Frequently Asked Questions

Barrow & District Credit Union Limited, 1-3 The Mall, Barrow-in-Furness, Cumbria LA14 1HL

  1. Barrow & District Credit Union Limited – what has happened to it and is my money safe?

You do not need to worry as your money is safe.

On Thursday 16 September 2021, Barrow & District Credit Union Limited was placed into Administration and has now ceased trading. James Sleight and Peter Hart of PKF Geoffrey Martin & Co Limited (“PKF GM”) are the appointed Joint Administrators.

The Financial Services Compensation Scheme (“FSCS”) declared Barrow & District Credit Union Limited in default (which means it has failed) on 16 September 2021.

  • What is the Financial Services Compensation Scheme (FSCS)?

FSCS protects the customers of authorised financial services firms, such as Barrow & District Credit Union Limited. This means FSCS protects any savings you have with this credit union up to £85,000. FSCS is a free service.

  • What do I need to do to get my money back?

You do not need to do anything. FSCS will automatically pay you back your savings according to the account information it receives from Barrow & District Credit Union Limited. FSCS will contact you by post.

  • How soon will I get my money back?

In most cases, FSCS aims to make payment within seven days from 16 September 2021, the date Barrow & District Credit Union Limited was declared in default. For more complex cases, which may require further investigation, FSCS will aim to settle claims within 10 working days of the default.

  • How will FSCS pay me back my money?

FSCS will send the credit union members a cheque by post in an unmarked envelope.

  • How will FSCS calculate how much payment I am entitled to?

FSCS will receive information from Barrow & District Credit Union Limited that will detail your individual credit balance. The amount you receive will be the balance on your account at 16 September 2021, the date FSCS declared Barrow & District Credit Union Limited in default.

  • What should I do if I disagree with the amount FSCS has paid me and I have not banked the cheque?

If you disagree with the amount paid by FSCS, please contact the Administrators’ team in the first instance on 01229 520130 or 01229 870110, or alternatively on 0113 244 5141; or e-mail bdcu@pkfgm.co.uk and they will look into your query. Do not return your payment to FSCS unless you are specifically requested to do so.

  • I do not have another bank account. What should I do with my cheque?

You will need to open a bank account with another deposit taker (e.g. a bank, a credit union, building society or the Post Office) so that you can bank the cheque as soon as possible. If your salary or benefits are paid into your account at Barrow & District Credit Union Limited, you will need to open a new account elsewhere. You must also tell your employer or the Department for Work and Pensions. See below for important contact details for benefit matters.

  • Can FSCS make a payment directly to my account with another bank?

No. FSCS will pay you your compensation by sending you a cheque in an unmarked envelope.

  1. I have heard that my Barrow & District Credit Union Limited savings account will no longer operate. What should I do?

Barrow & District Credit Union Limited saving accounts will no longer operate. If your salary or benefits are paid into your savings account, you will need to open a new bank account as soon as possible. You should contact your employer, pension provider or the Department for Work and Pensions (DWP) to tell them to pay your salary or benefits into your new account.

If direct debits or standing orders are paid into your Barrow & District Credit Union Limited saving account, you will need to arrange for these payments to be paid into your new account. You should cancel any existing arrangements that direct these payments to your Barrow & District Credit Union Limited savings account.

Some useful contact details are as follows: If you are in receipt of any of the following benefits:

• Jobseeker’s Allowance

• Income Support

• Employment and Support Allowance

• Universal Credit

• Personal Independence Payment

• Disability Living Allowance

You can contact your local Jobcentre, or telephone the DWP on the following Freephone numbers:

• Employment Support Allowance (ESA) – 0800 169 0310

• Income Support (IS) – 0800 169 0310

• Jobseekers Allowance (JSA) – 0800 169 0310

• Universal Credit (Live Service) – 0800 328 9344

• Universal Credit (Full Service – e.g. online account) – Put a note in your journal (if you cannot access your account call 0800 328 5644)

• Personal Independence Payment (PIP) – 0800 121 4433

• Disability Living Allowance (DLA) – 0800 121 4600

All customers will need to provide details of an alternative bank or building society to enable future DWP payments to be made.

