Crownsavers Savings
The minimum saving (‘share’) is £2 weekly or £10 per month. Lump sums – can be deposited into savings, but are not taken into account when making decisions about loans. The maximum amount that a member can have in their savings can vary, as it is based on a percentage of the total savings, but it is currently £10,000. A member must have at least £1 in their account to retain membership.
Members usually receive a yearly dividend on their savings, the amount being decided at the AGM. It is paid gross of income tax. By law it can be anything up to 8% dividend may vary according to the surplus available for distribution. This compares favorably with other financial institutions, particularly as savings can usually be withdrawn with minimum notice.
Members can withdraw their savings at anytime by giving five working days’s notice to our office. We Endeavour to honor any request within that time, However, the Credit Union can require a longer period of notice (not exceeding 60 days) if large sums are to be withdrawn. Where a member has an outstanding loan, a proportion of the savings cannot be withdrawn to act as security for the loan. Members can open a ‘savings only’ account from which they can make withdrawals freely, as long as they give the required period of notice.
The Credit Union carries Savings and Loan Life insurance on all members, in the sad event of a member’s death, this insurance is paid by the Credit Union. This means that the person nominated as the beneficiary will receive not only the savings but may also be eligible for an additional sum. An outstanding loan, up to a maximum of £10000, would be paid off. (Age restrictions may apply).
How safe are Credit Unions?
Credit Unions are regulated and authorised by the Financial Services Authority. This is the same regulator as banks and building societies and all other providers of financial services in Britain. Members of Credit Unions with savings are protected by The Financial Services Compensation Scheme.
The scheme provides the following levels of compensation on savings: 100% compensation for the first £2000 of savings and 90% compensation for the next £33,000 of savings.
Savings and Loan Life Insurance
Member’s savings & loans are covered by our free life insurance policy. In general, every pound saved is matched by a pound of life insurance.
In the event of permanent disability or death, outstanding loans are cleared under the terms of the insurance policy.
Upon the death of a member, Member’s next of kin will receive up to or double the savings, depending on the age of the member.
The amount of members insurance is based on:
a) the insured balance of savings on the date of death and
b) how old the member was on that date as follows:
16-64 years old- The amount of insurance is equal to 100%
65-79 years old- The amount of insurance is equal to 25%
Useful Documents
Please be reminded that when you take a loan, you are using other members savings. So it is up to you to ensure that you repay your loan, so that others can benefit too!
Crownsavers_membeship_application_form.pdf
(Application Form)