We have now lent over £7.8M in more than 7,227 loans. Why not become a corporate member of Essex Savers?
Essex Savers is the credit union for the whole of Essex. We are owned by our members who save with us, entitling them to low cost and flexible loans that offer a vital alternative source of funds. Predatory lenders charge between 200% -15,000% APR, compared to our maximum of 42.6%. By helping to cut indebtedness, we reduce the problems associated with it, including crime and family breakdown. Banks these days often fail to lend at all to people or businesses in need. We do.
We can now welcome corporate members to:
- Save with us
- Invest in us through deferred shares and subordinated loans and provide even more funds for ethical investment
- Encourage their employees to join us
- Borrow from us at competitive interest rates rather than rely on unresponsive High Street banks.
Saving with us
Corporate membership is for businesses rather than individuals. You save with us, knowing that your money is secure and that it will attract a dividend if the credit union is surplus. You can also promote Essex Savers to your staff and allow them to save and borrow with us by payroll deduction.
By placing a deposit with us, and not a High Street bank, you will know that the money will help the local community and not support bonuses or large payouts to shareholders. Deposits may be withdrawn upon request.
Your funds will be carefully lent out at between 12.68% and 42.6% APR, compared to over 200% by many doorstep and payday lenders. Rather than perpetuate the cycle of debt, we aim to eliminate it.
Deposits of up to £85,000 are protected by Financial Services Compensation Scheme (FSCS) for organisations with up to £1,400,000 in assets. Like the rest of the financial services industry, the deposits of large organisations are not covered by the FSCS. For further information click on the FSCS logo on the left.
Investing in Essex Savers
Businesses can also make a subordinated loan to Essex Savers or invest in deferred shares.
These are crucial additions to our capital base, enabling more lending and helping us to meet the now more stringent reserve requirements of the Bank of England. Click on the relevant tabs for details.
If your organisation would like to take out a Corporate Membership Account with us, please click the button below to download the Corporate Membership Application form. Once your organisation has been allocated a membership number, you will be sent details of how to deposit and withdraw funds. The membership fee is £5, with a minimum deposit of £20.
By advancing a subordinated loan to Essex Savers, you are adding to our capital reserves. These provide the foundation for lending to our growing number of members, enabling many to escape a spiral of debt. Your investment also helps us to meet the more stringent reserve ratios now required of financial institutions in the wake of the credit crisis.
The loan is for a minimum of 5 years and will attract a dividend if Essex Savers is in surplus, something made more likely by your investment. This length of time allows us to plan more effectively and meet our members' needs more fully.
Please note that you cannot withdraw your loan before the expiry of the minimum term and that, as "subordinated" to members' shareholdings, it is not covered by the Financial Services Compensation Scheme in the highly unlikely event of default.
However, all loans will be repaid in full after the agreed period.
If you have any further questions, please discuss them with Alison Davies on 01245 496235 or email her at email@example.com.