National Fire Savers Credit Union Limited is a not-for-profit member-owned financial

co-operative A cooperative (also known as co-operative, co-op, or coop) is "an autonomous association of persons united voluntarily to meet their common economic, social and cultural needs and aspirations through a jointly owned and democratically-control ...

, based in the London Borough of

Southwark Southwark ( ) is a district of Central London situated on the south bank of the River Thames, forming the north-western part of the wider modern London Borough of Southwark. The district, which is the oldest part of South London, developed ...

and operating throughout Great Britain. It has assets in excess of £11,000,000. Membership is open to all firefighters and staff working for any of the fire and rescue authorities in England, Scotland and Wales. It is a member of the

Association of British Credit Unions The Association of British Credit Unions Limited, commonly known as ABCUL, is the leading trade association for credit unions in Great Britain. ABCUL represents around 70% of credit unions who in turn provide services to 85% of the British credit ...

Limited, registered under the Credit Union Act 1979. The

credit union A credit union, a type of financial institution similar to a commercial bank, is a member-owned nonprofit organization, nonprofit financial cooperative. Credit unions generally provide services to members similar to retail banks, including depo ...

provides a financial community where members mutually benefit by pooling their savings to lend to one another.

History

London Fire Savers Credit Union was formed in 1998, to enable London firefighters and their families to access affordable credit and secure savings. In 2010, London Fire Savers became National Fire Savers Credit Union by extension of the common bond to include all firefighters, wherever they are serving in Great Britain. From 617 active members in 1998, the credit union has steadily grown each year. As of 2018, it has 3,042 active members.Facts and figures
National Fire Savers Credit Union (retrieved 9 February 2015)

Activities

The members of a credit union must share a common bond. In the case of National Fire Savers, membership is restricted to employees of the fire and rescue services in England, Scotland and Wales. They also accept retired firefighters and fire brigade staff along with employees of the Firefighters Charity, the Fire Brigades Union and London Fire Brigade Welfare Fund. Existing members remain eligible for life, even if they leave the service or retire. National Fire Savers runs a payroll deduction savings and loans scheme in conjunction with

London Fire Brigade The London Fire Brigade (LFB) is the fire and rescue service for London, the capital of the United Kingdom. It was formed by the Metropolitan Fire Brigade Act 1865, under the leadership of superintendent Eyre Massey Shaw. It has 5,992staff, in ...

and affiliated brigades. The credit union is responsible for the operation of the scheme, with the brigade facilitating monthly deductions from salary.

Savings

Credit unions don't pay interest on savings, instead they return a dividend to members based on financial success over the previous year. Dividend is calculated after the accounts have been audited and it is approved at the Annual General Meeting. In 2017, total dividend paid by National Fire Savers was £158,088. There are three types of savings account offered: the basic membership account; Savings Plus, which pays an enhanced dividend for members with at least £1,000 to save; and the

Christmas club A Christmas club is a special-purpose savings account, first offered by various banks and credit unions in the United States beginning in early 20th century, including the Great Depression, under which bank customers deposit a set amount of money ...

, which does not attract dividend. National Fire Savers Credit Union is authorised by the Prudential Regulation Authority and regulated by the

Financial Conduct Authority The Financial Conduct Authority (FCA) is a financial regulation, financial regulatory body in the United Kingdom, but operates independently of the UK Government, and is financed by charging fees to members of the financial services industry. The ...

and PRA. Ultimately, like the banks and building societies, members’ savings are protected against business failure by the

Financial Services Compensation Scheme The Financial Services Compensation Scheme (FSCS) is the UK's statutory deposit insurance and investors compensation scheme for customers of authorised financial services firms. This means that FSCS can pay compensation if a firm is unable, or l ...

Lending

The loan policy allows members to borrow up to three times the balance of their savings plus £2,000, less the outstanding balance of any existing loans. There are five types of loan available: the Everyday Loan and Member Loans, for members of at least three months standing; the larger Non-Affiliate Loan and Affiliate Loans, for members whose contributions are collected by payroll deduction; and the Savers Loan, for those who want to keep their savings but still require a loan.Loans available from National Fire Savers
National Fire Savers Credit Union (retrieved 9 February 2015)

References

External links