A leading financial services provider in the community of East London, London Community Credit Union (LCCU) was established in 2000 as Tower Hamlets Credit Union and served as part of the council’s anti-poverty initiative. One year later, Tower Hamlets Credit Union was recognised as the fastest growing credit union in the UK and became a major partner in the Department for Work and Pensions (DWP) Growth Fund which promote improved and provided affordable access to credit for financially marginalised groups. In 2010, we rebranded as LCCU after expanding into Hackney, Newham and surrounding boroughs.
LCCU is now one of the largest credit unions in London with over 14,000 members and five branches. One of the relatively few credit unions to offer a full range of banking services, including Current Accounts, LCCU is regulated by the Financial Conduct Authority (FCA) and the Prudential Regulation Authority (PRA) – formerly the Financial Services Authority (FSA). This means all savings up to £85,000 are guaranteed under the Financial Services Compensation Scheme
Unlike a bank, interest is not paid on savings accounts as profits are shared among all members at the end of the year, in the form of a dividend payment, which is announced at the Annual General Meeting (AGM).
Credit unions are the positive, local solution to your financial needs, Not-for-profit financial co-operatives, owned and managed by its members. Credit unions also promote social and financial wellbeing amongst their members by offering fair and affordable access to credit.
How it works?
Members are encouraged to save a little on a regular basis, £1.00 per week or £5.00 a month as a minimum. The pooling of members savings will help them and other members achieve financial security. Savings are mainly in the form of shares. Member’s share savings are pooled together, and used as a common fund from which members can apply for low cost loans. The more you save, the more you can borrow. Interest paid on loans is the Credit Unions main source of income. Income generated is used to provide member services and pay dividends based on members share savings.
All Members of the Credit Union must belong to a COMMON BOND. A common bond is something that all members have in common. In this case the common bond is Tower Hamlets, Hackney, Newham, City of London, Haringey, Islington and Waltham Forest.. All members must live and work or study in the same geographical area or be a relative of and live with an existing member of the Credit Union. Only those individuals who meet the criteria of the common bond can become members.
Who can join?
Anyone who fulfils the requirements of the common bond can join the Credit Union.
Members must be at least 18 years old before they are eligible to take a loan.
Individuals under the age of sixteen can join as a Junior Saver.
Help run LCCU
As a not-for-profit community organisation, we rely heavily on our excellent team of dedicated volunteers.
We encourage members to get more involved in the credit union, and welcome applications for our range of volunteering opportunities.