How can I save with a credit union?

Credit unions provide a convenient and secure way of saving. Each £1 saved is the equivalent of a single share and members can save as little or as much as they choose but on a regular basis. Savings can build up quickly once a savings habit has been established and members are encouraged to continue saving even when repaying a loan.

Greater savings held by the credit union mean greater funds available for loans to its members.

How safe is my money?

Credit unions are regulated by the Financial Services Authority (FSA) and must comply with the Credit Unions Act of 1979. Each credit union has insurance that protects your savings against theft or fraud. In addition to this safeguard, every credit union must have a supervisory committee which oversees its daily activities.

In addition, all credit unions in this country will be supported by a national compensation scheme through the FSA which currently supports all banks and building societies. Remember your first £2000 is fully covered - in effect you will be compensated if the credit union goes out of business. This is something we do not contemplate with our credit union but it is a tremendous support for our members. .

Dividends

Savings are used to grant loans to members. The interest received from loans is reinvested in the credit union. Any surplus is used to build up reserves and/or pay a dividend to members.

Llandudno & District Credit Union has always paid an annual dividend to its members.

Withdrawals

Members are free to withdraw their savings at any time. A notice period of a week is usually required, provided that the member's savings are not securing a loan. Members are however encouraged to keep their savings intact. This ensures that you:

• Can continue to earn a dividend
• Maintain credit worthiness and are able to borrow
• Benefit from life insurance protection on savings

Junior savers

To become a full member you must be aged 16 or above but many credit unions, like ourselves, operate a junior savings scheme which encourages young people to join and develop a savings habit. At the age of 16 junior members will automatically become full members but by law must wait a further two years before being eligible to apply for a loan.

Llandudno & District Credit Union welcomes junior savers - click on this link for an application form and follow the step by step proceedure as outlined in the membership section.

Making Deposits

Simply bring your savings (cash or cheque), payment slip and passbook to the credit union office in Llandudno Junction or to any of our collection points during opening hours. Your passbook will be updated immediately.

An easier alternative is to save by Standing Order - if you have a Bank or Building Society account why not download a Standing Order mandate form from the "Download forms" page or click here and send it to us via the office or one of the collection points.

If you are an employee of Conwy Borough Council, you can also take advantage of our Payroll Deduction Scheme. A similar arrangement is shortly to commence with the North Wales Health Trust, for those members living and / or working in the county of Conwy.

Not for Profit but for Service.

Please do not hesitate to contact us - we will help you all we can.