SurreySave credit union to open at start of 2012

A credit union for Surrey which was first conceived eight years ago will be open for business at the start of 2012.

SurreySave credit union has received its formal registration from the Financial Services Authority (FSA) meaning it can offer savings and loans.

Credit unions are small-scale savings and loan co-operatives that typically serve people on low incomes.

SurreySave chairman David Wright said it could offer people a service who may have been turned down by banks.

Loan sharks

He said: "The FSA has scrutinised our business plan and agreed that we now have enough funding to establish our long-awaited credit union.

"We will provide an alternative to high-cost credit and loan sharks, helping families to keep their financial heads above water.

"It will give a safe home for people's savings which are 100% guaranteed by the Financial Services Compensation Scheme."

The added benefit was that people would know their savings were being used in the local community to help support Surrey's economy, he added.

The credit union was set up by volunteers from across Surrey who secured support and funding from partners such as local councils, housing associations and local trusts.