In a speech to the House of Lords on Friday, the Archbishop of Canterbury described the impact on the family of economic inequality and spiralling indebtedness, and called upon the House to "consider how we support one of the most effective agencies we have in reducing unmanageable debt and developing the skills that help people avoid the worst traps of the credit business. I refer of course to credit unions"
After a thought provoking depiction of the effects of doorstep lending on child poverty, Dr Williams described the potential of credit unions as ‘enormous’
The Archbishop went on to describe the different products and partnerships that increasing numbers of credit unions are able to utilise in helping families, from child trust funds and ISA’s to working with CAB’s and housing associations, and lent to his support to legislative change.
"The encouragement of locally based, entirely trustworthy, user-friendly, educationally sensitive and confidence-building methods of managing debt should be among government's highest priorities in combating the poverty traps that I have described."
Mark Lyonette, Chief Executive of ABCUL welcomed the Archbishop’s support for credit unions:
"We are pleased that the Archbishop of Canterbury has drawn attention to the important role that credit unions can play in helping to alleviate the impact on the family of economic inequality, credit and debt. We also welcome his support for legislative change to enable credit unions to have a much greater impact and much wider coverage.
"As financial co-operatives, owned and controlled by their members, credit unions can play a vital part in combating financial exclusion in our communities and in helping families to manage their money effectively.
"Existing legislation restricts the size and scale of credit unions, and so we were delighted when the Government published a review last year. We are now working with the Treasury on detailed legislative proposals and the Archbishop’s support will lend weight and urgency to our cause."
28 Apr 08 -
Member of Parliament invests in Credit Union's first Cash ISA
The Member of Parliament for Erewash Liz Blackman has signed up for Erewash Credit Union's new Cash ISA. The ISA is a safe and ethical way to invest locally with a transparent interest rate of 5.25%.
The Credit Union which is based on the top floor of the Midlands Co-op Ilkeston Department Store next to the Co-op Travel, now has over 300 members and hopes that this new product will attract local people to make long term saving commitments as well as the short term accounts for holidays, Christmas and other unexpected expenses.
Liz Blackman said, 'This is a fantastic achievement to be launching products like ISAs less than two years after the Credit Union started trading. We are extremely lucky to have this facility in Ilkeston. I am sure the success is down to the friendly and enthusiastic staff and volunteers.'
Pictured with Liz are Seamus Grant, Erewash Credit Union Manager and volunteer Josephine Cope.
28 Apr 08 -
Cardiff Credit Union featured on the ONE show
The One Show's consumer reporter, Dominic Littlewood, visited the Cardiff Credit Union office, Cardiff Bay to research credit unions and find out what was on offer to the consumer financial market.
The One Show article publicised that lenders will charge anything up to 8000% APR on loans, whilst the most credit unions can charge is 26.8% APR. Dominic interviewed Glenda Porter, manager of Cardiff Credit Union, to determine how credit unions are a welcome alternative to banks under the stains of the current financial climate. This gave credit unions the publicity they deserve, during the much talked about "credit crunch".
The One Show also featured Jenny Hughes, a valued member of Cardiff Credit Union and long standing Cardiff County Council employee who gave her viewpoint on how the credit union has helped her. Jenny was in financial difficulties when she became a member and found her local credit union particularly helpful when things got tough.
For more information, go to website: http://www.bbc.co.uk/theoneshow/article/2008/04/dld_creditunions.shtml
28 Apr 08 -
Glasgow CU say no to doorstep debt
Glasgow Credit Union are urging those looking for fast cash from loan sharks and door step lenders to think again. The Morrison Street based Credit Union has introduced a low cost loan option, the Express Loan, which is also available to those on low incomes and benefits.
