Latino Community Credit Union
| Company type | Credit union |
|---|---|
| Industry | Financial services |
| Founded | July 1, 2000 |
| Headquarters | Durham, North Carolina |
Area served | North Carolina |
| Products | Savings; checking; consumer loans; mortgages; credit cards; investments; online banking |
| Total assets | $720M USD (December 2021) |
| Website | Latinoccu.org |
The Latino Community Credit Union (LCCU), headquartered in Durham, North Carolina, was established in 2000 as the first and only Latino-focused credit union in North Carolina. It currently supports a membership exceeding 90,000 individuals across 15 branches throughout the state.
History
LCCU was founded to confront the financial marginalization experienced by Latinos, which stemmed from factors such as illiteracy, insufficient documentation, language obstacles, and local crime. The credit union was developed as a targeted solution to these barriers, aiming to deliver accessible financial services.
Latinos in Durham during the 1990s
In the 1990s, the Latino population in Durham encountered considerable violence and theft incidents, partially due to their limited engagement with formal financial institutions. John Herrera, who serves as vice president for Latino affairs at Self-Help Credit Union, noted that "in 1996, [Durham] faced a surge of violence—including home invasions, assaults, and robberies—attributable to restricted banking access."
Because many Latinos conducted transactions such as rent and vehicle payments exclusively in cash, they were exposed to heightened risks. This reliance on cash also hindered their ability to establish credit histories critical for obtaining loans or expanding businesses. Overcoming skepticism and unfamiliarity with American banking systems required dedicated community education efforts, which became a core element of LCCU’s approach to promoting financial inclusion.
Founding
Hispanic community leaders from the Triangle region collaborated to enhance financial inclusion for Latinos in Durham. Ivan Parra, Executive Director of El Centro Hispano, alongside John Herrera, led the initiative to create a credit union serving this population. Support came from various entities such as immigrant advocacy groups, the North Carolina State Employees’ Credit Union, marketing collaborators, and local philanthropic organizations. The initial capital raised amounted to roughly $2.5 million, establishing a robust base for future expansion.
Establishment
The Latino Community Credit Union officially opened its doors in 2000 within El Centro Hispano’s premises on Chapel Hill Road in Durham. Founded in 1992 as a non-profit organization dedicated to empowering the Hispanic community through advocacy and services, El Centro Hispano partnered with LCCU so that membership in one institution automatically included membership in the other. This dual membership structure aimed to enroll at least 5,000 members to optimize resource utilization. At its inception, LCCU provided complimentary cash-checking accounts, savings accounts, loan products, and money transfer services.
Community support programs
In 2002, LCCU became a sponsor of the Latino Community Development Center (LCDC), an organization dedicated to enhancing financial knowledge, improving access to banking services, and fostering economic growth among low-income Latino immigrants in North Carolina.
By 2010, LCCU had introduced the Building a Better Future initiative, a financial literacy curriculum consisting of six workshops, which successfully graduated more than 180 individuals during its initial phase.
In 2016, LCCU established a scholarship program designed to increase higher education opportunities for its members while supporting their career advancement, ultimately enabling them to give back to their communities.
Assets
In 2003, LCCU’s assets amounted to $11 million with a membership base of 8,000. A decade later, by 2013, membership had surged beyond 55,000, assets climbed to $125 million, and total lending reached $227 million. The credit union predominantly served clients from low-income backgrounds—comprising 95% of its members—with three-quarters being first-time bank account holders and approximately 2,000 becoming first-time homeowners. By December 2021, LCCU reported assets exceeding $720 million, local lending surpassing $1.3 billion, and had distributed more than $455,000 through its scholarship fund.
Branches
By 2010, LCCU had significantly broadened its footprint by opening branches in Winston-Salem, Charlotte, Garner, Carrboro, and Monroe. As of April 2022, it operates 15 branches throughout North Carolina and serves a membership exceeding 90,000.
| Region | Locations |
|---|---|
| Triangle Region |
|
| Charlotte Region |
|
| Triad Region |
|