Staffordshire Credit Union

 

Unfortunately Staffordshire Credit Union (‘Staffordshire’) went into Administration on 18 September 2017 and has now permanently closed.

The Joint Administrators are working closely with Staffordshire Credit Union Limited’s regulator (the Prudential Regulation Authority) to ensure that the credit union’s affairs are wound up as efficiently and as quickly as possible.

Staffordshire is no longer able to offer any accounts to members and the Financial Services Compensation Scheme (FSCS) declared Staffordshire in default on 18 September 2017. 

Please contact the team detailed below if you have a specific query or request.

Savings Accounts

You do not need to do anything to make a claim for your Staffordshire savings balance with  FSCS. You should immediately cancel any standing orders (including government benefit payments or employers) and stop depositing monies into your Staffordshire savings account.  If you also have a loan with Staffordshire please see below before taking any action.  If you do not have an alternative current or savings account, you will need to set up a new account urgently.

FSCS obtained your address and account balance details from Staffordshire’s records.  FSCS aims to pay compensation (up to a compensation limit of £85,000) to the vast majority of eligible account holders within 7 days of default (18 September 2017). 

If you deposited amounts into Staffordshire Credit Union on Tuesday 19th September 2017, this may not be reflected in the initial amount received from the FSCS. An additional payment will be made to you shortly. If you do not receive this, please contact our team either at scu@corkgully.com or on 0333 444 3005.

If you have a balance below £1,000, you will receive a letter to get cash over the counter at the Post Office. .  Cheques will be issued for balances of more than £1,000.

If your account is overdrawn, you will need to make arrangements to repay your overdrawn balance.  You will receive a further letter if this is the case.

Loans with Staffordshire Credit Union

You are required to maintain your agreed payments on your loan(s).  You should not cancel any standing orders.  The account details for payment remains unchanged.

If you have previously paid your loan by standing order and some of your standing order went to your savings account, the full amount of your standing order going forward will be considered a loan repayment.

Please note that if your loan account was in arrears as at 18 September 2017, overdue payments have been deducted from your savings balance in accordance with Staffordshire Credit Union’s terms and conditions.

If you have any questions in relation to your loan, please contact scu@corkgully.com or ring our collections team on 01904 676 633.

For Further Information

FSCS has further information available on its website at https://www.fscs.org.uk/

If you have any questions about a loan with Staffordshire Credit Union wor the administration in general please email scu@corkgully.com or telephone 0333 444 3005.

If you have a specific query about FSCS compensation, further information can be obtained from their website at www.fscs.org.uk; or by calling freephone 0800 678 1100 or 020 7741 4100. Telephone lines are open Monday to Friday 08.30 to 17.30.

 

Frequently Asked Questions

Staffordshire Credit Union Limited

  1. Staffordshire Credit Union Limited - what has happened to it and is my money safe?

You do not need to worry as your money is safe. 

On 18 September 2017, Staffordshire Credit Union Limited was placed into administration and has now ceased trading. Jo Milner and Stephen Cork of Cork Gully LLP have been appointed as Administrators. The Financial Services Compensation Scheme (FSCS) declared Staffordshire Credit Union Limited in default on 18 September 2017.  

2.     What is the Financial Services Compensation Scheme (FSCS)?

FSCS protects the customers of authorised financial services firms, such as Staffordshire Credit Union Limited. This means FSCS protects any savings you have with this credit union up to £85,000 and does not charge savers for using its service.

  1. What do I need to do to get my money back?

You do not need to do anything. FSCS will automatically pay you back your savings according to the account information it receives from Staffordshire Credit Union Limited. FSCS will contact you by post.

  1. How soon will I get my money back?

For the vast majority of cases, FSCS aims to pay compensation within seven days from the date Staffordshire Credit Union Limited was declared in default, 18 September 2017. For more complex cases, which may require further investigation, FSCS will aim to settle claims within 20 working days of default.

  1. How will FSCS pay me back my money?

If you have a balance below £1,000, you will get a letter to get cash over the counter at the Post Office. To receive payment, take this letter to any Post Office counter, with personal identification, as outlined in that letter. If you have a balance over £1,000, you will receive a cheque. In both events, we will contact you by post in an unmarked envelope. 

  1. How will FSCS calculate how much compensation I am entitled to?

FSCS will receive information from Staffordshire Credit Union Limited which will detail your individual credit balance.  The amount of compensation you receive will be the balance on your account as at the date FSCS declared Staffordshire Credit Union Limited in default, 18 September 2017.

  1. What should I do if I disagree with the amount of compensation FSCS has paid me and I have not banked the cheque or received cash over the counter at the Post Office?

If you disagree with the amount of compensation paid, please contact the Administrators – Cork Gully LLP, 52 Brook Street, London W1K 5DS; telephone 0333 444 0053; or email scu@corkgully.com who will look into your query. Do not return your payment to FSCS unless you are specifically requested to do so.

  1. I do not have another bank account. What should I do with my compensation cheque?

You will need to open a bank account with another deposit taker (e.g. a bank, a credit union, building society or the Post Office) as soon as possible in order to bank the cheque. If your salary or benefits are paid into your account at Staffordshire Credit Union Limited, you’ll need to open a new account elsewhere – and tell your employer or the Department for Work and Pensions. See below for important contact details for benefit matters.

  1. Why doesn’t FSCS pay all members of Staffordshire Credit Union Limited by cheque?

Some people may need the money and do not have another bank account that they can pay a cheque into.  The “cash over the counter” option is very flexible and allows people to have access to their money much more quickly than a cheque for a small balance. 

  1. Can FSCS make a compensation payment directly to my account with another bank?

FSCS is not in a position to make electronic money transfers to other banks. FSCS makes payments either by cheque or by cash over the counter.