CEO June Nightingale said:
"People take money from door step lenders because it’s easy and they only have to pay back small amounts every week,"
"However, they may not be aware of the sky high interest charged by companies like Provident. The debt ends up like a ball and chain – impossible to get rid of,"
The not-for-profit Credit Union are working closely with Housing Associations to promote financial inclusion and to encourage tenants to join the Credit Union and rid themselves of doorstep debt once and for all.
If you are interested in an Express Loan or finding out about other GCU services, call Glasgow Credit Union on 0141 274 9933 or go online www.glasgowcu.com.
28 Apr 08 -
ABCUL Associates
ABCUL is the leading trade association representing credit unions in England, Scotland and Wales and is at the forefront of providing support, training, representation and consultancy on a wide range of needs. In order to support its member credit unions ABCUL maintains relationships with government, regulators and other agencies to ensure the most effective representation on behalf of credit unions. In addition the Association provides an extensive development and training programme and utilises the skills and expertise of both staff and associates in carrying out this work.
In becoming an ABCUL Associate you have the opportunity to contribute to the development and support of credit union employees, volunteers and elected members throughout Great Britain.
Applications are invited from individuals who wish to become an Associate Trainer, Associate Consultant or Associate Mentor. Full details of what each role entails will be made available in the Application Pack.
We are looking for people with expertise in the following areas:
Training delivery
Credit union operations
Business development
Consultancy
Financial management
Corporate governance
Human Resources
Technology and Business Systems
Mentoring, Support and Advocacy Research
Feasibility Study
Compliance
Personal Development
Partnership Working
Strategic Planning
If you have skills in one or more of these areas and relish the chance to help the credit union movement grow in Britain then ask for a recruitment pack. Successful applicants will join a pool of Associates that are available to work on behalf of the Association as and when opportunities arise.
Closing date: 29th May 2008
Please email or phone or write for a recruitment pack:
ABCUL Head Office, Holyoake House, Hanover Street, Manchester M60 0AS
07 Apr 08 -
Bristol Credit Union helps more people manage their money
People in the Bristol area will get extra help managing their money after the new Bristol Credit Union office was opened by Work and Pensions Minister, James Plaskitt.
The new office in St Pauls builds on the network of local Credit Union Service Points operating throughout the city. Bristol Credit Union offers affordable financial services for people in the area, including savings accounts and affordable loans. The average loan is £477 with 70% of loans made to people in receipt of benefits. James Plaskitt said:
“Too many people, through no fault of their own, find themselves in a situation where they find it difficult and sometimes impossible to get affordable credit and insurance. Credit Unions such as the one here in Bristol do a fantastic job in providing free advice and support and in offering low cost loans and insurance to local people who otherwise could find themselves having to use high cost door step credit or without even the most basic insurance cover in the event of death or fire or flood.”
James Berry General Manager at Bristol Credit Union said:
“We are delighted the Minister is visiting the credit union to see for himself the fantastic work we are doing to help people all over Bristol manage their money better. The credit union is moving from strength to strength, with more people joining every week. The new office gives us a great base as we look forward to offering an ethical current account, with debit card facility, from June this year, alongside all our other services for local people.”
On average 100 new members a month are joining Bristol Credit Union and are being offered loans at low interest rates tailored to their incomes and ability to repay; there’s also an opportunity to save safely.
The 2,700 adult members (along with the 1200 junior savers) are provided with a number of free services, such as budgeting assistance and financial management training. Nearly 500 people now have wages or benefits paid through their Bristol Credit Union account with free welfare and debt advice also available through partner agencies.
Members also have the option of joining a low cost insurance scheme, which can give cover for whole families. It not only pays benefits at a higher rate than some commercial firms, it also charges lower premiums.
07 Apr 08 -
Community Foundation Award for Milton Keynes Credit Union
Milton Keynes Credit Union Ltd (MKCU) has received a major grant from the Milton Keynes Community Foundation to employ a development worker over the next three years.
The development worker will have a specific remit to work with Parish Councils, Children’s Centres, Housing Associations and Community organisations to challenge financial exclusion in the most deprived areas of Milton Keynes and to promote savings and responsible borrowing through membership of the Credit Union.
