Update for members of South East Birmingham Community Credit Union
25th January 2011
The Financial Services Compensation Scheme (FSCS) has been notified of the closure of South East Birmingham Community Credit Union on 21 January 2011. We are aware that members of the credit union have been unable to access their money since that date.
We are working with the Financial Services Authority (FSA) to establish whether or not South East Birmingham Community Credit Union is able to return savings to its members. If the credit union can’t pay back the money it owes its members, we will declare it ‘in default’ and will aim to pay compensation to eligible members in the majority of cases within seven days of the default date. We will aim to pay any remaining compensation claims (i.e. those that are likely to be more complex) within twenty working days of the default date. Members of the credit union will not need to apply for compensation – we expect to send their compensation to them automatically.
Until we receive all the information about members’ accounts from the credit union, we are unable to answer any account specific questions that members of South East Birmingham Community Credit Union may have. Therefore members should not contact the FSCS at this stage.