This document is an internal reference source for the Board and Staff of First Education Federal Credit Union and other authorized individuals. It, therefore, is not meant to represent a complete or legal description of the subjects discussed, to replace other reference material, or to have meaning outside of the normal operation of this Credit Union. HINT: Use CTRL+F to Search
A
Account to Account (Inter-Institution) Transfers
Transfers between accounts at different financial institutions (External Transfers) or between two different base accounts at the same credit union (Member to Member). Members can perform these transfers through shared branching and AirTeller.
ACH
See Automated Clearing House
ACH Origination
ACH origination is the process by which the credit union requests the transfer of funds through the Automated Clearing House (ACH). The credit union can originate both credits and debits to member accounts using Electronic Funds Transfer (EFT).
Acquirer
When used in reference to Shared Branching, an Acquirer is a credit union which allows members of other participating credit unions to perform transactions at some or all of their branches. A credit union does not have to be an Acquirer to be an Issuer, however; only Issuers may also be Acquirers. For a complete list of Acquirer locations, also known as Service Centers, go to www.sharedbranching.com.
AIRES
See MERIT.
AirTeller
AirTeller is the mobile and internet banking solution First Education offers to its members. It is a JHA® product and allows account access using any internet browser, web-enabled cell phone or smart phone. The name used by JHA® for this product is Banno.
Alloya Corporate Federal Credit Union (Alloya Corporate)
Alloya Corporate Federal Credit Union is a Corporate Credit Union and First Education’s primary financial institution. It serves as our depository, provides our cash, is the clearing agent for both our corporate checks and our member’s drafts and processes our ACH transactions.
Automated Clearing House (ACH)
The Automated Clearing House (ACH) is an electronic payment delivery system governed by the National Automated Clearing House Association (NACHA) Operating Rules and Guidelines. It is operated by the Federal Reserve Bank or the Electronic Payments Network, central clearing facilities through which financial institutions transmit or receive ACH entries. It is used primarily for preauthorized recurring payments such as direct deposit of payroll payments to a member’s account or automatic bill or credit payments from an account. The Automated Clearing House receives entries from ODFIs, distributes the entries to RDFIs, and performs settlement functions for the affected institutions.
Participants in the ACH system, like First Education, must annually audit the process to insure compliance.
Annual Percentage Rate (APR)
Annual Percentage Rate is the rate of interest paid on a loan or earned on a deposit calculated over a 365-day period.
Annual Percentage Yield (APY)
Annual Percentage Yield is the rate reflecting the total amount of dividends paid on an account, based on the dividend rate and frequency of compounding over a 365-day period. The APY is a projection based on assumptions at the time of disclosure. The APY and the Annual Percentage Yield Earned do not normally match.
Annual Percentage Yield Earned (APYE)
Annual Percentage Yield Earned is the actual percentage rate of dividends paid to a specific share up to the most recently completed dividend period.
Authorization
An optional card transaction created when a merchant requests and receives permission from the card network to complete a purchase or cash advance transaction.
Authorizations are converted to Holds when the card transaction is approved by Symitar. The amount of the Authorization is deducted from a member’s balance when calculating the available balance on a share account and available credit limit for a loan.
Authorized Signer
An Authorized Signer is an individual having the right to transact business on an account. This person may or may not be an owner of the account. Any account type except Trusts may have authorized signors but they are the only type of owner allowed on Organization and Non-Profit Accounts.
Automated Teller Machine (ATM)
Automated Teller Machine is a generic term for financial deposit and withdrawal units operated by credit unions, banks and private businesses. First Education owns and operates two ATMs. They are located in the drive-up of our office, and the mezzanine of the Cheyenne/Laramie County Government Complex.
AUX
AUX is a CUSO originally formed as Credit Union Service Network (CUSN) to provide shared branching network access to participating credit unions. First Education is both a participating credit union on the AUX network and a shareholder of the CUSO. AUX now provides a wide variety of back office services to credit unions.
B
Balance Sheet
A condensed list of assets, liabilities and capital for a given date.
Bank Identification Number (BIN)
Bank Identification Number (acronym). An international Bank Identification Number is assigned to each card processor and card issuing institution. Traditionally, the first six digits for the 16-digit card number. In July 2021, Visa will begin the process of converting to 8-digit BINs. The Credit Union will own 4 8-digit BINs.
Bank Secrecy Act (BSA)
The Bank Secrecy Act of 1970 requires U.S. financial institutions to assist U.S. government agencies to detect and prevent money laundering. Specifically, the act requires financial institutions to keep records of cash purchases of negotiable instruments, file reports of cash transactions exceeding $10,000 and to report suspicious activity that might signify money laundering, tax evasion or other criminal activities.
Banno
Banno is JHA’s newest home and mobile banking platform. We use the name AirTeller.
Beneficial Owner
Beneficial Owner is an individual with 25% or more equity interest in a legal entity, whether directly or indirectly.
Beneficiary
A Beneficiary is an individual or other entity which will benefit from an event over which they have no control. It is most often used to refer to the individual or other entity which upon the death of all owners of an account is entitled to the funds in that account.
The Beneficiary has no right to the account, either before or after the death of the other owners. They only have “payable upon death’ rights to the funds. See Name Types for more information.
Board of Directors
The Board of Directors is the governing body of the credit union. They are elected by the members and work with management to develop policies and set goals for the credit union. The Directors must be members of the credit union and receive no compensation. First Education’s Board has seven members who are elected for three-year terms.
Business Day
Any day that is not a Saturday, Sunday or a Federal Reserve Bank Holiday. First Education runs Goodnight every day not just on Business Days.
