Derby United Credit Union Limited payments in the post

17th April 2015

Compensation on the way for hundreds of Derby savers

Payments have now been made to some 500 members of Derby United Credit Union the Financial Services Compensation Scheme (FSCS) says.

The payments were in the post only days after the credit union, based in Derby, East Midlands, was placed into administration on 13 April 2015. It delivers on the FSCS promise to pay back members within a week.

Credit union records show nearly 500 members of Derby United Credit Union were due compensation for the deposits they held.

Kate Bartlett, Director of Operations, says: “FSCS protects people when authorised financial services firms have ceased trading. So I’m pleased to confirm FSCS payments have now been made to members of the Derby United Credit Union. It is good news for those members.”

FSCS is aware that the credit union held over £173,000 on deposit for its members. People with less than a thousand pounds will receive a letter to get cash over the counter at their Post Office. Anyone with more than this will receive a cheque.

FSCS protects savings up to £85,000, which covers about 98% of people in the UK with bank, building society or credit union accounts. Since 2001, FSCS has protected more than 4.5m people and paid out more than £26bn. You can find out more about FSCS protection for deposits at https://protected.fscs.org.uk/

For more information, visit our Q&As for deposits.

Jargon Buster

  • Credit union

    a financial co-operative which is owned and controlled by its members.
  • Deposits

    money placed in a bank or similar institution to earn interest or for safe-keeping.