Dial-A-Cab Credit Union Ltd
Failed 04 October 2018
The Financial Services Compensation Scheme (FSCS) has announced the failure of Dial-A-Cab Credit Union Ltd, based in London, which was declared in default on 4 September 2018.
Dial-A-Cab Credit Union Ltd has been placed into Administration with Jo Milner and Stephen Cork of Cork Gully LLP appointed as Administrators.
This means the credit union can’t repay money to its 1,250 members. FSCS is stepping in to protect customers and return money to most members within our seven-day target, covering up to £85,000 for individuals and up to £170,000 for joint accounts. We expect to pay over £21,000,000 to nearly all 1,250 customers within seven days of the failure being declared.
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Customers don’t need to do anything. FSCS is a free service and we’ll automatically return customers’ savings according to the information we receive from Dial-A-Cab Credit Union Ltd. The information will detail customers’ individual balances at the date of Dial-A-Cab’s failure: 4 September, 2018.
We’ll contact you by post in an unmarked envelope. Customers with up to £1,000 in their account will receive a letter to get cash-over-the-counter from their Post Office. For balances over £1,000 you’ll receive a cheque. Customers who don’t have another bank account should open one as soon as possible to bank their cheque.
If you have a child with a Dial-A-Cab savings account we’ll send payment in their name. If an adult operates the account on a child’s behalf, we’ll make the cheque out in the child’s name and send it to the adult’s address (if the address was registered with Dial-A-Cab).
We aim to return customers’ money within seven days from 4 September, when we declared Dial-A-Cab in default. If a case is more complex we’ll settle claims within 20 working days.
If for whatever reason, you disagree with the amount we have paid, please contact the Administrators on 020 7268 2150 or email DACCU@corkgully.com and they’ll look at your query. Don’t return the payment to us unless you’re specifically asked to do so.
Commonly asked questions
Any payments transferred to your account after 4 September won’t be added to your balance – the administrators will deal with them.
You'll be contacted directly by the liquidators with further details.
The £85,000 limit (or £170,000 for joint accounts) is the maximum compensation we’re allowed to pay, as set under our Deposit Protection Rules by the Prudential Regulation Authority (PRA).
However, you may be eligible to make a temporary high balance claim with us. The temporary high balance would need to have been in your account for no more than six months before Dial-A-Cab’s failure on 4 September and relate to certain life events. You would need to provide evidence to us to support any claim.
You can find further details on the temporary high balances page.
Any account you held with Dial-A-Cab will no longer operate. So if your salary and benefits are paid into your account, you’ll need to open an account elsewhere – and tell your employer or the Department for Work and Pensions.
Members/junior depositors who'd like to open a new credit union account can do so with alternative credit unions. The website https://www.findyourcreditunion.co.uk/ should help in finding alternatives.
If you have any payments coming into your account by standing order you should cancel them, as no further money will be credited to your savings account. You can cancel standing orders at any branch of your bank or building society, over the phone or by 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 is for a loan repayment though, don’t cancel it. Any loan agreement you had with Dial-A-Cab will remain in place and you must maintain your repayments as originally contracted. The Administrators will manage future loan repayments and they will contact you about this.
If you made payments covering both loans and savings then the Administrator can advise you of the net payment you need to make each month for your loan so you don’t fall into arrears.
We’ll send any payment to the name and address that Dial-A-Cab held on its database.
For any name change, you’ll need to provide an original document or certified copy of an official document showing your change of name, for example a marriage certificate or deed poll.
For a change of address, if you didn’t tell Dial-A-Cab of your address change, or told them but didn't get a confirmation letter, we’ll need to see evidence of the address change. This can be through a document such as a council tax bill, utility bill (but not mobile phone bill), or benefits entitlement letter – the letter must be less than three months old.
Please contact the administrators and once confirmed they’ll instruct us to make payment in your new name or to your new address as appropriate.
If the estate has already received cash over the counter, or banked the cheque payment, you don’t need to do anything. If the estate hasn’t received the payment, you’ll need to provide at least one proof of identity in the form of the Grant of Probate or Letters of Administration. If neither is available you'll need to provide a will and death certificate.
Please provide the relevant document to the administrators who will then contact us so we can arrange payment.