Secretary Graham Ghaleb said:
“Having access to affordable credit when needed can make a big difference to people's lives. This grant will enable us to introduce our services to many people in Milton Keynes who are unable to borrow from traditional financial institutions. With fixed and reasonable interest rates, we offer an ethical alternative to high-interest doorstep lenders.”
Philip Turnbull, Chair of the Credit Union added:
“Now is the time for people to join their local community Credit Union. For people who don't wish to borrow the Credit Union offers a safe, ethical and convenient way to save and their savings help to strengthen the local community. . All our members, savers and borrowers, benefit from free life insurance.”
07 Apr 08 -
First Minister Alex Salmond marks Grampian milestone
The First minister of Scotland, Alex Salmond has added his support to the movement by becoming the 3000th member to join Grampian Credit Union.
Mr Salmond, who has a background in financial services following his time at the Royal Bank of Scotland said:
“Credit Unions play an important role in our communities and can be a growing force”.
Gill Mathieson, manager at Grampian said: “We are delighted to have him join as are we with all new members. It is great to see the continued awareness and support in what we do as we move forward in playing an increasingly important role in our community.”
13 Mar 08 -
Classroom Revolution
ABCUL announces a tie up with the worlds leading deliverer of on-line training WebEx. As a key part of ABCUL’s Project DELTA to transfer greater amounts of knowledge, and extend the reach of training within credit unions, ABCUL will be offering live or recorded web training to a much wider audience in future. ABCUL will reach more learners, and increase customer satisfaction while reducing travel and venue costs. The outcome will be to transform the web into an interactive learning environment for director, employee and member training, utilize interactive presentations, two-way voice and text communications, and robust testing/grading tools to create powerful online classrooms. This system of education is already successful with North America credit unions.
Annette Warne-Thomas, Head of Business Development at ABCUL and lead with Project DELTA states ‘We will have the ability to quickly deliver flexible online training at a fraction of the cost. Dynamic e-learning lets you present your class material “live” or record it to provide your learners with “on-demand” training whenever they need it, so even remote learners can attend at their convenience. Reduce the time and effort needed to manage online training classes with self-service training registration, online training labs, and online training certification’. She added ‘We will be able to get an online classroom up and running in a matter of minutes without the need for hours of specialized instruction to create or convert your training content for online delivery. WebEx will provide us with an easy-to-use hosted solution that allows us to access existing training content with no IT involvement, complex software installations, or time-consuming conversions’.
WebEx is a reliable and secure online training solution that provides a reliable training and collaboration platform with a secure, reliable distributed network that is always ready when you are. WebEx also gives you the ability to offer password-protected, invitation-only online courses so your classes are secure and private. As the proven technology leader, WebEx has been chosen by over 12,000 businesses and government agencies, worldwide, as their online meeting and training provider.
13 Mar 08 -
Credit Unions make a big difference
Although unable to attend in person, the Economic Secretary to the Treasury, Kitty Ussher submitted a statement to be read to the ABCUL annual conference. She expressed how important credit unions are and reaffirmed the Government’s commitment to help credit unions reach out to more people, through legislative change and other initiatives.
“Credit unions have a unique history; a unique appeal; and unique strengths. The fact that they work for their members rather than shareholders creates loyalty, and trust – and that in turn helps them to reach people and communities that Plcs either can’t, or won’t. That reach gives credit unions an important role to play in tackling financial exclusion – which is a real priority for us.”
The minister’s statement described the negative effects that come from being excluded from mainstream financial services, from being forced to use more expensive options to the risk of intimidation and violence at the hands of illegal loan sharks, a spiral of debt the minister described as difficult to escape:
“By offering small loans at affordable rates, credit unions can and do make a big difference – as well as providing a safe environment for people to save in. As a Government, we want to see credit unions continue to provide these services. But we also want them to grow, and to reach more people.”
