For years they have helped promote the values of thrift in local communities but the credit union sector is fragile due to some poor lending practices in the boom and so many debtors being unable to repay loans, says Kyran Fitzgerald

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.

THE Government’s stamp duty on credit cards has been labelled “uncompetitive” by a leading industry group, which claims it could stop new entrants coming into the market.

AS their roles come under even greater scrutiny a course has been developed to train credit union directors and supervisors.

MEMBERS of the Credit Union Development Association (CUDA) told a Dáil committee yesterday it believes the regulation of credit unions should stay within the framework of the existing Central Bank/Department of Finance structure.

TWO Galway credit unions have finalised plans to merge while others are considering similar moves.

CREDIT unions in difficulty should merge with larger operations according to a plan proposed for the movement.

THE savings of the country’s two million credit unions members would be guaranteed by law under a proposed compensation scheme.

CREDIT unions should be able to offer longer term loans to customers according to a report from the Department of Finance.

CREDIT unions in the North will be at a disadvantage if the Financial Regulator imposes a guaranteed savings protection scheme (SPS), the credit union movement has warned.

BILL HOBBS has been appointed chief executive officer of the Credit Union Development Association (CUDA), an organisation representing 20% of the Irish credit union movement, with 350,000 members and over €1.5bn in assets.

THE Irish League of Credit Unions (ILCU) faces a legal challenge if it continues to force members to take out insurance with a single insurance firm.