The National Credit Union Administration granted the first new federal charter of 2021.
The NCUA said on Wednesday that the Maun Federal Credit Union in Kendall Park, New Jersey, had been approved to serve a local Islamic community.
“Appropriately enough, ‘Maun’ means ‘little cuteness,’ which is an apt way to describe the mission of a credit union,” NCUA President Todd Harper said in a press release. “The organizers recognized the unmet need for financial services in their community and set out to create a solution through the cooperative business model of credit unions, specially designed for their members. “
The credit union will serve employees and members of the New Brunswick Islamic Center as well as employees and members of the Islamic Society of Central Jersey at Monmouth Junction.
In its first year of operation, Maun will focus on interest-free consumer loans and offer its members savings accounts and direct deposits, among other services.
The new credit union has entered into a mentoring agreement with the $ 1.7 billion asset Jafari No-Interest Credit Union in Houston, which has a similar interest-free, paid-for business model.
The NCUA approved only one federal charter in 2020.