Credit unions face €24m state bill

THE state’s 414 credit unions will soon be hit with a demand for the payment of €24 million in premiums to cover the cost of the Government’s guarantee on their deposits of €12 billion.

To date, credit unions have been not be asked to make payments, unlike banks and other financial institutions. But now Financial Regulator MatthewElderfield said credit unions will have to start paying for the cover they get under the scheme to protect customers deposits of up to €100,000.

Mr Elderfield told the Irish Examiner credit unions are covered by the deposit guarantee fund.