Kitty Ussher restated her position that common ownership should be a genuine alternative to the company form, and that Government is determined to give mutuals a more level playing field against their competitors;
“For credit unions, that has meant giving them greater borrowing powers; more flexibility in their membership; the ability to offer cash ISAs and Child Trust Funds; and a higher interest rate ceiling”
The Minister thanked credit unions for responding to last year’s legislative review and confirmed the Government’s commitment to legislating on priorities identified by the movement and supporting credit unions in other ways: -
“We were delighted with the response that we had, from over 200 individuals and organisations, and I’d like to thank those of you who took the time to contribute. Those responses highlighted some clear priorities for us to focus on, and we’ve now started meetings with a working group of stakeholders in the sector to take them forwards.
“We’re committed to legislating on these issues, and of course we’re particularly looking at widening the definition of the common bond, and at the use of electronic communications by credit unions.
“We’re also supporting credit unions, alongside other third sector lenders, as a crucial part of our strategy to tackle financial exclusion. Over the next three years, we’ll use £38 million as a Growth Fund to double the capacity of the third sector to lend to the financially excluded – and I’m really pleased that the banks have also committed to support affordable third sector credit, particularly to help develop new provision in 25 high priority areas.
“I hope the funding, and this commitment of support from the banks, will make a difference – and that, alongside the changes we plan to make to the legislation on credit unions, they can help you to do even more for your members, and particularly for those people who would otherwise be excluded from the financial system. “
13 Mar 08 -
A Guide to Personal Finance
A comprehensive pack of information to help MPs’ constituents with financial issues is on its way to all UK MPs, regional assembly members and MEPs. A Guide to Personal Finance, created by the coalition of trade associations known as the Financial Fringe, contains essential information and tips on the financial topics found most often in MPs’ postbags.
The pack which includes an informative section on credit unions is designed to equip MPs and other representatives with useful information to pass on to their constituents looking for guidance on financial issues. It includes easy-to-understand factsheets and comprehensive lists of organisations who may be able to help individuals needing guidance or further information. It has been produced following consultation with MPs on the questions their constituents most often ask and covers 25 subjects from investments to credit products.
Mark Lazarowicz MP, chairman of the All-Party Group on Debt and Personal Finance, and John Greenway MP, chairman of the All-Party Group on Insurance and Financial Services, write in the foreword: “Competition gives consumers an opportunity to select appropriate products – but it is very important to ensure that they understand how these work and where to go if they need help … We hope this guide will help consumers make the right financial choices to enable them to plan for and protect their futures.”
ABCUL - the Association of British Credit Unions - has expressed its delight at the Chancellors announcement in today's Budget that the Saving Gateway will be launched nationally.
Mark Lyonette, Chief Executive of ABCUL said: "We're extremely pleased that the Government has decided to move forward with the roll out of the Saving Gateway. This is a valuable initiative which will help to encourage low income savers and we look forward to working with the Government to ensure that the scheme is a success."
The consultation document, published today, explains that credit unions, along with Citizens Advice Bureaux and social housing providers, have indicated that they would be willing to work with the Government to deliver information on the Saving Gateway scheme, including support with account opening.
The Saving Gateway aims to encourage savings among low income households and to promote engagement with mainstream financial services. research shows that, in 2005-06, 28% of households had no savings, rising to 43% for households earning less than £300 per week.
"To help people become more confident in managing their finances, and to reduce reliance on credit, it is vital that those on low incomes are able to save and build up their personal assets," said Mark Lyonette.
"Credit unions are already trusted savings institutions in many low income communities so are ideally placed to play a significant role in promoting and providing Saving Gateway accounts."
Project DELTA is well underway with workshops available at the Blackpool Conference.Project Delta will assist 'growth fund' credit unions by:
Delivering a package of training that will equip the credit union to reach successful growth targets.