To have your benefit payments paid into an alternative bank, building society or local credit union account you will need to contact the following agencies with your new bank details: 

Housing Benefit – Details of the local council (local to the establishment of Barrow & District Credit Union Limited):        
Website: https://www.barrowbc.gov.uk/residents/council-tax/council-tax-and-housing-benefits-contacts/
Contact details for Customer Services:
Email: benefits@barrowbc.gov.uk         
Telephone: General Enquiries: Tel. 01229 404242, 8.30am to 5.00pm    Monday to Thursday and 8.30am to 4.30pm on a Friday (Revenues & Benefits have a dedicated telephone team who answer all general enquiries from members of the public).

Working Tax/Child Tax Credits. This is HM Revenue & Customs administered benefit. To change a bank account details, you will need to contact HMRC on 0345 300 3900 (ideal route) or write to CAST (BC), WP1012, TCO, Waterview Park, Mandarin Way, Washington, Tyne & Wear NE38 8QG.

Child Benefit. This is HMRC administered also. To change your bank account details, you can do this online using the HMRC webpages from www.gov.uk or telephone 0300 2003100. Alternatively, you can write to HMRC at HM Revenue & Customs, Child Benefit Office, PO Box 1, Newcastle Upon Tyne NE88 1AA.

If you need help in contacting these agencies, your local Citizens Advice Bureau should be able to help you.

If you need help in opening a Basic Bank Account, again, your local Citizens Advice Bureau should be able to help you. Alternatively, please visit your local high street bank. Below are the details of a Citizens Advice Bureau that is near the offices of Barrow & District Credit Union Limited.          

  • Details for the Citizens Advice Bureaux in Barrow:

                Ramsden Hall, Abbey Road, Barrow-in-Furness, Cumbria LA14 5QW

Telephone: Advice line – 0808 2787 817

Website: http://www.barrowcitizensadvice.org.uk/

  • Opening Hours: The CAB website advises that you can get still get full advice via the phone 0808 2787 817 from 9.15am to 4pm, Monday to Friday. They advise that they offer telephone appointments for in-depth advice and ongoing casework. They may ask you to email, post or drop paperwork into their office but that they will make every effort to deliver the service you need.

Further information on Basic Bank Accounts can be found on the internet, one such example can be found at www.moneysavingexpert.com/banking/basic-bank-accounts

  1. My child has a savings account with Barrow & District Credit Union Limited. What will happen to his/her savings?

For junior members, FSCS will send a payment in the name of the account holder for the balance of their account at the date of default. If the account is operated by an adult on behalf of the child, the cheque will be sent to the account operator’s address, if that has been registered with the credit union, but the payment will be issued in the child’s name. A new account in that name will need to be opened with an alternative provider. We cannot pay to parents or guardians.

  1. I hold a Child Trust Fund account with Barrow & District Credit Union Limited. What do I do?

If you are the holder of a Child Trust Fund account, the process for FSCS to reimburse your savings is different to that for other account holders. Payment can only be made to an alternative Junior ISA provider rather than returned directly to the account holder. The Administrators will shortly be writing to the registered holders of Child Trust Fund accounts with Barrow & District Credit Union Limited with further information about this.

  1. I make regular payments to my account each month by standing order. Should I cancel the standing order now?

If this payment relates solely to savings, you should cancel it as no further money will be credited to your savings account. You can cancel the standing order at any branch of your bank or building society, over the phone or via secure online banking. However, you will need to give your bank/building society a couple of days’ notice before the payment is due to come out of your account. If your standing order also relates to loan repayments, do not cancel it and please see point 14 below.

  1. I had a loan with Barrow & District Credit Union Limited. Will I have to repay it, and should I cancel the standing order?

Do not cancel any repayments as your loan agreement remains in place and you must maintain your repayments as originally contracted.

Future loan repayments will be managed by the Joint Administrators, James Sleight and Peter Hart of PKF GM, who will contact you about this and provide you with the Administration bank account details as soon as they are able to.

If you made payments covering both loans and savings then the Administrator will be able to advise you of the net payment required to be made each month in respect of your loan so that you do not fall into arrears.

For further information about your loan, please call in the first instance 01229 520130 or 01229 870110, or alternatively on 0113 244 5141; or email bdcu@pkfgm.co.uk and they will look into your query.