  1. I have heard that my Staffordshire Credit Union Limited savings account will no longer operate. What should I do?

Staffordshire Credit Union Limited saving accounts will no longer operate. If your salary or benefits are paid into your savings account you will need to open a new bank account as soon as possible. You should contact your employer, pension provider or the Department for Work and Pensions (DWP) to tell them to pay your salary or benefits into your new account.

  1. My child has a savings account with Staffordshire Credit Union Limited. What will happen to his/her savings?

For junior members, FSCS will send a payment in the name of the account holder for the balance of their account at the date of default. If the account is operated by an adult on behalf of the child then the cheque will be sent to the account operator’s address, if that has been registered with the credit union, but the cheque will be made out in the child’s name. A new account in that name will need to be opened with an alternative provider.

  1. I make regular payments to my account each month by standing order. Should I cancel the standing order now?

If this payment relates solely to savings then you should cancel it as no further money will be credited to your savings account. You can cancel the standing order at any branch of your bank or building society, over the phone or via secure online banking. However, you will need to give your bank/building society a couple of days’ notice before the payment is due to come out of your account. If your standing order also relates to loan repayments do not cancel it and please see point 14 below.

  1. I had a loan with Staffordshire Credit Union Limited. Will I have to repay it and should I cancel the standing order?

Do not cancel any repayments as your loan agreement remains in place and you must maintain your repayments as originally contracted. Future loan repayments will be managed by the Administrators, Jo Milner and Stephen Cork of Cork Gully LLP, 52 Brook Street, London W1K 5DS, who will contact you about this. If you made payments covering both loans and savings then the Joint Administrators will be able to advise you of the net payment required to be made each month in respect of your loan so that you do not fall into arrears. For further information about your loan, please call our collections team on 01904 676 633.

Staffordshire Credit Union Limited is no longer accepting loan repayments through the service points. If you have previously paid your loan through a service point, please contact our collections team on 01904 676 633 to arrange payment of your loan via cheque or bank transfer.

  1. Can I open up an alternative credit union account?

Members/junior depositors who wish to open a new credit union account have the opportunity to do so with alternative credit unions, whose common bond extends to cover geographical area served by Staffordshire Credit Union Limited.

  1. A payment was transferred into my credit union account around the time FSCS declared Staffordshire Credit Union Limited in default. This amount does not appear to have been credited. Will the balance on my account be updated to reflect this payment?

FSCS will receive information from Staffordshire Credit Union Limited which will detail the individual credit balances of all accounts held by its members at the date of default, 18 September 2017.  Any amounts paid into the account after the administration date will not be added to your savings balance and will be dealt with by the Administrators, who you can contact on 0333 444 3005 or via email at scu@corkgully.com.

  1. Do I need to notify FSCS if I have recently changed address?

FSCS will send payment to the address that Staffordshire Credit Union Limited hold on their database. If you did not notify Staffordshire Credit Union Limited of your change of address before it was declared in default, or you notified Staffordshire Credit Union Limited of this change but did not receive confirmation from them that their records had been updated before it was declared in default, FSCS will need to see evidence of the change of address before any compensation payment can be made. Please contact the Administrators – Cork Gully LLP, 52 Brook Street, London W1K 5DS; telephone 0333 444 3005 or email scu@corkgully.com – with evidence of the change of address and once confirmed they will instruct FSCS to make payment to the new address. Documents that can be used as evidence include a council tax bill, a utility bill (not a mobile phone bill) or benefits entitlement letter, so long as they are fewer than three months old. 

  1. Do I need to notify FSCS if I have recently changed my name?

If you have already received your cash over the counter, or banked the compensation cheque, you do not need to take any further action. If you have not received your compensation payment or are unable to bank the cheque provided in the name it is sent in, we will need to see evidence of your name change before any payment can be made. You will therefore need to provide original documentation or certified copy of an official document showing your change of name, for example a marriage certificate or deed poll, and this will allow us to update our records and process the claim. Please contact the Administrators – Cork Gully LLP, 52 Brook Street, London W1K 5DS; telephone 0333 444 3005 or email scu@corkgully.com – with evidence of the change of name and once confirmed they will instruct FSCS to make payment in the new name. Documents that can be used as evidence include marriage certificate or a deed poll, additionally, you will need to provide a council tax bill, or a utility bill (not a mobile phone bill) or benefits entitlement letter with your new name, so long as they are fewer than three months old. 

  1. I am the executor of a depositor who has recently died. Do I need to contact FSCS?

If the estate has already received cash over the counter, or banked the compensation cheque, you do not need to take any further action.  If the estate has not received the compensation payment, you will need to send FSCS the Death Certificate, Grant of Probate and a copy of the will or letter of administration. These should be either certified copies or original documents.  These documents are required before FSCS can make a compensation payment. However, should you wish to contact FSCS regarding any issues that you may have please tel. freephone 0800 678 1100 or 020 7741 4100. Lines are open Monday to Friday 08.30 to 17.30.   

Alternatively, you can present these documents to the Joint Administrators, Cork Gully LLP. You can contact them at scu@corkgully.com, 0333 444 3005 or at Cork Gully LLP, 52 Brook Street, London, W1K 5DS. The Administrators will then contact FSCS to enable the compensation payment to be made.

  1. How will I be able to find out what is happening?

In the first instance, you should contact the Administrators on 0333 444 3005 or via email at scu@corkgully.com.   

If you have a query about compensation from FSCS, further information can be obtained from their website at www.fscs.org.uk; or by calling freephone 0800 678 1100 or 020 7741 4100. Lines are open Monday to Friday 08.30 to 17.30.