CORK, Ireland–Four credit unions in this city and Limerick with combined assets of €128 million said they are planning to merge in a bid to cut costs.
The merger involves Mallow, Millstreet and Buttevant and Doneraile credit unions in Cork and the Dromcollogher credit union in Limerick.
All four unions, which combined have seven branch offices and more than 28,000 members, have been in discussion about the possibility of coming together for the past year, according to The Independent.
The merger will create one of the largest credit unions in the country, with member savings of up to €125 million and a loan portfolio of €32 million.
The four credit unions said the merger will create a stronger and more robust credit union, which can offer savings and loan products at more competitive and sustainable rates.
The CUs assured members would see no change in the day-to-day operations of the unions.
The boards of all four credit unions involved expect the legal requirements to be completed in the coming weeks.
“With regulatory requirements becoming more stringent, larger credit unions have the ability to grow and offer stability and security to members whose requirements are evolving on a constant basis,” said Tomás O’Neill, chief executive of Mallow Credit Union.
The number of credit unions in Ireland has been steadily declining due to mergers, and now stands at around 300 from a pre-financial crash high of 425.