Denise’s trip, she visited Capitol Hill to speak with Representative Jimmy Panetta and Representative Zoe Lofgren. Joining Denise were Bay Federal Credit Union President and CEO Carrie Birkhofer, Executive Vice President and COO Cameron Haste, and Supervisory Committee Member Shawfeng Dong. Denise was in awe as she witnessed firsthand how Ms. Birkhofer led conversations with the legislators and encouraged Denise to share her experiences and impactful member stories.
“The Government Affairs Conference promotes advocacy and support for the great work that credit unions do in our communities,” said Carrie Birkhofer, President and CEO. “Denise brought a unique perspective to our Representatives as she interacts directly in the branch with our community and has witnessed the struggles of lower-income members.”
In addition to the GAC, Michael Smith, Vice President of Mortgage Loan Operations, attended the 2024 California Government Relations Rally (GRR) in Sacramento. This event, hosted by the California Credit Union League, focused on lobbying for legislation that promotes quality and accessible financial education and the modernization of credit union state charters.
These events provide Bay Federal with a platform to champion the interests of its members and the broader credit union community. Through these efforts, Bay Federal continues to ensure that its members’ voices are heard at the highest levels of government, reinforcing the credit union’s commitment to economic fairness, community empowerment, and the unique value of member-owned financial institutions.
How Members Can Get Involved
For members who want to take an active role in supporting their credit union, there are several ways to get involved. Start by staying informed about the issues affecting credit unions by reading emails, newsletters, and attending Bay Federal’s annual meeting, which is open to all members. This meeting is a great opportunity to learn more about the credit union’s initiatives and hear directly from leadership.
Additionally, members can keep an eye on organizations like the California-Nevada Credit Union League, which advocates for credit unions at the state level and offers resources for members who want to stay informed about industry developments. Another helpful resource is Connect for the Cause, a platform that helps credit union members engage in advocacy efforts by connecting them with legislative campaigns and providing tools to contact their representatives.
By participating in these efforts, members help amplify the voice of their credit union and contribute to the protection and advancement of the cooperative banking model. Bay Federal’s commitment to these efforts ensures that it remains a strong advocate for its members, not just within the walls of the credit union but in the broader financial landscape. Members who choose to get involved play a crucial role in supporting this mission, ensuring that credit unions continue to thrive as community-centric alternatives to traditional banks.
Not a Member? Here’s How to Join!
Membership is open to those who live, work, worship, or attend school in Santa Cruz, San Benito, or Monterey County, anyone whose immediate family member is a current Bay Federal member, and sole proprietorship, partnership, corporation, club, non-profit, or other type of business physically located or headquartered in Santa Cruz, San Benito, or Monterey County.
Your credit union membership begins when you open your membership savings account. This account establishes your membership and must remain open as long as you wish to be a member. Once you have opened your savings account, you may apply for any other account, loan, or service offered by the Credit Union. Visit us in the branch or sign up online at bayfed.com.
About Bay Federal Credit Union
Bay Federal Credit Union is a full-service, not-for-profit financial institution that serves over 86,000 members and 2,400 local businesses throughout Santa Cruz, San Benito, and Monterey counties. With more than $1.6 billion in assets, Bay Federal is the largest member-owned financial institution in the region. The organization has been proudly serving its members and the community since 1957. Bay Federal is a certified Community Development Financial Institution, with a primary mission of promoting community development alongside their financial activities. Bay Federal has an award-winning employee volunteer program in which employees have given their own money and volunteer for numerous local schools, nonprofit organizations, and community events each year.
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