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The Credit Unions (Increase in Limits on Deposits by persons too young to be members and of Periods for the Repayment of Loans) Order 2001

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Citation and commencement

1.  This Order may be cited as the Credit Unions (Increase in Limits on Deposits by persons too young to be members and of Periods for the Repayment of Loans) Order 2001 and shall come into force on 1st April 2001.

Interpretation

2.  In this Order—

“the 1965 Act” means the Industrial and Provident Societies Act 1965; and

“the 1979 Act” means the Credit Unions Act 1979.

Increase in limit on shareholding

3.  In section 9(1) of the 1979 Act(1) for “£750” (specifying the maximum amount of the deposits which may be taken from a person who is under the age at which he may become a member of a credit union registered under the 1965 Act) there shall be substituted “£5,000”.

Increase in periods for the repayment of loans

4.—(1) The specified periods for the purposes of subsection (4) of section 11 of the 1979 Act (maximum periods for repayment of loans) are—

(a)in relation to a secured loan, seven years; and

(b)in relation to an unsecured loan, three years.

(2) The specified periods for the purposes of subsection (4A) of that section (which, as a result of section 11B(1) and (4) of the 1979 Act, has effect if the credit union has a certificate of approval under section 11C of that Act) are—

(a)in relation to a secured loan, twelve years; and

(b)in relation to an unsecured loan, five years.

Geoffrey Fitchew

Chief Registrar of Friendly Societies

5th March 2001

We consent to this Order.

Jim Dowd

Greg Pope

Two of the Lords Commissioners of Her Majesty’s Treasury

8th March 2001

Yn ôl i’r brig

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