Financial Regulator warns credit unions to exercise prudence

THE Financial Regulator has sent a strongly worded letter to all of the country’s credit unions warning them to exercise prudence in the current difficult environment facing most Irish financial institutions.

The regulator has already said that 20 credit unions are on “financial watch” due to the high levels of bad debt affecting them.

The letter has been sent in advance of the financial year end for the movement which is 30 September, 2010, reminding all credit union’s of the concerns the regulator wishes to see addressed in the preparation of their annual accounts.