Savings

Saving regularly gives you financial security, independence and peace of mind.

A savings cap of €30,000 per member is operated by this credit union.

Members' savings are protected by life savings insurance, where your savings (also known as 'shares') are doubled in the event of your death up to age 55 (subject to certain terms and conditions) - a Member between age 55 and 70 years will receive a reduced amount.

Members can withdraw their shares at any time provided they are not being used as security (pledged) against a loan.

Members can have as many accounts as they wish. They have the option of having two saving accounts under the one account number, a "regular" shares account and a "cash savings" account. We refer to savings as shares so when you become a member, you become a share holder.

Members can nominate a person/persons as beneficiaries (nominees) of their savings up to a maximum of €23,000. The Nomination Form is very simple to complete and can be changed or cancelled at any time. Completing a Nominations Form ensures that in the event of a Member’s death, their savings, up to the maximum of €23,000, will be distributed quickly and with the minimum of fuss, thus avoiding probate delays. This is a unique facility only available to credit union Members. This is a unique facility available only to Credit Unions and could be described as a ‘Mini Will’.

Types of Share Account

A Member must open and retain a Regular Share Account. Each €1 placed into this account is equal to 1 Share. This account will form the basis of the Member’s relationship with the credit union and it is into this account that all funds will be deposited and from which funds will be withdrawn.

It is also into this account that any dividends, if so declared by the Directors, will be paid. Members should note that all dividends will be paid net of Deposit Interest Retention Tax (DIRT), unless they are exempted in accordance with Revenue rules (refer to https://www.revenue.ie/en/additional-incomes/dirt/index.aspx for more information on DIRT and exemptions).

Members who deem themselves to be not liable to DIRT must provide documentary evidence to the credit union to support this. Members who are exempt will be able to set up an ‘Non-DIRT Account’ which will essentially take the place of the Regular Shares Account and which will retain the same privileges as a Regular Share Account.

Members should be aware that the credit union has an obligation to make regular declarations to the Revenue, disclosing the details of dividends paid and DIRT deducted.

Return on Savings

Each share held with the Credit Union is eligible for a dividend, but a dividend is only paid if the Board Of Directors deem there is a sufficient surplus of funds at the end of the financial year, 30th September. Dividends are paid on a pro-rata basis based on the amount of shares each Member holds relative to all other Members. A dividend is the return on your shares and is paid by the credit union out of surplus.

Dividend amounts depend on:

• The amount of shares saved.
• The amount of surplus funds available after all the running costs and regulatory provisioning has been accounted for.

Only the Members of the Credit Union can receive a dividend.

Savings' Security

Kilcloon Credit Union, like all credit unions, is closely monitored by the Central Bank of Ireland and must comply with a range of legal and regulatory requirements and is required to maintain a robust set of policies and procedures in order to protect Member savings.

Kilcloon Credit Union is affiliated to the Irish League of Credit Unions and Members savings are secured in several ways:

• All officers (Board members, staff and volunteers) are “fidelity bonded"
• Savings up to a limit of €7,700 per Member are protected by the Savings Protection Scheme administered by the Irish League of Credit Unions
• Members' savings within certain limits are insured through Life Savings Insurance.
• The Government guarantees the first €100,000 total savings for each individual Member.
• Monthly financial statements are prepared and reviewed by management and the Board of Directors, are subject to an annual external audit and can be reviewed by Members on request.
• Quarterly financial returns are required to be submitted to the Central Bank for review and approval.