Providing development that will directly enable a uniform method of planning and business management.
Banchmarking support amongst peer groups.
Provide a legacy of high quality training & development.
This project conception can be traced back to the pre budget report in 2004 in which HM Treasury set out the key objectives of a major UK government initiative on tackling financial exclusion. It contained three policy proposals, which are relevant to this project. These are;
To establish a Financial Inclusion Fund of £120 million.
To set up a growth fund for third sector lenders.
To consider ways in which the capacity and skills of volunteers and staff, within third sector lenders, can be enhanced.
Project Delta is directly aimed at this third point. Speaking this week ahead of the Blackpool Conference ABCUL Chief Executive Mark Lyonette said:
"Seldom do we get such a tremendous opportunity to bring about significant change within the movement as we have with this project. History will show that credit unions used this project as a springboard to scale up their businesses".
Photograph: (clockwise from top left) Annette Warne-Thomas (Head of Business Development) and Delta project managers Judy Miara, Ciara Morrison and Claire Brady
05 Mar 08 -
Specialists on board for DELTA training
The DELTA project team bring in specialists for the training sessions at Blackpool 2008. Sessions for the Growth Fund credit unions will include Human Resources specialists Jan Coverley and Ruth Peck. Jan & Ruth have over 40 years experience and a great reputation, across the co-operative movement, for innovation and ‘common sense’ advice for customer service, banking and insurance businesses. Jan & Ruth are currently HR advisers to the prestigious national Community Foundation Network.
The credit union specialist from Ireland, leading the Lending session, is Bill Hobbs. Bills’ banking career spans branch management, building society management, banking operations management, programme management, internal consulting, change leadership, strategic planning and execution, HR strategy, training and development, marketing, industrial relations, internal communications and external stakeholder communications. From 1978 to 2005 Bill was involved in retail banking where his last senior executive role was as Head of Business Strategy & Customer Value for Rabobank Groups’ Irish subsidiary ACCBank. Bill was CEO of the Credit Union Development Association, a credit union national trade association, from 2005-2007.
05 Mar 08 -
Credit Unions welcome Treasury announcement
ABCUL – the Association of British Credit Unions – has welcomed Government support for financial planning advice announced by Yvette Cooper, Chief Secretary to the Treasury.
Mark Lyonette, Chief Executive of ABCUL, applauded the initiative which would help people to manage their money better.
“We are pleased that the Government has announced a £12 million package following the recommendations of the Thoresen Report into the provision of financial guidance in the UK. As the credit crunch bites and more people are turned down for credit they are likely to need more guidance to plan their finances. Credit unions have a long history of encouraging people to save and spend wisely, and I am sure this initiative will help further.”
According to Mark Lyonette, people often need money advice at key stages of their lives, such as at times of marriage, divorce, moving home, retiring or moving to a new job.
“Successful financial budgeting is not easy at a time of change, especially if it is unexpected. While marriage and buying a home might be planned, problems arising from the credit crunch might not be, and all of us engaged in providing advice should welcome the opportunity to deliver high quality financial bugeting and planning advice so that our members and customers are in the best position possible.”
Thoresen found that by 2060, UK consumers could be up to £15 billion better off if people have access to high-quality, personalised and impartial guidance on financial matters. This is not available to everyone at present, as the commercial financial advice market finds it difficult to serve the needs of many ordinary consumers, particularly those on average or lower incomes.
05 Mar 08 -
Glasgow Credit Union defies the crunch
It has been confirmed that the current unstable economic climate, fuelled by decreasing house prices and rising energy costs, is impacting those already on low incomes the hardest (BBC Feb 2008). The glum news could mean the gap between the rich and the poor is widening. Plus, with banks restricting lending practices, Glasgow Credit Union fear that people on low incomes will turn to unscrupulous door step lenders for credit, worsening the already out of control debt crisis.
