Credit union body branded ‘negligent’

THE country’s main representative body for credit unions has been branded “irresponsible and negligent” for appearing to question the security of the state bank guarantee, under which the credit union movement is indirectly protected.

Media reports earlier last week suggested that the Irish League of Credit Unions (ILCU) is becoming more concerned over the safety of its surplus cash, reportedly, around €3 billion, in Irish banks.

While credit union members’ money is protected under the deposit guarantee scheme, the ILCU — although not directly covered under the blanket bank guarantee (the eligible liabilities guarantee scheme) — has its deposits covered by the ELG.