Darlington Credit Union

ForumUser7

Has anyone had any experience with Darlington Credit Union for Savings please? 

I’m thinking about opening an account with them, but I had a couple of questions to ask them first, and Google says they don’t seem to pick up the phone, and emails sometimes go without a response. I’ll try next week, as they aren’t open at weekends, but I was wondering how people have found them please?

Thanks

flaneurs_lobster

Can I ask why that particular Credit Union or indeed any any CU? I looked at saving at my local CU and the savings rates were very low and certainly not guaranteed. 

I have a small "investment" in a CU but it's for ideological reasons, not to make money. 

ForumUser7

flaneurs_lobster said:

Can I ask why that particular Credit Union or indeed any any CU? I looked at saving at my local CU and the savings rates were very low and certainly not guaranteed. 

I have a small "investment" in a CU but it's for ideological reasons, not to make money. 

Sure - it'd be that credit union because I am in the 'common bond' (living in their operating area), and because they are currently offering what appears to be a pretty decent Christmas Regular Saver. Rather than interest, you get a £25 payment in Nov 2023 if you meet the conditions of the account.

Wheres_My_Cashback

Credit Unions - Risky, judging by the number which fail, but you're protected via the FSCS of course.

ForumUser7

Wheres_My_Cashback said:

Credit Unions - Risky, judging by the number which fail, but you're protected via the FSCS of course.

@Wheres_My_Cashback Good point - that's the main reason I didn't hold an account before. That said, DCU had some cash flow trouble back in August, and Darlington Building Society (and the local council I believe too) helped them out - https://www.darlington.co.uk/news/darlington-credit-union-praises-darlington-building-society-for-providing-a-lifeline/ https://www.bsa.org.uk/media-centre/bsa-blog/december-2022-(1)/guest-blog-supporting-our-sector-to-support-the-mo.

If DCU were in further financial trouble, it is possible DBS or the council would help again, but if not, as you've said, it's FSCS protected. I would only be depositing a relatively small amount monthly too, so any FSCS or postal delay wouldn't cause issues

Bridlington1

Many Credit Unions let you deposit by DD, which could be useful for reward accounts/switching incentives. I don't know if Darlington does so you'd have to check with them but I know the HEY credit union does. If they do fail, you are still protected by the FSCS, so although likely a pain, you would still get your money back.

I've just had a quick skeg at that Christmas saver and it appears that if you just deposit the bare minimum of £10/mth for 6 months, the £25 bonus equates to an effective interest rate of 41 2/3%. I would grab this one myself but live about 30 miles outside of their operating area.

Luckily HEY credit union are doing a similar thing so I shall grab that one instead so thanks @ForumUser7 for this.

subjecttocontract

I don't see anything on their websites that show their operating areas. Can someone in Essex deposit in their Christmas saver....Darlington &/or Hey ?

ForumUser7

subjecttocontract said:

I don't see anything on their websites that show their operating areas. Can someone in Essex deposit in their Christmas saver....Darlington &/or Hey ?

For DCU, no - it's in the rulebook:

flaneurs_lobster

subjecttocontract said:

I don't see anything on their websites that show their operating areas. Can someone in Essex deposit in their Christmas saver....Darlington &/or Hey ?

Start the application process to see the restrictions.

To save with or borrow from a CU you need to be a member of that CU. Each CU will have their own criteria for what constitutes the "Common Bond" between members but the most common (!) are living or working in a defined geographical area or having a common employer. Some of these can be very broad (being a teacher or a Civil Servant or employed by the NHS) or living in a particular city.

If you look at eg The Darlington CU then to apply for the Xmas Saver (and therefore membership) you have to reside locally or work for a local employer. 

Bridlington1

Judging by that map I'm even closer to their operating area than I thought. Just 15 miles out. Never mind- I can always move I suppose.

Anyone living in Bridlington or Filey will be laughing now. They can get both the HEY and the Darlington Christmas savers.

brucefan_2

Thanks for the heads-up on this. I do live in the PostCode catchment area

Just completed the online application form.

David