Credit Union or bank?

Reasons why joining and using a credit union is better than a bank

Here in Angus we have a range of financial providers to choose from. Angus Credit Union and the multinational banks both offer saving and loan facilities – so how are you going to choose which one to use?

Here are a few things to consider about our credit union:

1. Angus Credit Union is much more concerned with helping people to develop a balance between saving and borrowing, than just wanting to make money out of people – banks are more interested in just encouraging people to borrow.
2. Angus Credit Union is willing to arrange  small loans for our members  – banks only want you to take out a loan if it is for a larger amount, otherwise they want you to use a credit card or an overdraft. Neither of these helps  you to establish a pattern of regular repayment, which is the most effective way of paying off a loan; banks would prefer you to be continually in debt.
3. With Angus Credit Union, loan repayments are structured so that as you  pay each instalment, a small proportion of the repayment goes into your savings. At the end of the loan repayment period, you have paid off the loan and also have more money in your savings. Banks don’t do this.
4. Angus Credit Union loans come with inbuilt loan protection insurance, so that if you die while the loan is still being paid back, no-one else is left with the burden of paying back the loan. Any sort of loan protection insurance from  a  bank costs extra money; with a Angus Credit Union this is provided at no extra charge to you.
5. Angus Credit Union is a responsible lender; we won’t offer you a loan that you will struggle to repay. The global financial crisis showed us that banks were willing to lend more to people than they were able to repay. Has anything changed?
6. Using Angus Credit Union is keeping local money circulating in the Angus local economy; using a bank means that the profits are going outside the local economy to the shareholders of the bank, which are usually other big  corporations. Angus Credit Union is owned and operated by its members for  their own benefit  -  there are no external shareholders, and any surplus that the credit union creates is returned to the members.

If you live or work in Angus, make a smart move with your money – use Angus Credit Union instead of a bank for safe savings and affordable loans.

Reasons to Join a Credit Union in Scotland

Why choose a credit union in Scotland?

If I was going to speak directly to Scotland and ask everyone, “Why choose a credit union in Scotland?” I would have a lot to say! With all the financial problems brought about by the recession and big banks it’s not been an easy time in Scotland. Here’s a couple of reasons why choosing a credit union in Scotland would see some benefits.

Loan Sharks – Credit Union in Scotland biting back!

Firstly, by choosing a credit union in Scotland would fight back against loan sharks in our communities. For too long Scottish communities have struggled against poverty, and many people have been paying £100s and £1000s in interest which was unnecessary. Credit unions in Scotland offer low cost loans. Sometimes 300%+ cheaper than unsecured loans through doorstep lenders.

I’m quite passionate about this. It was one of the first reasons that credit unions developed in Canada in 1897, when a man from Montreal ended up paying $5000 in interest on a $150 loan. Does this sound familiar?

Unfortunately, so many people in Scotland today are suffering from similar situations over 100 years later. It’s quite ironic that in our civilized country, where we protect animals, the environment and 100s of other causes, we haven’t yet protected our own families from extortionate interest rates.

That’s where your Credit Union in Scotland comes in! Completely regulated by the Financial Services Authority, Credit Unions in Scotland offer an alternative solution to turning to doorstep lenders, whether regulated or not. Most Credit Unions in Scotland have low cost loans, usually between 12 & 28%. Angus Credit Union, a Credit Union in Angus, Scotland, offers low interest loans at 12.68%. That’s a lot lower than you’ll get from Mr Shark on your doorstep!

Learn to Save – Credit Union in Scotland building good financial habits

It’s been quite a while since Scottish people learnt to save up for consumer goods, holidays, and most anything! We have been sold a story by credit card companies, department stores, and society in general that “You’re worth it!”, and why should you wait to save up for your new car/laptop/washing machine/whatever when you can “Buy Now, Pay Later!”.

This kind of thinking has put many Scottish people in financial difficulties. In the days before credit cards were so widespread, families saved up for things they wanted, putting a little money aside each week, until the jar was full and there was enough money to pay for the item in cash. Credit unions in Scotland are firm believers in saving up for something special. Angus Credit Union, for example, is taking their junior savings scheme, Smiley Savers, into local schools. The children learn about the value of money, and save regularly, bringing in their pennies and pounds to be collected and deposited in their member account with Angus Credit Union.

Re-learning to save is happening with the school children in Angus, and also adults! Most of the advertising with Angus Credit Union (and other Credit Unions in Scotland) is based around saving up for Christmas, holidays, or a new appliance. Whatever your need, your credit union in Scotland can help you save for the future.

Savings and low cost loans with your Credit Union in Scotland!

 

 

We’re Insured! Your money is Safe with ACU!

After the Farepak fiasco and now the global financial meltdown there has never been a better time to join your local credit union. It’s good to know that Angus Credit Union keeps your money safe and secure. We are insured for all circumstances, so you can feel peace of mind that your money is secure with Angus Credit Union.

• We carry Fidelity Bond insurance to protect your money from fraud or theft. This covers
  • Employee or director dishonesty
  • Loss of money via loss, theft or fraud on the premises or in transit
  • Employees’/members’ property stolen during robbery or burglary
  • Fraudulent deposit or forgery
  • Electronic crime
• We also carry general insurance to provide the credit union with coverage for the day-to-day problems which may affect our business. This includes our office contents, public liability and employers liability cover.

Regulations – Inside and Out – Angus Credit Union

After the Farepak fiasco and now the global financial meltdown there has never been a better time to join your local credit union. It’s good to know that Angus Credit Union keeps your money safe and secure. We are regulated by the Financial Services Authority for all circumstances, so you can feel peace of mind that your money is secure with Angus Credit Union.

• The Financial Services Authority registers and regulates every financial institution in the UK, including credit unions. Our staff and directors have to abide by detailed rules about how to do business and keep records, and we have to send regular reports of our activity to the Financial Services Authority.

• We have a Supervisory Committee that is entirely separate from the staff and board of directors. Their job is to make periodic checks of the transactions and accounting procedures, as well as the day-to-day running of the credit union, and to report on their findings.

• We have a Money Laundering Officer whose job it is to ensure that the credit union isn’t being used to cover up illegal financial activity.

Your Money Is Safe with Angus Credit Union

One benefit of being part of a Credit Union is the peace of mind you can have that your money is safe and secure:

• If the worst were to happen and the credit union ran into problems, the Financial Services Compensation Scheme (FSCS) would pay back every penny of each member’s savings. Each member can save a maximum of £10,000 which is well below the FSCS threshold of £50,000.

• This is the same scheme that covers all the banks and building societies, and after the run on Northern Rock it was improved even further.