By-Laws
The By-laws create the basic framework of a credit union. They were created under the authority of the Federal Credit Union Act.
C
Callable Security
A security the issuer can redeem before the final stated maturity on a specific date or set of dates, at specific prices.
Capital
See Net Worth.
Capital Communications
Capital Communications is the company First Education uses for our phone switchboard and other services.
Cash Advance
A Cash Advance is a transaction used to obtain immediate funds from the available amount on a line of credit on a member’s loan. The term is most often associated with a credit card loan or HELOC.
Cash Letter (CL)
A Cash Letter is a list of items that are to be credited to a depositor’s account immediately. The term is also used to refer to the items on the list. First Education sends one or more electronic Cash Letters to Alloya Corporate each business day. It contains checks, US Savings Bonds and other negotiable items.
Cash Letter Return Item
A Cash Letter Return Item is a check or similar negotiable instrument that was included in an earlier Cash Letter which is returned as unpaid by the payee institution. The reasons for an item being returned include NSF, Invalid or Missing Endorsement and Stop Pay Order.
Center for Internet Security
The Center for Internet Security, Inc. (CIS®) is the community-driven nonprofit, responsible for the CIS Controls® and CIS Benchmarks™. We use CIS Controls as our cybersecurity framework.
Centennial Lending
Centennial Lending is a CUSO providing mortgage processing and servicing. First Education uses Centennial Lending to provide mortgages over fifteen years to our members and for commercial real estate lending.
Central Liquidity Facility (CLF)
The Central Liquidity Facility is a mixed-ownership, government corporation created to improve the general financial stability of credit unions by serving as a backup liquidity (cash flow) provider to credit unions experiencing unusual or unexpected liquidity shortfalls. Member credit unions own the CLF, which is administered by the NCUA. First Education is not currently a member of the CLF.
Certificate
See Share Certificate.
Chair
As a matter of corporate practice, First Education uses the gender-neutral term Chair to replace Chairman when referring to the presiding officer of the Board of Directors.
Chargeback
A Chargeback is a disputed card purchase or cash advance. First Education uses jhaCPS to process member chargebacks.
Charge-off
Charge-off refers to an account on which the credit union has taken a loss. It can refer to either shares or loans. Under normal circumstances, First Education does not provide services to members who have caused a loss to the credit union.
Charter
The Charter is the organizational document which creates a credit union. To operate as a financial institution in the United States, a credit union must have a Charter granted by either the federal government, under the authority of the Federal Credit Union Act or by a state, under the authority of similar state legislation. Wyoming, like several other states, does not have state credit union legislation, therefore; First Education has a “federal charter”. Colorado, Nebraska and Utah have state legislation. Montana and Maryland, like Wyoming, do not.
Section Five, detailing the Field of Membership, is the most important part of the federal charter. Due to this fact, people will often ask “what type of charter a credit union has” when they want to know the type of Field of Membership granted to a credit union. The Federal Credit Union Act recognizes three types of federal credit union charters — single common bond (occupational and associational), multiple common bond (more than one group each having a common bond of occupation or association) and community. First Education has a community charter.
Checking
See Share Draft.
Check Truncation
Checks deposited into a financial institution are held at the financial institution instead of being physically sent to the drawee financial institution. The information from checks is transmitted electronically from the deposit financial institution to the drawee financial institution for payment. First Education does check truncation for both incoming and outgoing cash letters.
Cheyenne Schools Federal Credit Union
Cheyenne Schools Federal Credit Union was the name of the Credit Union before it was changed to First Education Federal Credit Union in 1995. Laramie County Teachers Federal Credit Union was the original name of the credit union.
CIS
See Center for Internet Security.
CIS Controls
The CIS Critical Security Controls (CIS Controls) are a prioritized set of Safeguards to mitigate the most prevalent cyber-attacks against systems and networks. They are mapped to and referenced by multiple legal, regulatory, and policy frameworks. CIS Controls v8 has been enhanced to keep up with modern systems and software. Movement to cloud-based computing, virtualization, mobility, outsourcing, Work-from-Home, and changing attacker tactics prompted the update and supports an enterprise’s security as they move to both fully cloud and hybrid environments. CIS Controls is our official cybersecurity framework.
Collateral
Collateral is anything of value pledged to assure loan repayment and subject to seizure upon default of the loan.
Collateral Protection Insurance (CPI)
Collateral Protection Insurance protects a credit union from risk of a loss when a member fails to maintain the required insurance on a vehicle securing a loan. The premium for CPI is normally added to the balance of the loan and is the member is responsible for repayment. First Education uses Allied Solutions for CPI coverage.
Community Development Credit Union (CDCU)
A credit union organized to serve the needs of a low-income field of membership.
Connecting Point
Connecting Point provides IT support for the credit union. They are based in Greeley, CO.
Consumer Financial Protection Bureau
The Consumer Financial Protection Bureau (CFPB) is a regulatory agency charged with overseeing financial products and services that are offered to consumers. The CFPB is divided into several units: research, community affairs, consumer complaints, the Office of Fair Lending and the Office of Financial Opportunity.
CO-OP Network
CO-OP Network is a CUSO providing ATM processing, shared branching networking and other services to credit unions. First Education is an Associate Member of CO-OP. This allows our members to use their surcharge free ATM network.
Cooperative
A business voluntarily owned and controlled by its members and operated for them and by them on a not-for-profit basis. All credit unions are cooperatives.
Corporate Credit Union (CCU)
A Corporate Credit Union provides financial products and services to NPCUs. Alloya Corporate Federal Credit Union in Naperville, IL is an example of a CCU.
Corporate Protective Services
Corporate Protective Services (CPS) maintains and monitors our security system, cameras and fire alarms. They are based in Cheyenne.
