Slieve Gullion Credit Union

Slieve Gullion Credit Union is a Northern Ireland credit union with over 4,000 local members¹. It offers savings accounts, personal loans and a range of everyday money services including bill payment and benefit receipt. It is a member-owned financial co-operative, which means the people who save with it also own it.

The credit union's main products are loans and savings. Loans include a Dream loan of up to £50,000 above a member's shares, repayable over one to ten years, and a Back to school loan of up to £500 over 12 months¹. Savings are held as shares, and members can pay in by direct debit, standing order or through a Quick Lodge envelope system at the office².

Slieve Gullion Credit Union Limited is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority³. Its Financial Services Register reference number is 573711³. Eligible deposits are protected up to £120,000 per eligible depositor under the Financial Services Compensation Scheme⁴.

What Slieve Gullion Credit Union offers its members

Slieve Gullion Credit Union provides savings accounts and loans to its members, along with a number of other services. Credit unions generally offer loans, savings and current accounts, and larger ones add services such as Christmas savings accounts, ISAs, budgeting accounts and debt management⁵. Slieve Gullion's own range includes loans, savings, bill payment facilities and insurance benefits.

The credit union operates as a financial co-operative, which means it is owned by its members rather than by shareholders⁶. Each member owns a share of the credit union, and savings are held in a share account⁷. This structure means the credit union's purpose is to serve its members, not to generate profit for outside investors.

Slieve Gullion Credit Union also offers a merchant service facility allowing members to make payments at the office or over the telephone using their bank cards, and a PayPoint terminal for paying bills⁸. These services sit alongside the core savings and loans.

For a wider look at how credit unions work across the UK, see Credit unions: a complete guide.

Loans: Dream loans, Back to school loans and longer terms

Slieve Gullion Credit Union offers two named loan products. The Dream loan allows members to borrow up to £50,000 above their shares, with terms ranging from one to ten years¹. The maximum term for loans over £10,000 is 10 years¹. The Back to school loan has a maximum amount of £500 over 12 months¹.

Credit union loans more generally are available to members, and some credit unions will lend as soon as you become a member while others require you to save for a set period first⁵. Affordability is checked against the money you have left after paying your bills⁵. You need to be a member of a credit union to get a loan from it, and some will ask you to build up savings first⁹.

Credit unions are one of the alternatives to high-cost short-term credit such as payday loans¹⁰. Other options include budgeting loans, bank overdrafts and salary advances¹⁰. For a full explanation of how loans work, see Loans: a complete guide.

How loan charges and repayments work

There are no administration charges, hidden fees or transaction charges on the Back to school loan, and no hidden fees or transaction charges on loans generally¹. You can pay off your loan early, make additional lump sum repayments or increase your regular repayments without a penalty².

Credit union loans typically use the repayment plus interest method, where the amount paid each month is repayment plus interest at a reducing rate, so the initial payments are greater than the final payments¹¹. Repayments are calculated on your reducing balance, so you pay less interest with each repayment¹². This means the interest charge falls as the loan balance falls.

If a loan requires a guarantor, the guarantor jointly and severally guarantees the repayments by the borrower of all sums on the note at the times and manner set out in the note². The borrower and guarantor severally pledge all paid shares, all payments on account of shares, and all deposits in Slieve Gullion Credit Union Limited as security for repayment of the loan². Your savings remain intact during the loan².

Saving with the credit union and paying in

Savings with a credit union are called shares, because each member owns a share of the credit union⁷. At Slieve Gullion Credit Union, members can pay in by direct debit weekly or monthly⁸. Credit unions more widely accept payments by payroll deduction, Direct Debit, standing order, cash at the credit union office or collection point, State benefits paid in directly, and PayPoint cards in some places⁵.

Slieve Gullion Credit Union operates a Quick Lodge system for paying in. The maximum lodgement is £500 per envelope, and coins are not permitted⁸. Envelopes are opened and checked by two members of staff who then post a receipt⁸.

Credit unions usually pay a dividend on savings annually⁵. The dividend depends on the credit union's performance and is not guaranteed. For a full explanation of savings accounts, see Savings accounts: a complete guide.

Who can join, including accounts for children

To join Slieve Gullion Credit Union, you need to fill in a membership application form and provide photo ID, proof of address and your National Insurance number¹³. Credit unions generally ask you to visit or call to confirm what information you need to join¹⁴. Some credit unions allow you to join online by clicking a join button and following the instructions, using a valid driving licence or passport as identification¹⁵.