However, the ethical Credit Union are keen to take action and remind people that they are not tightening lending practices amid the credit squeeze. GCU say it is dedicated to achieving financial inclusion which means ensuring affordable financial services are always available to all members. The not-for-profit lender are urging people not to take the easy money offered by door step providers as it can often lead to spiralling debt problems. The Morrison Street based Credit Union’s policy of lending based on affordability has been successful for them so far and people with past debt problems aren’t excluded. CEO June Nightingale said:
“If people have been in debt in the past, they often think they will be declined for a Credit Union loan. This isn’t always the case. Although we do factor in past credit history we use affordability as our main criteria for lending – ensuring that members get a good deal that doesn’t over-commit them,”
The Credit Union’s low loan rates (11.6% for loans up to £4999) are transparent in that everyone who is successful in their loan application will be eligible for this rate. However, banks often advertise a ”typical” APR that changes based on personal circumstances or credit history. Margaret Prior, a happy GCU loan customer from Glasgow said:
“I didn’t have any savings put aside to help with my son’s University fees so I looked into a loan. I noticed that the rates advertised by the banks often increased when I rang up which put me off.”
“Then someone suggested GCU, I was delighted with their service and had to double check that the low interest I was paying was correct!”
If you are interested in finding out more about Glasgow Credit Union, or to apply for a low cost loan call 0141 274 9933 or go online www.glasgowcu.com.
05 Mar 08 -
Communisave's MG Rover milestone
Valentine’s Day this year was a celebration of the 1st anniversary of Communisave opening its first shop in Cotteridge. The financial co-operative continues to have funding to support the people affected by the closure of MG Rover.
CommuniSave has over 1000 savers and has helped people with either an instant personal loan or a business start up loan, this has been possible with support from DTI Rover Task Force.
“This support system has been set up not only to help people who worked directly for MG Rover, but also workers in the supply chain and their family members,” said Graham Whitehouse, Director of Finance at Communisave
“It’s easy to presume that the closure of Rover is old news and that everyone affected by the closure is now employed elsewhere. There are still lots of people contacting us at our Cotteridge shop, there are many people still feeling the pinch since Rover closed”.
Communisave offers the community the chance to save money and access low cost loans, with free insurance. Communisave is regulated by the Financial Services Authority, all savings are fully protected.
Communisave is situated at 1884 Pershore Road, Cotteridge Birmingham B30 3AS, it is open between 9.30-4.30 Mon-Fri and 10am-1pm Saturday, visit the website on www.communisave.co.uk, 0121 486 2035.
26 Feb 08 -
Glasgow Credit Union give Nicola credit
Deputy First Minister and Health Secretary, Nicola Sturgeon has been honoured by Glasgow Credit Union as she became the 20,000th person to join the financial co-operative. From humble beginnings back in 1989 when the credit union only had two members of staff, it has gone from strength to strength and is now one of the largest and most successful in the UK with services rivalling high street banks.
As well as providing a range of financial services that meet the needs of high profile politicians like Nicola Sturgeon, GCU also strive to promote financial inclusion and equality by ensuring affordable credit is available to all members of society. The Health Secretary and Govan MSP, recognised this as being important:
“Credit Unions offer a competitive and ethical way to save and borrow which is attractive to people from all walks of life,”
“Stress and anxiety over financial matters can have a very damaging effect on people’s health and wellbeing. That is why it is so important to ensure that everyone can access appropriate, affordable financial services,”
GCU services now include Current Accounts and Mortgages which are proving ever popular with new and existing members alike, especially with bigger lenders tightening their purse strings in light of the current credit crunch. Most prefer the Credit Union’s friendly, no-nonsense approach to finance and one member, Norman McDonald, said this about them:
“Glasgow Credit Union’s interest rates are very competitive, they have definitely saved me money! Plus, I prefer dealing with them over banks because the staff make things seem so easy - they are definitely the hassle-free alternative to finance,”
Valerie Lawrence, Glasgow is also a happy customer:
“I knew there was something different about GCU, they provided such a personalised service and really cared about my financial situation. Both my partner and I have savings accounts and a mortgage with them and we’re now thinking about switching our Current Account to GCU too.”