Corporate Share Draft
A share draft drawn by a credit union on a CCU.
Correspondent Bank
A financial institution that accepts deposits of and performs banking services for other depository institutions. First Education uses Alloya Corporate as its Correspondent Bank.
Coverdell Education Savings Accounts (ESA)
Coverdell Education Savings Accounts are tax-deferred shares used to pay for certain education expenses. First Education offers Coverdell ESAs as both shares and certificates.
Credit Bureau
A Credit Bureau is a company which provides credit history and other information on individuals and businesses to subscribers.
Credit Card
A plastic card that is used to access the available funds of a loan at an ATM or merchant. First Education offers Visa Platinum cards.
Credit Committee
A Credit Committee is elected from a credit union’s membership and has the responsibility to evaluate the credit worthiness of and to determine credit lines available to members. First Education, like most NPCUs, no longer has a Credit Committee.
Credit Rating
See Credit Score.
Credit Report
A Credit Report gives information on an individual’s or organization’s credit history.
Credit Risk
The Credit Risk refers to the possibility of loss to a lender resulting from nonpayment by a borrower.
Credit Score
A Credit Score is an evaluation of an individual’s or organization’s credit history given as a numeric value.
Credit Union (CU)
A Credit Union is a cooperative organized to provide financial services to its members. There are two types of credit unions, Natural Person Credit Unions and Corporate Credit Unions. First Education is a Natural Person Credit Union.
Credit Union League or Credit Union Association
Leagues and Associations are trade associations representing credit unions at a state or regional level. First Education is a member of the Go West Credit Union Association.
Credit Union Legislative Action Council (CULAC)
Credit Union Legislative Action Council is a political action committee of CUNA. It raises money to assist in selecting, electing, and re-electing legislators who support the aims of credit unions. Due to their 501(c)14 designation from the IRS, credit unions cannot participate in the election process and therefore cannot contribute to political action committees.
Credit Union National Association (CUNA)
The Credit Union National Association is a national trade association for credit unions in the United States. First Education is a member of CUNA through its membership in the Go West Credit Union Association.
Credit Union Service Network (CUSN)
See AUX
Credit Union Service Organization (CUSO)
A Credit Union Service Organization is a for-profit business owned by one or more credit unions to provide services or products beyond the charter of an individual credit union. It operates as an entity separate and distinct from the organizing credit union(s) and does not have the tax-exempt status granted to credit unions. CUSOs provide services ranging from credit card processing, real estate sales and investment management.
First Education utilizes the services of several CUSOs including AUX, CO-OP and qCash Financial.
Credit Union Wealth Management
CU Wealth Management is the third-party we use for member financial planning. See https://firstedfcu.com/services/wealth-management/
Creditor
An individual or organization that extends credit or lends money.
CUMIS Insurance Society
CUMIS is the provider of the credit union’s bond and property insurance.
CUNA Mutual Group (CMG)
The parent company of CUNA Mutual Insurance Society, Members Life Insurance Company, CUNA Mutual Investment Corporation and CUMIS Insurance Society
Currency Transaction Report (CTR)
The Currency Transaction Report is the form used for the reporting of cash transactions exceeding $10,000 as required under the Bank Secrecy Act. CTRs much be submitted electronically to FinCEN.
Custodial Account
A Custodial Account is an account setup for one person, the Custodian, to transact business for another person. The title on a Custodial Account should be similar to “Mary Jones for John Smith”. Mary Jones is the Custodian and the account is for the benefit of John Smith. John Smith should have no access to the account; however; his Tax Identification Number should be used for tax reporting purposes.
D
Debit Card
A plastic card that is used to access the funds in a share/deposit account at an ATM or merchant. First Education offers debit cards with a rewards program called Extra Awards.
Demand Deposit Account (DDA)
Demand Deposit Account is an account which the owner can access funds immediately with a debit card, checks, drafts or other methods. IE. share draft or checking account.
Diebold
Diebold is a company providing ATMs, cash dispensing machines, security systems and other products.
Direct Deposit
A service that electronically deposits funds into an account generally though ACH.
Dividend
Interest paid on credit union members’ shares and certificates. It is called dividends because of the ownership nature of credit unions, however; they are treated as interest earned for tax reporting purposes.
Dividend Period
The dividend period is therefore defined as the length of time between the date dividends were last posted and the next date dividends are scheduled to be posted. The only Dividend Periods used by First Education are monthly (share drafts, MoneyMarkets, SuperSavers) and Quarterly (all other shares).
DKIM Record
DKIM, or DomainKeys Identified Mail, is an email authentication standard created to allow senders to connect to their domain with an email, through cryptographic authentication which, in turn, proves the legitimacy of said email to the receiver. The public portion of the key is included in a domain’s DNS record.
DMARC
DMARC, which stands for “Domain-based Message Authentication, Reporting & Conformance”, is an email authentication, policy, and reporting protocol included in a domain’s DNS record. This protocol tells email servers what to do with messages that fail SPF and DKIM. The options are ignore, quarantine, or reject.
DNS Record
A DNS (Domain Name Server) record is information that in provided to a domain’s Name Server and provides instructions on how the domain and its email are to be accessed on the internet.
Domain
Domain is a group of computers.
Domain Name Servers
Domain Name Servers (DNS) are the Internet’s equivalent of a phone book. They maintain a directory of domain names and translate them to Internet Protocol (IP) addresses. This is necessary because, although domain names are easy for people to remember, computers or machines, access websites based on IP addresses.
E
EASE
EASE is a JHA® owned service bureau for credit unions running the Symitar® software package. EASE is has two primary service centers. One in Lenexa, Kansas, a suburb of Kansas City and the other in Allen, Texas, a suburb of Dallas. It was formally called Outlink.
