ILCU Statement on Charleville Credit Union

Media Release: 13 October 2017

ILCU Statement on Charleville Credit Union

The Irish League of Credit Unions (ILCU) notes the appointment of joint provisional liquidators to Charleville Credit Union Limited by the Central Bank of Ireland.

This decision is very disappointing for the members of Charleville Credit Union who have relied on its valued services for over 50 years. The eligible savings of members of Charleville Credit Union will be covered by the Deposit Guarantee Scheme (DGS), up to €100,000 per member. 

The Board of Directors of Charleville Credit Union had, for some time, sought to bring about a transfer of Charleville Credit Union to another credit union on a voluntary basis. However, this was found not to be feasible.

The ILCU is conscious of the demand for the services of a credit union in the local area and the restoration of services is of the utmost priority. The ILCU, in its capacity as the largest trade and representative organisation of credit unions on the island of Ireland, will work to help deliver a solution on this.

Each credit union is an independent, autonomous entity and as such the resolution of Charleville Credit Union does not impact upon the position of any other credit union. Overall, the credit union movement is strong and extremely well capitalised.

-ENDS-

 

Additional Information

ILCU figures to end June 2017 show that;

  • There are over 260 credit unions in the Republic of Ireland and the total capital held by these credit unions is €2.4 billion.
  • Credit union loan provisions exceed loan arrears by €104 million, and this buffer is in addition to the capital reserves of €2.4 billion held.
  • Credit unions now have €934 million in excess capital above the 10% minimum capital-to-assets requirement.
  • The average capital-to-assets ratio among ILCU credit unions is 16.4%.

Members of Charleville Credit Union will receive compensation in respect of their eligible deposits up to €100,000 per person. The DGS will make payments to members of Charleville Credit Union in the coming weeks.

 

<< Return to 2017