LYNN, Mass. — The board of directors of the $128 million Community Credit Union of Lynn will meet on May 30 to decide whether the credit union should apply to change its charter to that of a mutual bank, according to a notice on the CU's Web site.

The notice said that after a conversion the institution's overhead would increase and its business would become taxable, both of which could reduce profitability. The notice also said that under a bank charter it could further convert to a stockholder owned institution, but said that, as of the date of the notice, the board had no intention to make such a further conversion.

The CU listed the ability to offer broader array of products and services to members, including member business lending and commercial loans as reasons to make the conversion. “The credit union has indications of strong demand from the current membership for these types of products,” the CU wrote.

The notice solicited member opinions about the conversion idea prior to the May 30 meeting and said that all comments must be submitted by May 28.

Community is the second Massachusetts credit union currently contemplating a conversion. East Boston's First Priority Credit Union, formerly Postal Community, has also started the process.