Question

Which organization supervises credit unions in the United States, which are nonprofit banks owned and run by their members?

a) Federal Reserve
b) National Credit Union Administration (NCUA)
c) World Bank
d) Treasury Department

Answer 1

The National Credit Union Administration (NCUA) is responsible for supervising credit unions in the United States, ensuring these member-owned financial institutions operate safely and soundly.

Step-by-step explanation:

The organization that supervises credit unions in the United States is the National Credit Union Administration (NCUA). Credit unions are nonprofit financial institutions owned and operated by their members. They provide similar services as banks, including accepting deposits and making loans to their members.

While there are approximately 5,000 credit unions in the U.S., they are typically smaller in size compared to banks. The NCUA ensures that credit unions maintain positive net worth and manage risks appropriately, safeguarding the financial interests of their members.

The National Credit Union Administration (NCUA) supervises credit unions, which are nonprofit banks owned and run by their members. There are over 10,000 credit unions in the U.S. economy, though the typical credit union is small compared to most banks.