THE FINANCIAL SERVICES COMPENSATION SCHEME (FSCS) IS AWARE THAT THE 380 CHEQUES IT SENT ON 5 APRIL 2018 TO MEMBERS OF SOUTH TYNESIDE CREDIT UNION LIMITED (TRADING AS FIRST FOR MONEY) CONTAIN A PRINTING ERROR AND CANNOT BE CASHED. MEMBERS WITH MORE THAN £1,000 IN THEIR ACCOUNT WHO RECEIVED A CHEQUE FOR THEIR BALANCE DIRECT FROM FSCS ARE AFFECTED.
FSCS IS ACTING QUICKLY TO PUT THIS RIGHT AND INTENDS TO ISSUE REPLACEMENT CHEQUES TO AFFECTED MEMBERS OF THE CREDIT UNION BY NO LATER THAN MONDAY MORNING (9 APRIL 2018). THIS MEANS THESE MEMBERS SHOULD RECEIVE THE REPLACEMENT CHEQUES BY TUESDAY (10 APRIL 2018). IN THE MEANTIME, TO AVOID CONFUSION, FSCS HAS CANCELLED THE CHEQUES IT HAS ALREADY ISSUED TO THE 380 MEMBERS AFFECTED.
South Tyneside Credit Union Limited trading as First For Money Credit Union (“STCU”) (In Administration)
Dina Devalia and James Sleight of PKF Geoffrey Martin & Co were appointed as Joint Administrators of STCU on 4 April 2018.
The Financial Services Compensation Scheme (FSCS) has also declared the credit union in default, which means that all savers monies are protected and will receive their funds.
Dina Devalia, of Geoffrey Martin & Co, said: “All of South Tyneside Credit Union’s savers will have their balances returned by the FSCS. They don’t need to do anything to get their money back; savers should look out for a letter in the post from the FSCS in the next few days.”
STCU has now ceased trading and is not expected to re-open.
Don’t worry, your money is safe.
You do not need to do anything to make a claim for your STCU savings balance with the FSCS as they will sent you payment in respect of your account balances as at 3 April 2018 very soon.
Your benefits, salary or other regular deposits into your STCU account.
You need to contact DWP or any other government offices that handle your benefits and give them new account details for another account in your name. If you do not have an account with any other bank of credit union, you will need to set one up immediately.
Loans with STCU
You need to continue to make your payments on your loan(s) until it is paid off. You should not cancel any standing orders in relation to your loans.
The Joint Administrators will write to you shortly to provide the Administration bank details in order that you may change the payee details, however in the meantime you should not cancel any standing orders in relation to your outstanding loan.
For Further Information
FSCS has further information available on the HERE, along with our frequently asked questions HERE.
For any queries please contact in the first instance the office of STCU at South Shields on 0191 454 7677 or Sunderland on 0191 514 7491 or the PKF Geoffrey Martin & CO Limited team on 0113 244 5141 or email firstname.lastname@example.org.