EASE is the physical location for First Education’s Database and Host. While our Database is completely segregated, First Education shares a Host with two other credit unions, UniWyo FCU in Laramie and Trona Valley Community FCU in Rock Springs.
Electronic Bill Payment
A method for receiving and paying a bill through an Internet-based system provided by a host financial institution. First Education offers Electronic Bill Payment through AirTeller.
Eltropy
Eltropy is a text messaging-based platform that enables credit unions to communicate with members over SMS in a secure and TCPA-compliant way.
Employer Identification Number (EIN)
Employer Identification Number is an employer’s account number for reporting taxes withheld and wages paid to employees. First Education’s EIN is 83-0179538 and is used for both federal and state reporting.
Encryption
A method of scrambling information to protect it from unauthorized access. Encryption consists of tools to keep networks, databases, and files private and secure; the most common form uses mathematical algorithms to scramble and unscramble digital messages. It is the conversion of data into a form, called a cipher, that cannot be easily understood by unauthorized people.
Episys
Episys is the name previously used for Symitar.
Escheat
Escheat is the process of transferring unclaimed property to the state. First Education is required to escheat the funds in accounts which we have lost contact with the account owners for a period exceeding five years.
Ethernet
A method of networking computers in a Local Area Network. First Education uses the Ethernet method in conjunction with Cat 5 cabling and the TCP/IP protocol for its LAN and WAN.
Equifax
Equifax is a third-party vendor providing credit bureau, card processing and other services. First Education does not currently use Equifax nor do we provide credit history information to them on our members.
Extra Awards
Extra Awards is the award program we offer to our cardholders. The program is offered through jhaCPS.
Experian
Experian is the credit bureau formerly known as TRW. First Education uses the credit reporting services of Experian occasionally and provides monthly credit history information on our members to them.
F
Fair, Issac, and Company (FICO)
Fair, Issac, and Company is a third-party vendor for credit scoring, data management and data mining, analytic services, software, and consulting. FICO is also used to refer to the credit score derived from using their software.
Federal Reserve Bank (FRB)
The Federal Reserve Bank is the central bank of the United States. Its duties include conducting the nation’s monetary policy, supervising and regulating banking institutions, maintaining the stability of the financial system and providing certain financial services to the U.S government, the public, financial institutions and foreign official institutions.
Federal Reserve Bank Holiday
The following are holidays for Federal Reserve Banks and branches: New Year’s Day; Martin Luther King, Jr Day; Presidents Day; Memorial Day; Independence Day; Labor Day; Columbus Day; Veterans Day; Thanksgiving Day and Christmas Day. For holidays falling on a Sunday, the holiday will be observed on the following Monday.
Federal Credit Union (FCU)
A credit union chartered, examined and supervised by the federal government through the NCUA. First Education is a federal credit union.
Federal Credit Union Act (the Act)
The Federal Credit Union Act is the legislation which authorizes the federal government to charter credit unions and provides the basic organization of federal credit unions.
Federal Deposit Insurance Corporation (FDIC)
The government agency established to insure deposits in banks and other qualified institutions. The coverage provided by FDIC to banks is similar to the coverage provided by NCUSIF to credit unions.
Federal Reserve Board Regulations
Reg B– prohibits creditor practices that discriminate on the basis of race, color, religion, national origin, sex, marital status, or age (provided the applicant has the capacity to contract); to the fact that all or part of the applicant’s income derives from a public assistance program; or to the fact that the applicant has in good faith exercised any right under the Consumer Credit Protection Act. The regulation also requires creditors to notify applicants of action taken on their applications; to report credit history in the names of both spouses on an account; to retain records of credit applications; to collect information about the applicant’s race and other personal characteristics in applications for certain dwelling-related loans; and to provide applicants with copies of appraisal reports used in connection with credit transactions.
Reg C– implements the Home Mortgage Disclosure Act, which is intended to provide the public with loan data that can be used to help determine whether financial institutions are serving the housing needs of their communities; to assist public officials in distributing public-sector investments so as to attract private investment to areas where it is needed; and to assist in identifying possible discriminatory lending patterns and enforcing anti-discrimination statutes. Requires certain lenders to complete Loan Application Registers to track home purchase loans, home improvement loans and refinances.
Reg D– relates to reserves that depository institutions are required to maintain. It also provides guidance on NOW account eligibility, MMDA and savings account transfer restrictions, and early withdrawal penalties.
Reg E– protects individual consumers engaging in electronic fund transfers and carries out the purposes of the Electronic Fund Transfer Act, which establishes the basic rights, liabilities, and responsibilities of EFT consumers of financial institutions that offer these services.
Reg P– requires a financial institution to provide notice to customers about its privacy policies and practices; describes the conditions under which a financial institution may disclose nonpublic personal information about consumers to non-affiliated third parties; and provides a method for consumers to prevent a financial institution from disclosing that information to most non-affiliated third parties by “opting out” of that disclosure.
Reg Q– provides guidelines and restrictions relating to interest on deposits and advertising.
Reg V– Implements portions of the Fair Credit Reporting Act (FCRA). Includes model notices that can be used to notify customers either before or immediately following the delivery of negative information.
Reg Z– designed to help consumers “comparison shop” for credit by requiring disclosures about its terms and cost. The regulation gives consumers the right to cancel certain credit transactions that involve a lien on a consumer’s principal dwelling, regulates certain credit card practices, and provides a means for fair and timely resolution of credit billing disputes. The regulation requires a maximum interest rate to be stated in variable-rate contracts secured by the consumer’s dwelling. It also imposes limitations on certain home equity and mortgages.
