Shares
Save with your Credit Union
Savings as shares in a Credit Union are a better way to save. You are not just another customer but an active member of a highly successful financial co-operative. Yes, you have a share in the ownership of the Credit Union.
Benefits of Credit Union savings
- Savings balances over and above any loan you may have are available to you to withdraw on demand.
- Free life cover on saving up to €3000 (subject to terms and condition)
- There are no transaction charges or fees
- Nomination of account proceeds
Cap on Shares
The Board of Directors have made the decision to place a cap on savings held in the Credit Union of €20,000 per Adult Member and €5,000 per minor member.
Members may only lodge €1000 per month into their savings.
Excess savings above these limits prior to 10th March 2020 may be retained but no further saving may be added.
For the last number of years, the income from Bank Investments has continued to drop, while some banks have now started to charge negative interest rates on investments.
The Board of Directors did not think it was reasonable to pass on negative interest rates to our members so to be fair to everyone, the Credit union has placed an upper limit on total savings.
Members who have balances over these limits are encouraged to seek professional investment advice on their savings.
Types of Share Accounts
Regular Share Accounts
- Members present accounts with Credit Union are considered as a Regular Share Account. These accounts are suitable for those who are not liable for income tax.
- The onus is on the member to declare their account to the Revenue Commissioners.
- Dividend rate declared at A.G.M. is posted gross to members accounts.
Special Share Accounts
- Member must request in writing that their account be changed to a special share account.
- Dividend paid to member net of DIRT.
- Return made by Credit Union does not include individual members details.
- Member can hold both a regular or special share account but not both
It is our aim to provide our members with as many services as possible free of charge - such as:
Electronic Transfers / On-line Banking / Direct Debits / Bill Payments / Certificates of Interest / Duplicate Statements / Account Maintenance / Loan Processing & Documentation / Mobile App / Lodgements / Withdrawals
The Credit Union must pass on the following charges to our Members:
Unpaid Cheques - €10.00
Unpaid Direct Debits - €10.00
Stop / Replacement Cheques - €5.00
Lost / Replacement PIN numbers - €5.00 (first pin numbers issued is free of charge)
The Finance Bill 2014, which was published on Thursday 24th October, contains a provision that dividends paid into credit union Regular Share accounts will be subject to DIRT from 1st January 2014. This provision was not contained in the Minister’s budget speech.
When coupled with the removal of the tax-free limits on Special Term accounts, this means that all credit union share dividend and deposit interest paid to members will be subject to DIRT from that date, with the exception of dividend or interest paid to members who are exempt from DIRT. The only members who can be exempt are:
- Members aged over 65 whose total income is less than the relevant limit, currently €18,000 for an individual and €36,000 for a married couple. In the latter case, only one of the spouses needs to be over 65. To avail of this exemption, the member(s) must sign a self-declaration form DE1. This form is available on the Revenue Commissioners website (www.revenue.ie) or in hard copy from the League Office or from your local Revenue office.
Credit unions are not required to verify the contents of the declaration and should keep completed declarations on file (i.e. do not send them to the Revenue Commissioners).
- Members who are permanently incapacitated. Such members should either contact Revenue directly or contact a service body such as the Irish Wheelchair association. Credit unions have no role in approving the exemption in these cases.
- Credit union members can rest easy in the assurance that their savings are safe. Credit Unions in Ireland, which are affiliated to the Irish League of Credit Unions, are secured in several ways:
- All officials of credit unions, whether volunteers or staff, must be fidelity bonded.
- Members savings within certain limits are insured through Life Savings Insurance.
- All monies received in the credit union are properly recorded and lodged regularly.
- Full financial statements are prepared and can be examined by members.
- Annual independently audited returns are lodged with the relevant authority, The Central Bank of Ireland.
