Ballyhackamore Credit Union

Ballyhackamore Credit Union is a not for profit credit union based in east Belfast. It takes savings from members and lends to members, and it is open to anyone living or working within its common bond, the area that links its members together¹. Its website is www.bhcu.co.uk².

Credit unions are not for profit community lenders that provide affordable loans and savings³. They are owned by their members rather than by shareholders, and every member shares a common bond, which can be an area you live or work in, an employer or industry, or a trade union⁴. Ballyhackamore's own rule is that you must be living or working within its common bond, and it states that this also applies to minor accounts¹.

Money with the credit union is covered by the Financial Services Compensation Scheme, the same protection that applies to a bank or building society account³. The sections below set out what it offers, who can join, how to apply, and what happens if something goes wrong.

What Ballyhackamore Credit Union offers members

The credit union offers the two things a credit union is built around: somewhere to save and somewhere to borrow. It describes itself as providing safe and affordable financial services, and its services page covers savings accounts, loans and life savings insurance for eligible members⁵. Credit unions generally provide loans, savings, bank accounts and other services to their members, and many offer a wider choice that can include junior savings accounts, Christmas savings accounts, prepaid debit cards, insurance products and cash ISAs⁶.

What that means in practice is that a member's savings and borrowing sit with the same organisation. The credit union's savings page states that to open a savings account you have to be a member, so membership comes first and the account follows⁷. Its loans page sets out how borrowing works, including that savings are held as security on a loan and that a loan may be insured, subject to terms and conditions, at no direct cost to the borrower⁸.

The credit union does not publish a rate card on the pages covered here, and rates are not repeated on this page. For today's loan and savings terms, its own site is the place to look. If you are weighing up whether a credit union or a bank suits you better, the guide to credit unions explains how the two differ, and savings accounts and loans cover the wider market.

Who can join: the common bond

Membership of a credit union is based on a common bond, and all credit unions in the UK may only accept members who have one⁴. The bond can be a geographical area, an employer or industry, or a trade union, and anyone in the household of a person who has a common bond with a credit union can usually join as well⁴.

Ballyhackamore Credit Union's rule is short: you must be living or working within its common bond, and the same applies to minor accounts¹. Working in the area is enough on its own, so someone whose job is in the area but who lives elsewhere is within the rule. Other credit unions in Northern Ireland use the same living or working wording, including Kilkeel Credit Union and Newtownhamilton Credit Union, whose common bond is described as the area members live in¹.

Some credit unions have widened their reach. Capital Credit Union states that its common bond means most people in the UK can become a member, and the trade body for credit unions has reported that eligibility is widening to include students, local workers and relatives of existing members¹¹. Where a credit union's bond is narrow, the practical step is to check the specific rule before applying, because a common bond is a condition of membership rather than a formality.

Savings with Ballyhackamore Credit Union

Savings at a credit union are usually described as shares, because a member's money represents a stake in the organisation rather than a deposit with a bank. Ballyhackamore Credit Union puts it plainly: every £1 saved equals one share in the credit union⁷. That is the same idea other credit unions use, where savings are called shares⁷.

You have to be a member to open a savings account, so the membership application comes first⁷. Once you are in, credit unions generally let members pay in or take out cash at the credit union, have money paid in such as wages, benefits and pensions, and use online, mobile or telephone banking, along with budgeting advice and support, all without a charge⁶. Members can save at a level that suits them, whether that is a small regular amount or a larger sum⁶.

Credit unions are not for profit, so the point of the savings book is to fund lending to other members rather than to pay a return to outside shareholders³. Alongside a straightforward savings account, credit unions commonly run junior savings accounts and Christmas savings accounts, and some offer cash ISAs⁴. For the wider picture on where savings can sit, the guide to savings accounts and the guide to ISAs set out the alternatives.

Member extras: the AXA insurance discount

Ballyhackamore Credit Union states that, in conjunction with AXA Insurance, it may be able to offer members a discount on their home and car insurance⁵. The arrangement is between the credit union and the insurer, so the credit union's own site is where to ask how it works and which policies it covers.