Reg CC– contains rules regarding the duty of banks to make funds deposited into accounts available for withdrawal, including availability schedules plus rules regarding exceptions to the schedules, disclosure of funds availability policies, payment of interest, and liability. Also contains rules to expedite the collection and return of checks by banks, including the direct return of checks, the manner in which the paying bank and returning banks must return checks to the depositary bank, notification of nonpayment by the paying bank, endorsement and presentment of checks, same-day settlement for certain checks, and other matters.
Reg DD– implements the Truth in Savings Act to enable consumers to make informed decisions about deposit accounts at depository institutions. Requires depository institutions to provide disclosures so that consumers can make meaningful comparisons among depository institutions.
Reg GG– implements the Unlawful Interstate Gambling Enforcement Act. Requires participants in designated payment systems to establish and implement policies and procedures reasonably designed to prevent or prohibit restricted transactions, such as by identifying and blocking such transactions.
Reg X– implements the provisions of the Real Estate Settlement Procedures Act (RESPA).
Federally Insured
The term Federally Insured refers to any credit union insured by the NCUA through the NCUSIF. All FCUs and CCUs are Federally Insured. Most SCCUs are also Federally Insured. The term also applies to other financial institutions insured through FDIC. NCUSIF and FDIC coverage are similar.
Field of Membership (FOM)
Field of Membership refers to the group or groups defined in a credit union’s charter as eligible to become members of that credit union. First Education’s FOM includes anyone who lives, works, attends school or attends worship services in Laramie County, Wyoming and their immediate family.
Finance Charge
A percentage of the loan balance charged for the privilege of borrowing funds.
Financial Data Match (FIDM)
Financial Data Match is a law requiring credit unions and other financial institutions to provide information about accounts maintained by such institutions for persons subject to child support laws.
Firewall
A combination of hardware and software that separates computers and networks for security purposes. A firewall protects an intranet (LAN) from unauthorized access through the Internet.
FLS/Allied
Allied Solutions is an insurance company. First Education uses Allied for our Debt Cancellation and other insurance products.
For-profit
A For-profit refers to an organization established to generate income for the owner or owners of the organization. Corporations, CUSOs, Partnerships and LLCs are examples of for-profit organizations.
G
Garnishment
A Garnishment is a document requiring the recipient to turn over funds to the court as the result of a court order. Garnishments can be on funds in an account or wages.
Generally accepted accounting principles (GAAP)
Generally Accepted Accounting Principles is the common set of accounting principles, standards and procedures. GAAP is a combination of authoritative standards (set by policy boards) and the accepted ways of doing accounting.
Goodnight
Goodnight is the term Symitar® uses to refer to period end processing. A Goodnight can be Daily, Month-end, Quarter-end or Year-end. The Goodnight processing for First Education is done by EASE and generally runs around 7:00pm Mountain Time.
Go West Credit Union Association
Go West Credit Union Association is the trade association for credit unions in Wyoming, Colorado, Arizona, Washington, Idaho, and Oregon. It was formed by a merger of the Mountain West Credit Union Association and the Northwest Credit Union Association in 2022.
Grace Period
Grace Period refers to the days within the current statement period during which the cardholder can pay the previous statement balance in full and have purchase interest waived on purchases made within the current statement period. First Education offers a 25-day grace period on purchase on all credit card products.
H
Health Savings Account (HSA)
Health Savings Accounts are tax-deferred shares used to pay or reimburse certain medical expenses. First Education does not currently offer HSAs.
Home Equity Line of Credit (HELOC)
A Home Equity Line of Credit is a line of credit secured by real estate. First Education offers HELOCs to its members.
HTTPS
HTTPS is a secure version of HTTP. Both First Education’s informational website (firstedfcu.com) and the site used to access AirTeller (my.firstedfcu.com) utilize the HTTPS protocol.
I
Doxim
Doxim is a third-party vendor offering mail and printing services. First Education uses IDS to generate both our paper and eStatements and process our tax documents. Doxim used to be known as Intelligent Document Solutions (IDS)
Immediate Family
For Field of Membership purposes, Immediate Family refers to an individual’s spouse, parents, siblings, children, aunts and uncles. It includes family by birth, adoption, marriage or some other domestic obligation.
Income Statement
Income Statement is the common term for an organization’s Statement of Income and Expense. It lists the income and expense items and net income/loss over a specific time period.
Indirect Loan
A loan instigated by a third-party, such as a car dealer. First Education does not currently offer Indirect Lending. However, members should be encouraged to get per-approved before shopping for a vehicle.
Individual Retirement Account (IRA)
Individual Retirement Accounts are personal retirement savings plans for anyone with earned income (or the non-working spouse of someone with earned income) and have various tax advantages. Those advantages depend on the type of IRA and the tax circumstances of the member. First Education offers both Roth and Traditional IRAs.
Internet Protocol (IP) Address
The most common and oldest version (IP v4) of Internet Protocol defines IP Addresses as a 32-bit numeric address used to identify a computer or device on a TCP/IP network. It is written as four numbers separated by periods call sextets. Each number can be zero to 255. IE 148.235.87.0
The newer Internet Protocol (IP v6) defines IP Addresses as a 126-bit hexadecimal address. It is written as eight alphanumeric fields separated by a colon. IPv4 consists of approximately 4 billion addresses. IPv6 addressing consists of 320 undecillion addresses.
Internet Service Provider (ISP)
An Internet Service Provider provides access to the Internet. First Education uses Century Link and Spectrum Cable as its ISPs.
iPay
iPay is the bill pay we offer our members. It is a free service and is accessed through AirTeller. iPay is a JHA product.
