Section 103 of the Federal Credit Union Act 12 U.S.C. §1753, defines subscribers as any seven or more natural persons who seek to form a federal credit union. Subscribers are responsible for preparing the charter application. A primary point of contact needs to be identified for the NCUA during the chartering process. The primary point of contact may be a subscriber or professional organizer hired or appointed by the subscribers. The function of an organizer is to provide direction, guidance, and advice to the subscribers.
Under section 104 of the Federal Credit Union Act, 12 U.S.C. §1754, subscribers need to undergo an “appropriate investigation” to determine “the general character and fitness of the subscribers thereto.” Officials and senior management employees also are required to undergo an investigation. The officials and senior management employees must complete a Report of Official and Agreement to Serve NCUA 4012 form, which will be submitted in Phase 3.
Documentation Required to Identify Subscribers
- The names and contact information for each subscriber will be included in the POC submission in the Subscriber section. Their anticipated involvement and contribution to the chartering process, including time commitment (number of hours per month) will be documented on the NCUA 4001 form in Phase 2.
- Subscribers who also plan to serve on the board, supervisory committee, or credit committee (this committee is optional) or as senior management will be required to complete the NCUA 4012 form. This form will be submitted in Phase 3.
- If at any time a subscriber is added or deleted, notify the NCUA of the change immediately.