North Yorkshire Credit Union: launch offers fresh financial option

A NEW WAY TO SAVE: Credit union launch offers fresh financial option

From the middle of May for the first time everyone living or working in North Yorkshire will have the choice of a better way to manage their money by joining a Credit Union.

With the launch of the North Yorkshire Credit Union across the County there will be a real alternative to High Street banks. A not-for- profit Co-operative financial institution.

Simple Finance with values you can trust: In the voluntary sector there is an increasing understanding of the values of the “third sector”. Credit Unions are a world wide movement based on cooperative principles and rooted in the voluntary sector. 

The Manager of North Yorkshire Credit Union, Mike Horncastle, added, “We’re delighted to be opening in the County of North Yorkshire. We are a very friendly bunch of people and we look forward to welcoming you as new members, sharing with you the benefits of the credit union. We’re already developing new services available in a couple of months, giving our members a real alternative to the banks. At North Yorkshire Credit Union we respect our customers, we’re committed to being open and honest at all times; we’ll tell you exactly what you can expect from us and we stick to our commitments; and there are no hidden fees or surprises. I hope this scheme is of interest to you all and below please find a number of frequently asked questions regarding this scheme and credit unions in general":

Question: What is the minimum amount I can save?
Answer: You can save anything from £1 to 10,000 maximum. Its not just for regular Payroll savings, you can make deposits as and when you wish.

Question: When does the scheme start?
Answer: We launch on 16th May

Question: How do I join the scheme?
Answer: To join North Yorkshire Credit Union or find out more information:
Check the website for more information & download an application form www.ycu.org.uk
Contact the Credit Union by phone on 01904 676633 or email: info@ycu.org.uk

Question: What can a credit union do for me?
Answer: It distributes all profits paying an annual dividend on your savings.
It offers a range of loans starting from 6.2% APR to 26.8%APR
It offers web based services that allow transactions with your Bank account
It offers a range of savings and loan accounts.
It provides FREE Life Savings insurance and Loan protection insurance

Question: What interest will I get on my savings?
Answer: Because every saver is a shareholder, rather than interest you will receive a dividend on your savings. This is agreed by the members at the annual general meeting. For the last three years the dividend paid by York Credit Union has been 2%

Question: Why is NYFVO promoting the Credit Union ?
Answer: North Yorkshire Credit Union is fundamentally different from banks and building societies. For a start the credit union is owned by its saver members for their mutual benefit, the result being that the more money saved and lent out the better the return for its members. Unlike banks and building societies the credit union doesn’t have highly paid directors or institutional shareholders. All the profits are returned to the member shareholders as annual dividend. This co-operative financial structure ensures that the credit union is not only safe and secure, but also ethical.

Question: How safe will my money be?
Answer: The credit union is fully regulated by the Financial Services Authority and is a member of the Financial services Compensation Scheme, guaranteeing the safety of its savers’ money. What’s more, it provides FREE Life Savings insurance, and Loan Protection insurance.

Question: How do I manage my Account?
Answer: You enter the member area of the Credit Union Website using your own security PIN to view your balance and instruct a withdrawal of funds. Deposits can be by transfer from your bank alternatively for cash or cheques by using a Pay Point/Post Office payment facility. If you prefer you can instruct us by mail.

What people in the know are saying about credit unions?

“One of the reasons I’m supporting credit unions on my website www.moneysavingexpert.com is that I think they do the job the right way and I’d like to help them do it more… I want them to be bigger, I want there to be more credit unions, I want people to be putting money in.” 
Martin Lewis, Consumer Champion, Nov 2008

“Because they work for their members, and not for shareholders, credit unions can create a sense of trust and loyalty that companies can't.”
Kitty Usher MP, Economic Secretary to the Treasury, June 2008

“The work of credit unions is still all too little known in most of the UK – though there are
172,000,000 members of credit unions worldwide, with over a quarter of the populations of the US, Canada and Australia being members. The potential is enormous.”
Rowan Williams, Archbishop of Canterbury, House of Lords Debate, June 2008