The Supervisory Committee of a Cooperative credit Union is appointed by the Board to:
- Act as the overseer of the credit union to protect and safeguard member assets
- Ensure that records are maintained properly, honestly and accurately
- Make sure that policies are established according to law and carried out faithfully
- Check to see that proper internal controls are in place
- Ensure that members receive the best possible service
Who can be a Supervisory Committee Member?
- Must be a member of the credit union
- Must be bondable by the credit union’s surety bond company
- Cannot be related to any credit union employee
Who cannot be a Supervisory Committee Member?
- Loan Officer
- Membership Officer
- Treasurer / Assistant Treasurer
- Secretary of the Board of Directors
How Does Someone Become a Supervisory Committee Member?
- The committee is appointed by the Board of Directors
- The number of committee members should not be less than three or more than five
- Terms are for one, two or three years
- All terms must be for the same number of years
- Committee members elect a chairperson and secretary
Major Duties
- Make recommendations to Board based on findings of auditor and examiner
- Conduct the annual audit/hire auditor
- Verification of accounts every two years
- Present report at annual meeting
Ongoing Duties
- Review minutes of Board and credit committee meetings
- Surprise cash counts
- Randomly review loans with special attention to large loans, staff and volunteer loans and loans to inside parties. Recalculate expected interest from loans, investments and member deposits
- Review data change list (non-financial transaction report)
- Review closed account report and member insurance payments
- Review reconcilement of credit union accounts
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