If you would like to find out how to join Glasgow Credit Union or learn more about their services, call 0141 274 9933 or go online www.glasgowcu.com.
26 Feb 08 -
First Dorset reaches million pound milestone
First Dorset Credit Union has celebrated the passing of a landmark £1 million of loans granted since its launch. The figures published in the co-operative’s annual report round off a successful year of helping members with savings and affordable credit.
Writing in the credit unions annual report, President Rosemary Britten said:
“The year 2007-08 has proved to be another very positive year for First Dorset Credit Union. We have expanded our common bond into the Blackmore Vale, so now we cover most of rural Dorset.”
“We would not be able to run our service points without our merry band of volunteers, and without our customers and supporters we would not be in business.”
The union’s credit committee reports a busy and successful year with the credit union breaking through the £1million in loans landmark during August.
26 Feb 08 -
MP is 1000th member of Trafford United
The Minister for Children, Young People and Families, and MP for Stretford and Urmston Bev Hughes has become the 1000th member of the Trafford United Credit Union.
Signing up at her local collection point Ms Hughes said:
“I’m delighted to support Trafford United Credit Union and feel honoured to become it’s 1000th member. With such strong membership the credit union will be able to make a big difference to families in giving access to low cost loans and helping people manage their budgets.”
Based in Old Trafford, the financial co-operative extended it’s common bond last year and membership is now available across the borough of Trafford and neighbouring area Whalley Range.
14 Feb 08 -
Annette Warne-Thomas, Head of Business Development (Project Delta Lead) talks about Project Delta
Our project managers Ciara Morrison and Judith Miara have made 14 credit union visits so far and have already established a good evaluation of the size of the task ahead. The recruitment of the remaining two Project Managers is going well and I’ll be able to announce the successful candidates soon.
Ciara and Judith have been warmly welcomed on their travels and have encountered several common issues. The demand for training and development is an early finding along with requests for advice on PEARLS, the financial measurement tool. Further credit union visits continue over the next few weeks and already design and development work is underway on the training solutions, Human Resources advice and Health & Safety advice. The demand for PEARLS is likely to be high but I’m determined we will meet that demand over the next few months.
The central goal of the project is to support those ‘Growth Fund’ credit unions to deliver the maximum benefit to people who are financially excluded. This project provides that help, direction and support. Project Delta will link training to a process of organisational change and not simply a menu of training offered to growth fund credit unions. I believe the legacy from Project Delta will be one of higher standards and measures across the whole British credit union movement.
A big thank you goes out to all the wonderful support we have had from many parts of the movement for this project. Credit unions in the project, and many others, have shown great enthusiasm for this important work.
Project Delta progress so far:
a. Project team recruitment almost complete
b. Credit Union visits to date:
i. Greater Manchester
ii. Glasgow
iii. West Yorkshire
iv. Merseyside
v. North Wales
vi. South Tyneside
vii. London
c. Training materials in design
d. PEARLS team engaged
e. Human Resources specialists engaged
f. Health & Safety specialists engaged
g. Communications plan in place
h. Regular Department of Work & Pensions briefings underway
i. Regular ABCUL board briefings underway
j. ABCUL - Development & Education Committee briefed
k. DELTA workshops in place for the Blackpool Conference in March
l. Regional Training Events in planning
Information line abour Project Delta is 0161 819 6935 or email: chris.smith@abcul.org
Look out for further announcements about the roll out of Project Delta.
08 Feb 08 -
Beacon City hosts financial inclusion conference
Leeds City Council held a financial inclusion conference this week which attracted local authorities from across Britain. The council was awarded the prestigious beacon status by the Government last year for its work on financial inclusion, which focused on the ‘Leeds City Credit Union Neighbourhood Branches Project’. The project saw an expansion of the credit unions branch network across the city in areas vulnerable to exploitation by doorstep, and illegal lenders.
