Merger with Glasthule – Dún Laoghaire Credit Union

The following is a list of frequently asked questions about our merger with Glasthule – Dún Laoghaire Credit Union in July 2015.

Who are the Credit Unions involved?

Core Credit Union Ltd. is the new name for the amalgamation of Dalkey Credit Union Ltd., Sallynoggin / Glenageary Credit Union Ltd. and Shankill, Ballybrack & District Credit Union Ltd. that took place on the 19th September 2014.

Glasthule – Dún Laoghaire District Credit Union Ltd. was a Credit Union serving the communities of Dún Laoghaire and Glasthule and had been in existence since 1970 prior to the merger with Core Credit Union on the 22nd July 2015.

Why is it necessary to merge?

The number one priority of both Boards at all times is to serve the best interests of our Members. The Board of Glasthule Dun Laoghaire Credit Union Ltd made the decision to merge to ensure that vital savings and loans facilities will continue to be provided in the local community, while the Board of Core Credit Union Ltd recognized that this merger can give the Members of Core Credit Union another office for them to carry out transactions in, and an additional day of opening with the Dun Laoghaire Office being opened on Wednesdays.

How long will it take?

The merger will happen on the 22nd July and Glasthule – Dún Laoghaire District Credit Union Ltd will be closed Monday the 20th July and Tuesday 21st July to facilitate the transfer of the computer system. The doors will then re-open as Core Credit Union Glasthule – Dún Laoghaire on the 23rd July, subject to Central Bank approval

What are the books/accounts like?

Glasthule – Dún Laoghaire District Credit Union Ltd. has been unable to hold an AGM since 2011. This is due to an impairment in the value of the premises which has had the result of reducing reserves under the 10% required. The ILCU will provide finance to Glasthule – Dún Laoghaire District Credit Union Ltd. to increase its reserves subject to the transfer with Core Credit Union Ltd taking place. It is important to note that this was the only problem with Glasthule – Dún Laoghaire District Credit Union Ltd.

Core Credit Union have very strong reserves, well in excess of Central Bank Requirements.

Grant Thornton were employed to perform an independent asset review and due diligence review of both Credit Unions as part of the process and have verified this information.

Will all of the Credit Union Offices remain open?

Yes. We are proceeding with this merger to improve services for Members and build upon the success of the last 50 years of the Credit Union. As a result of the merger we be able to offer longer opening hours, Core Credit Union Glasthule – Dún Laoghaire will open from 9.45am – 5.00pm Monday – Friday and 9.45am – 12.30pm on Saturday.

Where will the staff go?

There will be no change in staffing requirements. Over time as we get stronger together and improve services, employment opportunities in Core Credit Union will improve.

Will we get an ATM/Debit Card?

As a stronger group, together we will be in a better position to provide our Members with ATM services and a Debit Card, if Members want this.

Why bother with all of this, why not stay as we are?

As you are aware, Glasthule – Dún Laoghaire District Credit Union Ltd. has not been able to hold an AGM since 2011. This has been due to the impairment on the value of the premises. This impairment has had the effect of reducing the reserves under the required amount. This merger will resolve this issue. Another reason to merge is the additional regulatory burden enforced on Credit Unions as a result of the new legislation under the Credit Union and Co-Operation with Overseas Regulators Act 2012.This act has also imposed significant additional costs on Credit Unions to become compliant with the requirements. As part of Core Credit Union it will mean Glasthule – Dún Laoghaire District Credit Union Ltd will now become compliant with all current legislation and regulation.

Will it affect opening hours?

Opening hours will increase. Core Credit Union Glasthule – Dún Laoghaire will open from 9.45am – 5.00pm Monday – Friday and 9.45am – 12.30pm on Saturdays. In addition we will be developing our online access so that Members can access all services 24/7.

Can new people join?

Yes, new Members are always welcome. We hope that more people will join and benefit from the Credit Union difference.

What will happen to the Board we have elected?

As the procedure taking place is a Transfer of Engagements, the current Board of Glasthule – Dún Laoghaire District Credit Union Ltd. will cease to operate as the Credit Union becomes part of Core Credit Union. The current Board of Core Credit Union will see out the terms of their office on which they were elected and once vacancies arise, Members from Core Credit Union Glasthule – Dun Laoghaire will become eligible to become part of the Board of Core Credit Union.

One key point is that many of the existing Members of the Board of Glasthule – Dún Laoghaire District Credit Union Ltd. will become Members of the Local Members Forum. This is a group of volunteers who will represent local Members’ interests in terms of lending, credit control and sponsorship. This is a vital part of Core Credit Union as all 5 communities have their own Local Members Forum.

As vacancies arise on the Board of Directors of Core, it is envisaged that those vacancies will be filled from the pool of Members who make up the Local Members Forum.

Will we be governed by some other Credit Union?

As Glasthule – Dún Laoghaire District Credit Union Ltd. will become part of Core Credit Union Ltd, the Credit Union will be governed by the Board of Core Credit Union. It is important to note that the Board of Core Credit Union represents all the Members of Core Credit Union and makes the decisions based on the best interests of all the Members.

Will the Credit Union still be able to give loans?

Yes, yes and yes. Members of Glasthule – Dún Laoghaire District Credit Union Ltd. will still be able to apply for and receive loans from their local office, nothing will change on that part. In fact, you may find that there are more options now when borrowing, including Covered Loans at a reduced rate, Education Loans at a reduced rate and First Charge Loans at a reduced rate.

Will I be expected to go to the other Credit Unions to get my money?

Everything will remain the same for you as a Member, however a huge benefit will be that you can, if you wish, go to any five of the Core Credit Union offices to avail of the services.

Is this happening because of bad debts?

No. We will continue to be prudent and responsible decisions on behalf of our Members and we will continue to priorities provisioning and reserves to protect your interests.

The Net Assets of Glasthule – Dún Laoghaire District Credit Union Ltd. are a negative – Is our money safe?

Yes, your money is safe, it is covered by the government deposit guarantee scheme. As part of the transfer to Core Credit Union the short fall in Glasthule – Dún Laoghaire District Credit Unions reserves will be rectified with a contribution from the Irish League of Credit Unions SPS funds. Core Credit Union has reserves well in excess of the regulatory requirements, 15% while the required percentage is 10%. This will be the position post merger.

What new services will we be able to access?

As a Member you will be able to access many new services such as Budget accounts, Credit transfers, Bill Pay, Foreign Exchange, Online access, Smartphone access and in time a wider range of loan and insurance products. We will also be launching a new Payment account to Members shortly which will enable them to have an account that can perform all the electronic transactions that a Current Account can. This Payment account will have a Debit Card facility allowing ATM and Point of Sale transactions at a later date.

What impact will this have on me as a Member?

This will have a positive impact for you as a Member. Decisions will continue to be made locally, your Credit Union will still be here, but you will have access to better services and can conduct your business in any of the five Core Credit Union offices.  The successful merger of the three Credit Unions who formed Core Credit Union last year has been met with extremely positive reactions.  Members have only seen positive changes, with increased services, increased offices, a new website, online access, and our recently launched car draw.

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