Phase 1: Establishing a Field of Membership

Before You Begin

Phase 1’s primary goal is to obtain preliminary approval of the requested field of membership and to describe the proposed federal credit union’s capital funding plans.

Note: This is only Phase 1—it is not considered a full charter application.

Field of Membership

The field of membership is the common bond of the group or groups of people the proposed federal credit union intends to serve. It defines the people and entities eligible for membership, and only those people or entities—and a few others by virtue of their close relationship to members—may join the credit union.

Your application should identify which field of membership type you are planning to serve: single common bond (occupational or associational), multiple common bond (more than one group, each having a common bond of occupation or association), or a community. For example, a field of membership may be defined as, “Persons who live, worship, work in, or attend school in, and businesses and other legal entities located in Pima County, Arizona.” NCUA will review each submission to determine whether the proposed field of membership meets regulatory requirements.

Capital Funding Plan

The actual costs for chartering and operating a federal credit union vary depending on the unique circumstances in which it plans to operate. Planned product and service offerings, the delivery mechanisms for products and services, staffing needs, and the proposed field of membership all factor into these costs.

Understanding the estimated operational costs will help organizing groups determine how much start-up capital is required to begin operations, cover initial losses until profitability, and establish a net worth cushion for unforeseen expenses.

Start-up funding in the form of donations and grants is critical to cover initial and ongoing costs until the credit union can achieve and sustain positive earnings and maintain an adequate capital position. Historical data suggest that newly chartered credit unions typically require at least $500,000 in start-up capital to achieve economic viability.

At this preliminary stage, NCUA will review your general plan for obtaining donated funds to start operations and cover operating losses until you are profitable. NCUA will evaluate the adequacy of your capital plans in detail when you submit pro forma financial projections in Phase 2.

Submitting Phase 1 in CAPRIS

We strongly encourage you to complete Phase 1 using NCUA’s CAPRIS by accessing it here. NCUA will review your Phase 1 form submission, and if it meets all the agency’s requirements, we will send you a letter with a preliminary approved field of membership and confirmation of the reserved credit union name. If there are deficiencies in your submission, NCUA will notify you and provide an opportunity to resubmit a revised Phase 1 form.

After you receive NCUA’s letter granting preliminary approval of your field of membership, you can begin working on the Phase 2 application.

Last updated on March 30, 2026