The Minnesota Department of Commerce has issued the state’s first charter of a credit union in 23 years.
Arise Community Credit Union is the first Black-led credit union in the history of Minnesota, according to the Department of Commerce, and the first CU to be chartered in Minnesota since Catholic United Financial Credit Union opened in 2001 in St. Paul. The March 21 approval will allow CU to operate as a member-owned nonprofit, with membership open to residents of Ramsey and Hennepin counties.
Arise Community Credit Union is expected to open by the end of the year, and will initially offer digital-only banking services. The credit union plans to eventually open a physical branch.
The launch of the CU has been led by the Association for Black Economic Power, a nonprofit founded in 2017 to support North Minneapolis residents and businesses and reduce economic inequities. Association for Black Economic Power Executive Director Debra Hurston cited the fatal police shooting of Philando Castile in 2016 and death of George Floyd in 2020 as motivating factors to lead the Association for Black Economic Power and pursue the credit union application.
According to the Department of Commerce, the CU “is an opportunity for individuals to manage health, housing, education and other concerns while breaking the cycle of poverty and economic struggle.”
Organizers submitted the charter application last fall. The Minnesota Credit Union Foundation trade association raised more than $1 million in capital toward the new institution, and more than $2 million was made in individual pledges. MnCUN members pledged another $4 million in deposits.
Commerce Commissioner Grace Arnold called the CU “an important step to give more Minnesotans access to community-led financial institutions. Arise Community Credit Union’s charter is an exciting opportunity to remove historic barriers to financial services, to build wealth and to grow Minnesota’s economy more inclusively.”