Issuer
When used in reference to Shared Branching, an Issuer is a credit union which allows its members to perform transactions at Acquirer credit union branches. A credit union does not have to be an Acquirer to be an Issuer, however; only Issuers may also be Acquirers.
J
Jack Henry & Associates, Inc. (JHA)
Jack Henry & Associates, Inc. is the parent company of Symitar, Banno, jhaCPS, and Profit Stars.
Java
Java is a network-oriented programming language invented by Sun Microsystems. It is specifically designed for writing programs that can be safely downloaded to your computer through the Internet. Using small Java programs, called applets, web pages can offer animations, calculators and other fancy features.
jhaCard Processing Systems (jhaCPS)
jhaCard Processing Systems (jhaCPS) provides processing services for our debit cards, credit cards and ATMs. They are owned by Jack Henry & Associates (JHA), the same company that owns Symitar and Banno (AirTeller).
Joint Account Owner
A Joint Owner is any individual other than the Primary Owner with full rights and access to an account. Joint Owners have the same rights and access to an account as the Primary Owner. A Joint Owner can only be added to an account by the consent of all other owners. A Joint Owner may remove their name from an account at any time and cannot be removed from the account without their written consent.
Joint with Rights of Survivorship
Joint with Rights of Survivorship means all owners of an account have equal access and rights to any or all funds in an account and upon the death of any owner the accounts passes equally to any and all other owners.
K
Keogh
Keogh is a type of tax-deferred share in which the employer can contribute a percentage of salary or a certain fixed amount toward an employee’s retirement fund. First Education does not offer Keogh accounts.
Kiosk
A Kiosk is a freestanding booth that displays marketing information and includes a touch screen used by members for inquiries and transactions. Some credit unions offer Kiosks to access shared branching.
Kiting
Kiting refers to illegally benefiting from float, the amount of money or time represented by checks in transit between deposit and payment. With the declining use of checks and improvements in check processing technology, kiting is not a significant concern for financial institutions.
L
LCCC Foundation
The LCCC Foundation houses and administers the two scholarship funds First Education has established.
Legal Entity
Legal Entity, for the BSA purposes, is a corporation, limited liability company, or other entity that is created by the filing of a public document with a Secretary of State or other similar office, a general partnership, and any similar entity formed under the laws of a foreign jurisdiction that opens an account.
Entities not included in the definition are trusts, regulated financial institutions, departments and agencies of the United States, US states, and other political subdivisions, entities whose common stock is listed on the NASDAQ or NYSE American, regulated insurance company, and others. Properly registered non-profits are legal entities but are exempted from the ownership requirement.
Lender
An individual or organization that extends credit or lends money.
Levy
A levy is similar to a garnishment but the issuing authority is the IRS.
Line of Credit (LOC)
A Line of Credit is an arrangement which extends a specified amount of credit for a borrower to utilize as needed. First Education offers LOCs with various conditions. Credit card loans are an example of LOCs.
Loan
A loan is a credit agreement. First Education offers various types of loans to its members.
Local Area Network (LAN)
A Local Area Network is a communications network for users within a confined geographical area. The clients are the user’s workstations. Printers can also be connected to the network and shared.
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Medical Savings Account (MSA)
Medical Savings Accounts are tax-deferred shares used to pay or reimburse certain medical expenses. First Education does not currently offer MSAs.
Member
Members are the owners of a credit union. A person must be in the credit union’s Field of Membership and open a share account with the required minimum deposit to become a member. Becoming a member of a credit union is also known as joining the credit union. The minimum deposit required to join First Education is $5.
Membership Share(s)
Membership Share(s) is the only account an individual is required to open. The minimum deposit is $5 and this $5 must remain in this account as long as any other shares, loans or other services are open. “Ownership” of this one $5 share in First Education is what makes the individual a member. Being a member allows this individual to use other services offered by the credit union and, provided they are sixteen years of age or older, participate in the governance of the credit union. Also known as Regular Shares, Base Shares, Primary Shares.
MERIT
Modern Examination & Risk Identification Tool (MERIT) is the NCUA’s new web-based examination platform that replaces AIRES, a 25-year old legacy examination application. MERIT streamlines the examination process for credit unions and examiners and offers examiners robust financial analytics for in-depth analysis.
Microsoft Office
Third-party product name for the Microsoft’s suite of office applications, including Microsoft Word (word processing), Microsoft Excel (spreadsheet), and Microsoft Outlook (e-mail and personal information manager), First Education utilizes several of these products through Microsoft 365.
Microsoft 365
Microsoft 365 refers to subscription plans offered by Microsoft that include access to Office applications plus other productivity and security services that are enabled over the Internet (cloud services).
Money Services Business
Money Services Business (MSB) is a term used by financial regulators to describe businesses that transmit or convert money but are not financial institutions. It includes businesses that do any of the following: sell money orders or traveler’s checks, transmit money, cash checks, exchange currency, deal in currency or provide prepaid access.
Mortgage
A Mortgage is a loan secured by real property. First Education offers mortgages with various conditions to its members. See Loan Types for more information.
MyCardRules
MyCardRules is an add-on module for AirTeller. It allows members to take control of their debit and/or credit cards. This includes turning the card on/off, setting spending limits, and alerts.
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Natural Person Credit Union (NPCU)
A Natural Person Credit Union provides financial products and services to individuals, businesses and other organizations within their Field of Membership. First Education is a Natural Person Credit Union.
National Credit Union Share Insurance Fund (NCUSIF)
The National Credit Union Share Insurance Fund is the division of the NCUA which provides federal insurance on member accounts. Funds at First Education are insured by NCUSIF to at least $250,000.
