At present there is a dualism of licensing and supervision of financial institutions, Financial
Services Authority on one hand and on the other hand Governors, Regents, Mayors or Village
Owned Enterprises for a financial institution in the form of Cooperative. This situation keeps the
potential for major conflict in the operation of Credit Union as a financial institution. Based on
the juridical and empirical facts above, a research on the problem aiming to provide a
comprehensive solution was carried out. The proposed legal problem was: How is the conflict
potential emerging from the relationship between Credit Union and its service users. The
research used a normative research method and the secondary data was the main data in this
study. Information from interested parties became additional data strengthening the analysis to
be carried out. The analysis in this study used qualitative analysis. The result of the study showed
that there was identification on conflict potential to the existence of the institution itself and the
lack of legal protection for Credit Union service users.