Credit Union

Credit Unions are available across Merseyside.

Benefits of saving with a Credit Union:

A credit union savings account may be a good option for you if you can only afford to put a small amount of money away each week or you can only save now and then. Unlike some bank and building society savings accounts, you can put as little money as you like into a credit union savings account and you don’t have to save regularly. You just need £1 to open your account.

Many credit unions set up convenient local pay-in points, such as local shops or community centres, so you don’t have to make a special trip to a bank or building society.

As a reward for saving with a credit union, you get a dividend that is paid once a year. This is likely to be 2 or 3 per cent of the amount of money you have saved. Some credit unions may pay higher rates.

Some credit unions may issue interest-bearing shares on which they pay a specified rate of interest instead of paying a dividend. This means you can compare their rate of interest with what you would get from a savings account.

All the money you save in a credit union savings account up to the value of £85,000 is protected by the Financial Services Compensation Scheme. This is a fund which may be able to help if a company offering financial services goes bust or stops trading. For more information about the fund, go to: www.fscs.org.uk.

Credit unions offer good value loans but you may have to be a reliable saver with the credit union before you can borrow from them.