Redcar & Cleveland CU declared in default

28th October 2014

FSCS will protect more than 800 members of Redcar & Cleveland Money Tree & Glen Credit Union (Redcar & Cleveland CU) after it was would up on 24 October 2014. The credit union is based in Redcar.

FSCS states that most savers will get their money back within seven days.

Using credit union records, FSCS will automatically send you your payment – you don’t need to do anything.

800 savers have around £200,000 with Redcar & Cleveland CU. Members with up to £1,000 will receive a letter to get cash over the counter at their Post Office. Anyone with more than £1,000 will get a cheque.

Mark Oakes, Head of Communications at FSCS, says: "FSCS is protecting Redcar & Cleveland Credit Union members. We're ready to help; your savings are safe. We will get your money back to you within the next week. The process is automatic so you won't have to apply for compensation. We will pay up to £85,000, so every member of the credit union is protected."