Essex based Credit Union enters administration

Basildon Credit Union has entered administration.

Dina Devalia and Michael Kiely of business advisory firm Quantuma have been appointed as joint administrators of financial cooperative.

Founded in 1987, the credit union is based in Basildon, Essex and acts as a financial cooperative, offering its members financial security through saving and borrowing. The Credit Union entered administration due to regulatory and solvency issues. The credit union’s office in Basildon will close immediately.

All members funds, below the £85k limit, will be protected and repaid in full by the Financial Services Compensation Scheme (FSCS). All loan members will be required to continue repaying their loans in this administration, in line with the loan agreement.

Dina Devalia, Managing Director at Quantuma, said ““Eligible members of Basildon Credit Union don’t need to worry as their money is safe and their money will be returned by the FSCS. You don’t need to do anything to get your money back – anyone with a deposit with the credit union should look out for a cheque in the post from the FSCS in the next few days.

“We are working with the FSCS to ensure that eligible members receive their money back as soon as possible. We will also be on hand by email or phone to assist members with any queries that they may have on issues such as loan repayments or the transfer of benefits to alternate financial institutions.”