The first regulated credit union to be declared in default to its customers will now see its 1,100 customers compensated by the Financial Services Compensation Scheme (FSCS), after becoming insolvent.
Members of the Hackney South Credit Union Limited who may have lost money will now receive information from the FSCS about possible return of deposits made. Ron Devlin, FSCS interim chief executive points out most the average credit union members had less than £2,000 deposited which means they should get 100% of their money back – based on FSA rules for deposit compensation - and 90% of the remainder up to £31,700 hopefully with. IFAonline
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