The cover itself is AXA's, not the credit union's. AXA publishes the policy documents for its home insurance, which set out the features and benefits that come as standard, and its car insurance includes 90 days of cover in Europe and an emergency helpline¹². AXA car insurance also offers optional extras that a policyholder can add, including breakdown cover, legal cover, personal injury and rehabilitation, courtesy car cover, a courtesy car upgrade, and cover to protect a no claims discount¹⁴. Breakdown cover can be added within the first 14 days of a policy starting or when the policy is due for renewal, and courtesy car cover is available to AXA car insurance customers who are making a valid claim¹⁵.

Those details describe AXA's own products and are not a statement of what the credit union's discount includes. Anyone weighing up insurance should look at the guide to insurance for how cover types compare, and treat the discount as one factor among several rather than a reason on its own.

How to join and bank with Ballyhackamore Credit Union

Joining a credit union normally starts with a membership application, and credit unions differ in how much of it can be done remotely. Some, such as Willowfield Credit Union, let you join online using an online membership form and submit the requested documents online or by dropping them in¹. Others, such as Ballykelly Credit Union, ask you to complete a membership form obtained at the credit union office¹. Ballyhackamore Credit Union's own membership page is the place to check which route applies, and its online application allows you to save a partial application and return later, provided you make a note of the reference number¹.

Once you are a member, borrowing follows its own process. For loans covered by savings, the credit union states that you can apply online or in office without filling in an application form, and that staff can process these the same day⁸. For loans above savings, you fill in an application form, available in the office or to download, and leave the completed form at the office; that form cannot be emailed⁸.

Day to day, credit union accounts generally cover paying in and taking out cash at the credit union, having wages, benefits and pensions paid in, and online, mobile or telephone banking, along with budgeting advice and support⁶. If you are comparing this with a high street account, the guide to current accounts explains what banks and building societies offer, and the guide to how to covers everyday money tasks step by step.

1. Check you are within the common bond: living or working in the area¹.
2. Complete the membership application, online or at the office, and submit the documents requested¹.
3. Open a savings account once your membership is in place⁷.
4. For a loan covered by your savings, apply online or in office; staff can process these the same day⁸.
5. For a loan above your savings, complete the application form and leave it at the office; it cannot be emailed⁸.

How your money is protected at Ballyhackamore Credit Union

Savings and loans in credit unions are protected by the Financial Services Compensation Scheme, which is set up to protect you if your bank, building society or credit union runs into financial difficulty³. Savings held in a credit union have the same financial protection as savings in a bank account¹⁷. The scheme covers deposits up to a set limit per person per firm, and the current limit is published by the scheme itself.

Credit unions are also regulated. Credit unions in Great Britain and Northern Ireland are regulated by the Financial Conduct Authority and the Bank of England's Prudential Regulation Authority³. Ballyhackamore Credit Union appears on the Financial Conduct Authority Register as authorised, and its permission is to accept deposits². It also appears on the Prudential Regulation Authority's list of credit unions incorporated in the UK¹⁸. Credit unions in the Republic of Ireland are regulated separately by the Central Bank, which does not apply to a Northern Ireland credit union³.

Beyond the rules they operate under, credit unions commonly hold insurance against fraud and theft, and some describe their savings as fully protected by the Financial Services Compensation Scheme up to the scheme limit³. Where a credit union lends, it may also insure the loan itself: Ballyhackamore Credit Union states that a loan may be insured, subject to terms and conditions, at no direct cost to the borrower⁸.

Contacting Ballyhackamore Credit Union and complaining

The credit union's website, www.bhcu.co.uk, carries its membership, savings and loan information and its contact details². Its loans page notes that application forms are available in the office or to download, and that completed forms for loans above savings are left at the office rather than emailed, which tells you the office is the centre of how it operates⁸.

If you have a complaint, the usual route is to raise it with the credit union first and give it the chance to put things right. If you are not satisfied with the response, the Financial Ombudsman Service is the independent body that can look at complaints about financial firms, and it is free to use¹⁹. The ombudsman service is the same one that handles complaints about banks, insurers and lenders, so a credit union member has the same route as any other financial customer.

For free, impartial help with money more generally, MoneyHelper is the government backed service, and debt advice charities can help where borrowing has become difficult²⁰. If you are struggling with repayments, the guide to debt sets out the options, and the guide to consumer protection explains the rules that sit behind complaints and compensation. If you are looking for a different credit union, the Find Your Credit Union website can help you locate one, and the Association of British Credit Unions can be reached on 0800 015 3060²¹.