The cases brought to delegates’ attention include the young mother who borrowed £1000 from a doorstep lender to pay for furniture. Two years later she had repaid the company £3,800 at a rate of £159 a month, and still owed £600.
This is one of the many cases of its kind seen by Leeds City Credit Union. The credit union gave her a loan for the full amount, bringing her monthly payments down to just £38. She was then able to open a budget account with the credit union to help her manage her bills as well as opening a savings account to help with the cost of Christmas.
The event, which took place at Leeds Civic Hall allowed delegates the chance to discover how the authority and its partners, which includes Leeds City Credit Union and the CAB, Yorkshire Bank and other voluntary agencies – work together.
The conference also gave delegates the opportunity to hear from John Cray, financial inclusion policy manager at the Department of Work and Pensions, and a video link presentation by Parliamentary Under-Secretary at the DWP, James Plaskitt.
08 Feb 08 -
Voyager Alliance Current Account reaches milestone of 1000
Voyager Alliance was one of the first Credit Union’s in the Country to launch their Current Account in February 2007. They set their target at 1000 Current Accounts for their AGM on 1st December 2007. Due the success of the account this was easily achieved, and they still have new applications coming in every day!
Initially they thought the card would provide a more flexible way for members to access their money, and that the majority of members would use the service as a secondary account while keeping their main Current Account with a bank. In reality quite a few members are using the account as their full bank account and have their wages paid directly into the Credit Union. While others use it as bill paying account, this is proving very popular as by setting up direct debits from their Credit Union Current Account, their other bank account is totally separate.
The card has already proved its worth time and again, during the summer a member rang from Australia to transfer money, due to the new service he accessed his money the same day!
The system works so well that later in the year they are phasing out their Cash Cheque facility. As withdrawals are so much easier with the Current Account, by ringing the office the members money can be transferred in a matter of minutes.
08 Feb 08 -
LASA launches Special Occasion Saver account
On Wednesday 30th January 2008, The Right Worshipful The Lord Mayor of the City & County of Swansea and Consort, Councillor Susan Waller and Dr. Alan Thomas, officially launched LASA Credit Union Ltd ‘Special Occasion Saver’ account. Also in attendance where Cllr Barbara Hynes, Cllr Erika Krichner, representatives from the City & County of Swansea housing and social inclusion and communities first departments, and representatives from the Credit Union and many community organisations.
Many people have events in their lives, which they find a financial drain and can get into debt in trying to provide the very best for their families, whether it is the perfect Christmas, wedding or even a special family holiday. That is why in addition to its general and junior saving accounts LASA Credit Union Ltd has introduced the Special Occasion Saver. The idea behind the new account is to encourage people to save even a small sum towards an occasion or event whatever it may be.
When an account is opened the member will specify the amount and frequency of the deposits, and set a date for withdrawal. If the member requires access to those savings any sooner than the agreed date, then 30 days notice will be required. LASA hopes this will encourage members to stick to the original terms of the saver account, ensuring that they don’t fall short when the big day arrives.
Claire Smith Manager of the Credit Union said “In 2006 many hard pressed families faced disaster when the Christmas saving scheme Farepack collapsed. However, it is not only Christmas that can push people to this kind of insecure, unregulated commercial savings scheme. Credit Unions provide a safe home for your savings and can also offer small loans at low interest rates. You do not have to borrow from doorstep lenders who charge eye wateringly high interest rates. We are non-profit making and controlled by our members. We also are regulated by the Financial Services Authority, part of the Financial Compensation Scheme and where recently named in the Office of Fair Trading ‘Save Xmas’ campaign as a safe affordable way to save”.
For further information please contact 01792 643632 or email query@lasacreditunion.org.uk.
