Credit unions

A credit union is a financial co-operative owned by its members. The members create the credit union and pool their money to run it as a mutually-beneficial financial community.

Credit unions offer similar services to banks and building societies – like deposits, savings and loans – but, unlike banks, offer non-profit services to their members.

If your credit union goes out of business and is unable to pay back your savings, FSCS will step in to ensure you get your money back. We will automatically pay you compensation - you don’t need to do anything.

Banks & building societies

Banks, building societies & credit unions

If you hold money with a UK-authorised bank, building society or credit union that fails, we’ll automatically compensate you.

  • up to £85,000 per eligible person, per bank, building society or credit union.
  • up to £170,000 for joint accounts.

We protect certain qualifying temporary high balances up to £1 million for up to six months from when the amount was first deposited.

You don’t need to do anything – FSCS will compensate you automatically.

How long will the credit union claim process take?

7 days

FSCS aims to pay compensation within seven days of a credit union failing. We will pay more complex claims within 15 working days.