Rowallane Credit Union is placed into liquidation

Rowallane Credit Union is placed into liquidation

26 August 2015

A SAINTFIELD-based credit union with around 700 members has been placed into liquidation.

Despite this week’s closure, the savers in Rowallane Credit Union will get their money back under the government’s Financial Services Compensation Scheme (FSCS).

The credit union, which recently moved into newly renovated premises on Main Street, holds savings of around £1.4m.

The FSCS said the overwhelming majority of savers will get their money back within seven days.

People with less than £1,000 saved will receive a letter to get cash over the counter at the Post 

Office.

Anyone with savings of more than £1,000 will receive a cheque.

FSCS’s head of communications, Mark Oakes, said: “FSCS protects people when authorised financial services firms cease trading. So I’m pleased to confirm FSCS payments have now been made to members of Rowallane Credit Union. It is good news for those members.”

From its registration in 1991, Rowallane Credit Union operated from Saintfield Orange Hall before moving to new premises at 35 Main Street in March. 

Local councillor Billy Walker said he was shocked to hear Rowallane Credit Union had ceased trading.

“As chairman of the council at the time I was invited to open it with Jim Shannon MP,” he said.

“I would hope that a new management committee could be put in place. This credit union has been in existence for 25 years.”

The Ulster Federation of Credit Unions said in a statement: “We are aware of the winding up of Rowallane Credit Union and we will be working with the regulators to understand the causes of its closure.

“The Financial Services Compensation Scheme applies in this case and so all members of the credit union can rest assured that they will not be left out of pocket.

“We cannot comment any further until the relevant investigations are complete.

“The Ulster Federation of Credit Unions would recommend to the former members of Rowallane Credit Union that they consider joining Comber or Lecale Credit Union.”

More information about compensation for members can be obtained from the FSCS website at www.fscs.org.uk, or by calling on freephone 0800 678 1100 or 020 7741 4100.