Update for members of Southend Credit Union

11th May 2011

The Financial Services Compensation Scheme (FSCS) has been notified of the closure of Southend Credit Union on 6 May 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 Southend 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. We will aim to pay any remaining compensation claims (i.e. those that are likely to be more complex) within twenty working days. Members of the credit union will not need to apply for compensation – we expect to send their compensation to them automatically.

Southend Credit Union members do not need to contact the FSCS. Until we receive all the information about members’ accounts from the credit union, we are unable to answer any account specific questions that members may have. However, we will provide a further update on our website within the next seven days.