National Credit Union Administration (NCUA)
The National Credit Union Administration is the federal agency is responsible for chartering, insuring, supervising, and examining federal credit unions; administering the Central Liquidity Facility and the National Credit Union Share Insurance Fund.
NCUA Regulations (Rules and Regs)
The NCUA Regulations are the legal code by which all federal credit unions operate and are officially recorded in the Code of Federal Regulation as 12 C.F.R. Parts 700-797.
Net Worth
Net Worth is the term used for a credit union’s capital. It is the sum of regular statutory reserves, other reserves and undivided earnings. Net Worth represents the accumulated earnings over the life of a credit union.
Net Worth Ratio
Net Worth Ratio is a key NCUA measurement of the economic viability of a credit union. Federally Insured credit unions must maintain a Net Worth Ratio of at least 7% to be considered ‘Adequately Capitalized’. If a credit union is not Adequately Capitalized, it is subject to increased regulatory supervision by the NCUA.
Non-Profit
Non-Profit refers to an organization established for charitable purposes. Non-profits generally rely heavily on donations to cover expenses. To be officially recognized as a Non-profit, an organization must have a 501(c)3 designation from the IRS.
Non-Sufficient Funds (NSF)
Non-Sufficient Funds is the condition where the amount to be disbursed or withdrawn is more than the available balance in the associated share.
Not-for-profit
Not-for-profit refers to an organization established to provide goods and services at near break-even levels. Net earnings are required to build reserves for future projects and protect against business uncertainty. Cooperatives, such as credit unions, are an example of a Not-for-profit organization. Like Non-Profits, Not-for-profit organizations must receive a 501(c) designation from the IRS to be officially recognized. Federal Credit Unions have a 501(c)1 designation.
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Office 365
See Microsoft 365.
Overdraft Protection (OP)
Overdraft Protection refers to the transfer of funds from a share or loan to another share to cover a non-sufficient funds (NSF) situation.
Overdraw Tolerance (ODT)
Overdraw Tolerance is an Symitar® add-on module that offers an extra way to post withdrawals that would otherwise take a share to a non-sufficient funds (NSF) condition. It is also known as Overdraft Tolerance. First Education offers ODT to certain members to cover Draft and ACH transactions. We do not offer it on card transactions.
Originating Depository Financial Institution (ODFI)
The Originating Depository Financial Institution (ODFI) is the institution which submits an ACH transaction. The ODFI is responsible for insuring information on the transaction is correct.
Office of Foreign Asset Control (OFAC)
Office of Foreign Asset Control is an office within the U.S. Department of the Treasury that administers and enforces economic and trade sanctions against targeted foreign countries, terrorists, international narcotics traffickers and those engaged in activities related to the proliferation of weapons of mass destruction.
Owner
An Owner is anyone who has full access and rights to an account. The order in which names are listed on an account has no bearing on the rights assigned to that owner.
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Parameters
Parameters refers to the various options available to customize the Symitar® software.
Point-of-Sale (POS) Transaction
Point Of Sale Transaction refers to a transaction perform at a merchant location as opposed to at an ATM or over the Internet. POS transactions can be either PIN or signature based.
Positive Balance File (PBF)
Positive Balance File (abbreviation). Used in processing an ATM or cash advance against a loan or share. This is a file sent to the processor indicating that the share or loan in question has a balance greater than 0.00 dollars. The only time a PBF is used for authorizing card transactions at the Credit Union is when we are offline.
PowerOn
PowerOn is an Symitar® proprietary software program. It is also known by its previous name, RepGen.
President
The President is a compensated employee of the credit union and acts as the chief executive officer.
Primary Member or Primary Account Owner
Primary Member or Owner refers to the individual or business whose name appears first on an account and whose Tax Identification Number (TIN) is used for tax reporting purposes. The Primary Owner has no more rights to the funds or access to an account than any other Owner on the account. The order in which names are listed on an account has no bearing on the rights assigned to that owner.
ProSite
ProSite is an insurance company which provides the financial institution bond coverage. They are a past provider of the credit union’s bond.
Public Funds
Public Funds refers to legislative authorization for governmental subdivisions to deposit funds in credit unions. Wyoming does not have this authorization.
Purchase
A transaction created when a cardholder buys merchandise using a credit or debit card.
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Receiving Depository Financial Institution (RDFI)
The Receiving Depository Financial Institution is the institution to which an ACH transaction is submitted. The RDFI is responsible for the timely posting of the transaction.
Regular Shares
See Membership Share(s)
Release
A version of the Symitar software which has been (or is about to be) available to customers.
Remote Admin Server (RAS)
The Remote Admin Server (RAS) software communicates between EASE and a computer workstation at the Credit Union.
Required Minimum Distribution (RMD)
The Required Minimum Distribution is the least amount that must be disbursed to an IRA holder on an annual basis after reaching age 70 1/2.
Routing and Transit Number (RTN)
The Routing and Transit Number is a nine-digit number that identifies a specific financial institution. It is also known as the ABA number. First Education’s Routing and Transit Number is 3070-8661-7.
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Secure Sockets Layer (SSL)
A software library establishing a secure connection between two parties (client and server) and used to implement HTTPS, the secure version of HTTP.
Service Bureau
A Service Bureau is a centralized facility providing data processing services to multiple clients. Through the sharing of a facility, hardware and staff, service bureau clients can cut costs; provide more complex products and expand business continuity programs than if they were housing and managing data processing In-house.
Share
A Share is a savings account at a credit union. First Education offers several types of share accounts to its members. See Share Type for more information.
Share Certificate
Share Certificates are funds deposited in a credit union for a specific period of time at a specified rate of interest. First Education offers certificates with terms from one to five years.
