A Credit Union is an organisation of people - for people. It exists only to serve its members and not to profit in any way.  Credit Unions are non-sectarian and non-political, and continue the Irish tradition of co-operative self-help.

A Credit Union is when a group of people save together and lend to each other at a fair and reasonable rate of interest.  Credit Unions offer a convenient savings and loans service to its members. 

All members within a Credit Union have something in common – the common bond.  The common bond is the element that binds every member of a Credit Union together.  To join Lurgan Credit Union Limited, you must living or working in the Lurgan area, click here to find out more about the Lurgan Credit Union Limited COMMON BOND

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What are the benefits of a Credit Union?

Credit Unions provide members with the opportunity to have control over their own finances by making their savings work for them.  Regular savings will form a common pool of money, which in turn provide many benefits for members.  Benefits for members include:

• Low cost loans
• Easy way to save
• Free life savings insurance
• (subject to age limits)
• LINK TO INFO ABOUT INSURANCE
• No hidden fees or charges
• Annual dividend on savings
• Annual rebate on loan interest

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Who runs the Credit Union?

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Credit Unions are run by their members.  All Credit Unions are properly licensed and registered in accordance with the Credit Union Act 1979. 

Credit Unions must submit audited accounts annually and produce reports for all members.  They are regulated by the Financial Services Authority  (FSA) in the same way as banks and building societies. 

In addition, Lurgan Credit Union Limited is regulated by the Irish League of Credit Unions (ILCU) who annually audit Lurgan Credit Union to ensure Policies and Procedures are followed.

What is the Irish League of Credit Unions?

The Irish League of Credit Unions (ILCU) was set up by a small group of Credit Unions in 1960 to represent and service affiliated Credit Unions on the island of Ireland.  The ILCU now represents the interests of over 530 Credit Unions in Ireland. Membership of the ILCU is open to every Credit Union in Ireland, Lurgan Credit Union Limited is a member of the ILCU.  The ILCU is responsible for:

• Promoting the Credit Union idea and ethos
• Representing affiliated Credit Unions with Government, the EU and other agencies
• Providing central services to Credit Unions

Go to Irish League of Credit Unions for more information on the ILCU.

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Why should I join Lurgan Credit Union Limited?

Lurgan Credit Union Limited provides members with a death benefit cover in conjunction with the Irish League Of Credit Union's (ILCU).  This benefit gives members £1000.00 to cover funeral expenses.  In order to receive this payment members must meet the following criteria:

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• Member must have joined Lurgan Credit Union Limited prior to their 70th birthday
• Member must have had a share balance of not less that £100.00 throughout the 12 months preceding their death
• Member loan repayment must have been no more than 12 weeks in arrears at the death
• Providing the above criteria are met, a copy of the funeral expenses will be required to make the payment.

Once this is received, Lurgan Credit Union Limited will complete the required documentation, which will be sent to the Irish League of Credit Unions (ILCU).  The ILCU will process this claim this may take 4 - 6 weeks.

Once the ILCU have processed the claim they will forward the £1000.00 benefit to Lurgan Credit Union Limited, which will be paid to the person responsible for the funeral expenses.  Also, members may be entitled to receive insurance on their account; insurance is calculated on the amount of shares and the age of the members:

• Up to 55 years £1* for every £1 you have saved (i.e. savings doubled)
• Up to 56 – 60 years 75p* paid for every £1 saved
• Up to 61 – 65 years 50p* paid for every £1 saved
• Up to 66 – 70 years 25p* paid for every £1 saved

* Savings are insured up to a maximum of £10,000

I am less than 16 years old, can I join Lurgan Credit Union Limited?

Any member under 16 years of age can hold a juvenile account in Lurgan Credit Union Limited.  To open an account you will need to bring the following identification to the new members office:

• Birth certificate for the juvenile
• Valid form of identification for the parent – to show the live within the common bond

You should note that a parent is required to open the juvenile account, the parent will have:

• Sole control over withdrawals on the juvenile account until they child reaches 7 years of age
• After the juveniles 7th birthday the parent and child will both have to be present for withdrawals from the account

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Yes – a limit of £1000.00 is placed on juvenile accounts.  This limit complies with the Standard rules for Credit Unions Northern Ireland, Article 26 (4), which states: "The Credit Union may take deposits up to a total of £1000.00 from a person under the age of 16.”

Can I transfer from one Credit Union to another?

Yes, it is possible to transfer between Credit Unions, if for example you are moving out of the Lurgan common bond area or moving to it.  There are a number of simple steps to follow to transfer your account:

• Open a new account with the Credit Union you wish to transfer to.
• If you are only transferring shares you sign a withdrawal form to withdrawal your remaining savings and close our account.
• This signed withdrawal form is then processed and all monies are transferred to the Credit Union you wish to join.
• If you have a current loan with your Credit Union it will have to be transferred.  To do this you must apply for the loan within your new Credit Union to repay the Credit Union loan within the Credit Union you are leaving.
• When the new loan is granted, you must complete the Declaration of Health and the Promissory Note.  Once this is completed your new Credit Union will then process the loan and clear your loan in you old Credit Union.
• Once this old loan is cleared, the remaining savings in your old Credit Union account will be forwarded to your new Credit Union.  If a loan is transferred then a portion of the shares transferred will be frozen against the loan on your new Credit Union account.  Statements and history of account to be forwarded to new Credit Union account.
• The members should ensure when closing the account with the old Credit Union, they leave a forwarding address which may be required for forwarding any dividend payable when it is declared.

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Can I amend my personal details with Lurgan Credit Union Limited?

Yes - details can be easily updated for members.  Members will need to visit the office for this to be carried out.  There are a number of simple steps to follow:

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Lurgan Credit Union Limited regularly send correspondence to members, therefore it is important to keep members account address up-dated.  If post is returned to us stating that the member no longer lives at the address on our system, staff will amend the account to GONE AWAY – this allows staff to recognise that the members account needs updated.  Once members update their account with their new address, this status will be changed. 

Can I cash a cheque through my account?

Yes - members who wish to cash cheques must have the amount of the cheque in their savings.  We require the member to be there in person to cash a cheque.  For example if a member has a cheque for £120.00, they must have at least £120.00 in their savings to allow the cheque to be cashed*.  If there are insufficient funds in a members savings we will lodge the cheque for 10 days before a withdrawal can be made. 

* In addition to members having the amount of the cheque in the savings, their loan account must not be in arrears to have the privilege of cashing cheques.  Members in arrears wishing to cash cheques, must make a full payment of the loan at the time of cashing the cheque.

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