Cork credit union among first to unveil debit cards

A CORK credit union has become the first in Europe to introduce a debit card for its members.

And the card also comes with loyalty points and a unique safeguard.

Bishopstown Credit Union, with 24,000 members on its books, yesterday launched the card, which will be accepted in more than 26,000 outlets worldwide.

It’s not the first time that the credit union has led the way — two years ago it became the first financial institution of its type to offer mortgages.

Chief executive Ray Kennedy said the debit card would enable its members to pay their wages electronically into their accounts and to make withdrawals from any ATM.

“They can use this card to pay for goods and services at millions of outlets. We’re the first credit union in Europe to offer such a facility. I believe that a lot of other credit unions will follow suit, because we’ve already received a number of inquiries from them,” said Mr Kenny.

There are some other bonuses for those who take up the debit card offer.

“Unlike some other financial institutions, we will not be making a charge for transactions carried out with the card. We are able to do this because we are using a clearing bank outside of Ireland,” he said.

In addition, every time a member uses the card they will get loyalty points, which can be translated into cash paybacks.

Security has been a significant consideration for Bishopstown Credit Union’s board and it has introduced a system that it hopes will cut down on card fraud.

“First of all we are using a chip-and-pin system. In addition, anytime a card is used anywhere a text message is sent almost instantaneously to the user telling him or her what the transaction was and where it took place,” said Mr Kenny.

This messaging service will enable card holders to cancel them before a thief goes on a spree.

It could also prove very useful for gardaí trying to trace people who have been using stolen debit cards.

“When a credit union member uses their card to pay for goods or services, the money will be immediately deducted from their account. This means that the customer knows almost instantaneously where they stand.

“With this new system our members will be able to do online banking 24-7,” said Mr Kenny.

On day one of the launch more than 350 Bishopstown Credit Union members signed up for the debit card.

This figure is expected to increase considerably in the weeks and months ahead.

The Bishopstown Credit Union has more than €150 million in assets and ranks in the country’s top 10.

Since deciding to provide mortgages it has processed more than €5m in loans to house-buyers.