Credit Union News

16/04/2012

Important information regarding insurance on savings.

Following approval at the Annual General Meeting in January, and subsequent registration of our new Rule Book by the FSA in March we are letting members know about changes to insurance arrangements.

New members (joining BCU after 01/04/2012) will no longer receive life insurance paid for by the credit union on saving balances with effect from 01/10/2012. This means that in the event of the death of a saver after that date their estate will receive back just the balance held, and no top-up amount.

For existing members (who joined prior to 01/04/2012) life insurance on saving balances will cease on 01/10/2013. This means that after that date, in the event of the death of a saver, their estate will receive back just the balance held, and there will be no top up amount.

Life insurance on savings (where it applies) is subject to terms and conditions, and is up to a maximum value of £5,000. It does not apply to all accounts held with BCU (for example Current Accounts and some other accounts are not included - see individual Terms & Conditions, or ask if unsure).

Loans will continue to be repaid in the event of the death of a member with a loan outstanding (again subject to terms and conditions and a maximum value of £5,000).

We will also no longer be charging an annual membership fee (currently £1.50) in October each year (though we do reserve the right to re-introduce this fee at a later date if necessary).

08/11/11

Bristol Credit Union will be able to open accounts for local businesses and community groups and pay interest on savings from early 2012 after a crucial piece of legislation passed through Parliament today.

The new legislation gives credit unions like Bristol new powers and freedoms such as opening up membership to organisations, paying interest on deposits instead of dividends, opening up membership to more people than ever before.

Bristol Credit Union played a key role in getting the legislation passed, working with local MPs and lobbying hard for the new powers. It was a visit by then Treasury Secretary Ed Balls to BCU in 2007 that kicked off the whole process, which has taken 4 years to get through Parliament.

BCU Chief Executive James Berry said “We’re delighted that the legislation has finally changed. It’s been a long time in coming, and credit unions like ours have been eagerly waiting for this day for a long time.

The new powers will mean we can offer local businesses and community groups banking facilities, and potentially loans, at a time when the big banks seem less and less interested in providing services to them. We’ll also be able to make our saving accounts more attractive by offering a rate of interest in advance, rather than paying a dividend at the end of year.”

In a further development BCU is also trialling Saturday opening at its Stokes Croft office up until Christmas.

Berry added “Saturday opening gives us a chance to reach more people, especially those who are working during the week. The credit union is here for everyone in Bristol, and the more members there are the more everyone benefits.”

Bristol Credit Union offers local, ethical community banking across the local region. The Stokes Croft based credit union is open to everyone in Bristol and the West of England area and offers current accounts, savings and affordable loans.

It is one of Bristol’s best community success stories having grown from 1,200 members just 4 years ago to over 6,500 now.

11/04/11

The interest rate for junior savers has been increased to 1.5% with effect from 1st April 2011. All Money Munchers junior savings balances will benefit from the increased rate immediately.

The interest rate for Child Trust Fund accounts has been maintained at 2.5% - and according to Moneyfacts (the on-line comparison website) the BCU Child Trust Fund account is now equal 4th in the country for interest paid.

If you have a cash Child Trust Fund with another provider, then check the interest rate they’re paying. You could earn far more with BCU by switching to us! Transfers to the BCU Child Trust Fund are free - see the CTF section of the website for more details.

Interest for Money Munchers and Child Trust Fund accounts is paid annually, on 30th September.

07/01/2011

The limits that apply to protection for depositors from the Financial Services Compensation Scheme have changed with effect from 31/12/2010.

Deposits with Bristol Credit Union are now protected up to a total value of £85,000.

The Financial Services Compensation Scheme (FSCS) can pay compensation to depositors if a credit union is unable to meet its financial obligations. Most depositors – including most individuals and small businesses – are covered by the scheme.

In respect of deposits, an eligible depositor is entitled to claim up to £85,000. For joint
accounts each account holder is treated as having a claim in respect of their share so, for a joint account held by two eligible depositors, the maximum amount that could be claimed would be £85,000 each (making a total of £170,000). The £85,000 limit relates to the combined amount in all the eligible depositor’s accounts with the credit union, including their share of any joint account, and not to each separate account.

For further information about the scheme (including the amounts covered and eligibility to claim) please ask at your local branch, refer to the FSCS website http://www.fscs.org.uk/ or call 0800 678 1100.

Emails are circulating offering to get people a loan with BCU.

The email claims that the sender is an agent for BCU, and comes from the email address bristolcreditunionlimited @ juno.com.

The email sender will offer to get the recipient a loan, and after exchange of a few emails will request a fee for arranging the loan.

THIS IS A SCAM AND HAS NO CONNECTION TO BRISTOL CREDIT UNION AT ALL.

Details have been reported to the appropriate authorities, but there is very little anyone can do to stop this type of email. This type of scam circulates all over the internet, with variations occuring all the time.

PLEASE BE AWARE WE NEVER SOLICIT FOR LOANS VIA EMAIL, AND WE NEVER CHARGE AN UPFRONT FEE FOR A LOAN!

If you receive an email you are not sure about then feel free to forward it to us, but the best advice is usually just hit the delete button.