While the departure of Ulster Bank, the withdrawal of services by other banks, and now the possible departure of KBC will be upsetting for staff and customers at these entities and we sympathise with them, it is likely to be a positive milestone for credit unions.
Larger credit unions, most of which offer a comprehensive range of personal loans, SME loans and mortgages, current accounts, and excellent online facilities, have already experienced consumers switching from Ulster Bank. There is a trust issue between banks and some of their customers and while inertia has prevented many from leaving the banks, customers of these banks now need to make a decision as to who to bank with.
We believe the fact that more and more credit unions, working collaboratively, now have a full suite of products will play in their favour. This coupled with their commitment to supporting local communities throughout the pandemic is why credit unions continue to see a strong growth in performance and have expanded their position as the ‘most trusted’ organisations in Ireland.