Why do people join credit unions

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Scope of protection of the BVR protection scheme

The BVR protection scheme protects customers' deposits in full and to an unlimited extent. This means that the protection of the BVR protection scheme - like the voluntary protection schemes of the other banking groups - goes beyond the statutory scope of protection of a maximum of 100,000 euros.

The following are protected: customer deposits such as savings bonds, savings, time and sight deposits as well as time deposits, bearer bonds such as certificates issued by affiliated institutions, against the failure of the bank (but not against the security-specific risks) as well as funds used by third parties for publicly funded purposes, such as the Kreditanstalt für Wiederaufbau (KfW), made available and merely passed through.

Each cooperative bank is initially responsible for protecting these customer deposits and funds, because each bank operates independently on the market, with and for its members and customers - a typical cooperative. But according to the cooperative principle of solidarity, the member institutes of the BVR also protect each other. These include Volksbanken and Raiffeisenbanken, savings and loan banks, PSD banks, Sparda banks, church credit unions, cooperative central banks and mortgage banks as well as other special institutions of the cooperative financial network.

Which institutes are covered by this institute protection can be seen at www.bvr.de, path “Association - protection scheme - members of the protection scheme”.