Children under the age of 16 cannot be members of a credit union, but their parent or legal guardian may open a deposit account for them⁸. Junior accounts are available for children up to the age of 16 at some credit unions¹⁶. The parent or legal guardian must open the account, bringing the child's birth certificate plus ID requirements for the adult¹³. Some credit unions allow members to join from birth and become full members eligible to apply for loans after their 18th birthday⁷.

For a wider look at who can join a credit union and how membership works, see Credit unions: a complete guide.

Applying for a loan online, step by step

Slieve Gullion Credit Union's online loan application follows four steps: apply for loan online, upload supporting documents, application review, and e-signature and funds transferred⁸. This means you can complete the process without visiting the office.

Other credit unions have similar online processes. Lisburn Credit Union allows members to apply for a loan online and sign documents without leaving home¹¹. Some credit unions ask you to register for online access, complete an online loan application, connect your Open Banking, and provide any additional supporting documentation¹⁷. The credit union reviews the application and contacts you if additional information is needed, and once approved the loan can be paid directly into your account¹².

To apply, you will need to be a member first. If you are not already a member, you will need to join before applying for a loan⁹.

Paying bills and benefits through your credit union account

Slieve Gullion Credit Union has a PayPoint terminal that allows members to pay bills such as their TV Licence or electricity bills at the credit union⁸. It also has a merchant service facility allowing members to make payments at the office or over the telephone using their bank cards⁸.

Members can arrange to have Social Security Benefits paid into their credit union accounts by Electronic Funds Transfer⁸. Universal Credit is paid into your bank, building society or credit union account¹⁸. To claim Universal Credit, you must have an account that can receive automatic payments, which can be a bank, building society or credit union account¹⁹. Benefits are usually paid straight into your bank, building society or credit union account²⁰.

Credit union accounts can offer free features including paying in or taking out cash at the credit union, having money paid in such as wages, benefits and pensions, online, mobile or telephone banking, and budgeting advice and support²¹. Some credit unions offer current accounts, usually with no credit check or overdraft¹⁹. For more on benefits payment, see Benefits in the UK: a complete guide.

How your savings are protected

Your eligible deposits with Slieve Gullion Credit Union are covered by a statutory Deposit Guarantee Scheme²³. If the credit union becomes insolvent, your eligible deposits would be repaid up to £120,000 by the Deposit Guarantee Scheme⁴. The Financial Services Compensation Scheme protects savings up to £120,000 per eligible depositor⁴.

Credit unions are members of the Financial Services Compensation Scheme, which provides a safety net should a bank, building society or credit union collapse²⁴. If your bank goes bust, you will automatically get your money back²⁵. Savings are protected by the Financial Services Compensation Scheme⁵.

If you accept FSCS compensation, you will not be able to receive recoveries made by the liquidator in the insolvency of the credit union. Those recoveries will instead be paid to FSCS²⁶. This means that accepting compensation transfers your right to any future recoveries to the scheme.

For a full explanation of how FSCS protection works, see Consumer protection in UK financial services: a complete guide.

Where free insurance fits in and what happens to your estate

Slieve Gullion Credit Union provides a range of insurance products free as part of your SGCU benefits²⁷. Your credit loan is insured with Loan Protection Insurance². When you borrow from a credit union, you normally get free life insurance to cover the value of the loan, so the loan is repaid if you die before paying it back in full⁵.

On the savings side, credit unions often provide free life savings insurance. Savings may be automatically covered by life insurance at no cost to the saver²⁸. In the event of a valid claim, benefits may be paid to your next of kin²⁹. Some credit unions offer free life insurance on both loans and savings³⁰.

Any amounts above £20,000 including insurance will form part of your estate and will require letters of probate from your solicitors²⁷. This means that for larger sums, the normal probate process applies before the money can be released to your estate.

For more on protection insurance, see Protection insurance: a complete guide to life, income and illness cover.

Contacting Slieve Gullion Credit Union and complaining

Slieve Gullion Credit Union operates from its office in Northern Ireland. You can contact it by telephone, in person or through its website at slievegullioncu.com³. The credit union's online services include loan applications, Quick Lodge and bill payment facilities⁸.

If you have a complaint, credit unions generally have a complaints procedure. If you are not satisfied with the credit union's response, you may be able to take your complaint to the Financial Ombudsman Service. The Financial Ombudsman Service is free to consumers and can look at complaints about financial firms including credit unions.

For more on how to complain about a financial firm, see Consumer protection in UK financial services: a complete guide.