Barrow & District Credit Union Limited is no longer accepting loan repayments through a service point. Please contact the Joint Administrators’ team on 01229 520130 or 01229 870110, or alternatively on 0113 244 5141; or email bdcu@pkfgm.co.uk to discuss arrangements for the repayment of your loan by alternative means.

  1. Can I open up an alternative credit union account?

Members/junior depositors who wish to open a new credit union account can do so with alternative credit unions. The website www.findyourcreditunion.co.uk may help in seeing the options available.

  1. A payment was transferred into my credit union account around the time FSCS declared Barrow & District Credit Union Limited in default. This amount does not appear to have been credited. Will the balance on my account be updated to reflect this payment?

FSCS will receive information from Barrow & District Credit Union Limited which will detail the individual credit balances of all accounts held by its members at the date of default, 16 September 2021. Any amounts paid into the account after the Administration date will not be added to your savings balance and will be dealt with by the Joint Administrators, who you can contact in the first instance on 01229 520130 or 01229 870110, or alternatively on 0113 244 5141; or email bdcu@pkfgm.co.uk.

  1. Do I need to notify FSCS if I have recently changed address?

FSCS will send payment to the address that Barrow & District Credit Union Limited holds on its database. 

If you did not notify Barrow & District Credit Union Limited of your change of address before it was declared in default, or you notified Barrow & District Credit Union Limited of this change but did not receive confirmation from it  that its records had been updated before it was declared in default, FSCS will need to see evidence of the change of address before any compensation payment can be made.

Please contact the Joint Administrators’ team in the first instance on 01229 520130 or 01229 870110, or alternatively on 0113 244 5141; or e-mail bdcu@pkfgm.co.uk and supply the team with evidence of the change of address. Once confirmed, FSCS will be instructed to make payment to the new address.

Documents that can be used as evidence include a council tax bill, a utility bill (not a mobile phone bill) or benefits entitlement letter, so long as they are less than three months old.

  1. Do I need to notify FSCS if I have recently changed my name?

If you have already banked the cheque payment, you do not need to take any further action. If you have not received your payment or are unable to bank the cheque provided in the name it is sent in, we will need to see evidence of your name change before any payment can be made.

You will need to provide original documentation or certified copy of an official document showing your change of name – for example, a marriage certificate or deed poll – and this will allow us to update our records and process the claim.

Please contact the Joint Administrators’ team on 01229 520130 or 01229 870110, or alternatively on 0113 244 5141; or email bdcu@pkfgm.co.uk with evidence of the change of name and once confirmed they will instruct FSCS to make payment in the new name.

Documents that can be used as evidence include marriage certificate or a deed poll. Additionally, you will need to provide a council tax bill, or a utility bill (not a mobile phone bill) or benefits entitlement letter with your new name, so long as they are less than three months old.

  1. I am the executor of a depositor who has recently died. Do I need to contact FSCS?

If the estate has already banked the cheque payment, you do not need to take any further action. If the estate has not received the payment, you will need to send FSCS the original Death Certificate, Grant of Probate and a copy of the will or letter of administration. These should be original documents. These documents are required before FSCS can make a payment.

However, should you wish to contact FSCS regarding any issues that you may have, please call freephone 0800 678 1100 or 020 7741 4100. Lines are open Monday to Friday 8.30am to 5.30pm.

Alternatively, you can send these documents to the Joint Administrators by email to bdcu@pkfgm.co.uk or by post to Barrow & District Credit Union Limited c/o PKF Geoffrey Martin & Co Ltd, Third Floor, One Park Row, Leeds, West Yorkshire LS1 5HN. The Joint Administrators will then contact FSCS to enable the compensation payment to be made.

  • How will I be able to find out what is happening?

In the first instance, you should contact the Joint Administrators’ team on 01229 520130 or 01229 870110, or alternatively on 0113 244 5141; or email bdcu@pkfgm.co.uk.

If you have a query about compensation from FSCS, further information is on its website at www.fscs.org.uk; or call freephone 0800 678 1100 or 020 7741 4100. Lines are open Monday to Friday 8.30am to 5.30pm.