Important: Federal law prohibits credit unions from using the term Certificate of Deposit or CD to describe their share certificates or other interest-bearing share accounts. The terms share certificate or certificate are acceptable.
Share Draft
A Share Draft is a checking account at a credit union. First Education offers three types of Share Draft accounts to its members.
Shared Branching
Shared Branching is a general term used for various arrangements through which members of a participating credit union can conduct business in designated participating credit union offices just as if the locations were branches of their own credit union.
First Education participates in the Credit Union Service Centers (CUSC) shared branching network though AUX. We are both an Acquirer and Issuer on this network.
Sheltered Harbor
Sheltered Harbor is a not-for-profit, industry-led initiative comprising financial institutions, core service providers, national trade associations, alliance partners, and solution providers dedicated to enhancing financial sector stability and resiliency. We are a member of the Sheltered Harbor recovery initiative.
Spouse/Domestic Partner
As a matter of corporate practice, First Education considers spouse and domestic partner to be the same for both membership and employment matters except where prohibited by laws and policies of third-parties and government agencies.
St Joseph Tri-Parish Federal Credit Union
St Joseph Tri-Parish Federal Credit Union was a credit union serving the members of the three Cheyenne area Catholic parishes. It merged with First Education in 2001.
SunCorp Corporate Federal Credit Union
SunCorp was our former corporate credit union. See Alloya for more details.
Supervisory Committee
The Supervisory Committee is responsible for safeguarding member assets and insuring financial records are accurate. The committee members are appointed by the Board for one-year terms, must be members of the credit union and are not compensated. First Education currently has three members on its Supervisor Committee.
State Chartered Credit Union (SCCU)
State Chartered Credit Unions are organized under the authority of any US state or territory. Wyoming has no regulations or laws allowing for the organization of credit unions, therefore all credit unions in Wyoming are FCUs.
SWIFT Code
The SWIFT (Society for Worldwide Interbank Financial Telecommunication) Code is the international equivalent of the Routing and Transit Number. It is also called a Bank Identifier Code (BIC) and are generally but not always eight alphanumeric characters.
SYM
A directory on the computer used for hosting the Symitar® software. First Education utilizes eight SYMs. Live, month-end backup, quarter-end backup, year-end backup, release testing, test/training, month-end test.
Symitar
Symitar is a software program for credit unions sold by JHA. First Education uses Symitar as its core software solution.
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Taxpayer Identification Number (TIN)
Taxpayer Identification Number is a nine-digit number used by the IRS for record keeping and identification. A person’s Social Security Number and an Employer’s EIN are examples of a TIN. First Education’s TIN is 83-0179538.
Transmission Control Protocol / Internet Protocol (TCP/IP)
Transmission Control Protocol / Internet Protocol is the networking standard commonly used on the Internet.
TransUnion (TU)
TransUnion is the primary credit bureau used by First Education. We provide credit history information on our members to TransUnion on a monthly basis.
Trust
A Trust is a formal arrangement setup to allow organizational ownership of personal assets. A Trust is controlled by Trustees.
TruStage
TruStage is a line of insurance products offered to our members through CUNA Mutual. The coverage available includes homeowners, automobile, and (in 2022) accidental death and dismemberment.
Trustee
A Trustee is an individual having the right to conduct business in the name of a Trust. A Subsequent Trustee is an individual who upon the death of one of more of the Trustees of a Trusts dies or otherwise relinquishes control of the Trust.
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Uniform Resource Locator (URL)
Uniform Resource Locator is also referred to as a Web address. The URL for First Education’s website is www.firstedfcu.com.
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Vehicle Identification Number (VIN)
The Vehicle Identification Number is an alphanumeric string which identifies a specific vehicle. It is often found on a small plate on the dashboard or door frame of a car or truck.
Visa
The major third-party vendor of credit and debit card processing. Its network of card providers, merchants and processing infrastructure handles business in over 300 countries. All of First Education’s card products carry the VISA logo.
Voice over IP (VoIP)
Voice over IP is the specification and technology used to make telephone calls over IP networks. First Education uses VoIP for its phone system.
Virtual Private Network (VPN)
Virtual Private Network is a method of sending encrypted data using the public Internet.
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West Edge Collective
West Edge Collective is the advertising agency the Credit Union uses.
Wide Area Network (WAN)
Wide Area Network is a communications network that covers a large geographic area, such as state or country. First Education’s connection to EASE is an example of a WAN.
Wire Transfer
An order to pay funds electronically by wire or telephone instruction, usually involving a large dollar amount.
WordPress
WordPress is the content management system we use to build our website.
World Wide Web (WWW)
World Wide Web is the portion of the Internet comprised of HTTP servers that allow text, graphics, sound files, etc. to be mixed together. WWW or “the web” is sometimes used incorrectly to mean the entire Internet.
Wycom
Wycom is a third-party vendor providing check printing solutions. First Education uses Wycom to print our money orders, cashier’s checks, and corporate checks.
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401(k)
Type of tax-deferred retirement plan. An employee may opt to have a pretax percentage of each paycheck invested in one or more mutual funds (or other investments). The employer may choose to match the employee’s investment (or a percentage thereof). Federal regulations govern taxes and/or premature withdrawal penalties due when funds are removed. First Education offers a 401(k) program to its employees with investment matching and profit-sharing features. Please, see the Employee Handbook for more information.
Definitions needed.
CyberWyoming,
CISA,
NCU-ISAO,
FS-ISAC,
Mimecast,
Umbrella,
Kasasa,
FHLB,
Elder Abuse,
Red Flag,
LaMacchia,
