6Towns CU

Malcolm Keyte Business Development Manager

6Towns – Sandwell & Worcestershire

Presentation to

6Towns CU Content

• 6Towns Background

• 6Towns Current Account

• Tripartite Agreement

• Questions and Answers

6Towns Background • We were founded in 2004

• Originally set to be cheaper than Provident etc.

• Common Bond – Sandwell, Worcestershire • South Birmingham, 6Towns Housing Consortium

• Current membership just under 8000

• First Credit Union to introduce Payday loans

• First Credit Union in the UK to introduce a Fully Transactional Current Account

• Collection Points • Primary and Secondary Schools

• Children's Centres

• Libraries

• Churches

• Working with Housing Associations, Councils and other business partners

Presentation to

6Towns CU Content

• 6Towns Background

• 6Towns Current Account

• Tripartite Agreement

• Questions and Answers

6Towns Current Account

Universal Credit and its implications

DWP are looking for the following: • One monthly payment per household

• Banking services enjoyed by everyone

• Current Account with Direct Debits and Standing Order Facility

• Smooth the transition in and out work

• Transact online – digitally capable

• Meet Financial Inclusion requirements

• Freedom of choice

This will leave some people vulnerable • Bad credit history unable to get a Bank Account

• Have a Bank Account – but wish not to use it for various reasons

• Unable to budget

• Living in areas that Banks maybe less keen to operate

Jam Jar and Budget Accounts are not the answer

6Towns Current Account

Tenant/Member

Available to Everyone

Fully Transactional • Set up Debit Debits and Standing Orders

• Accessible online

• Range of ‘sub-accounts’ Savings – (Christmas, Long term, ISA) loans including Payday, standard 12 month loan s

• Up to minute balance statement s from ATM, online or an APP

• No overdraft facility and no cheque book – helping to avoid being over drawn

Priority Account – able to ‘ring fence’ payments for: • Rent

• Council Tax

• Utilities (future developments to tackle Fuel Poverty)

Debit Card – this is not a ‘pre-paid’ card • Money available at anytime

• No waiting for ‘load up’ often in office hours only or costs (up to £1.50 each load)

6Towns own Sort Code Each account has it’s own Account Number

Current Account – Funds in this account are available 24/7 and viewable online

Savings Accounts – viewable online

Loans

Priority Account Payments for Rent/Council Tax/Utilities

All funds in this Account are ‘view

only’ to the Account holder

Landlord Portal

Tenants Current Account

Income from any source

Tenants Priority Account

Agreed Rent or other

Rent transferred in accordance with

Tenancy Agreement

Landlord Rent

Account

Rent transferred on Agreed Frequency

Landlord Rent Fee Account (6Towns)

Rent to Landlord

Landlord Finance Dept Access via Arrows

Rent Amount Viewable Only

Direct access

Account Holder

Disposable Income Available on Debit

Card

Overview

All viewable on line through ATM, Mobile APP, PC or any android device

6Towns own Sort Code Each account has it’s own Account Number

Current Account

Savings Accounts

Loans

Priority Account Payments for Rent/Council Tax/Utilities

All funds in this Account are ‘view

only’ to the Account holder

Landlord Portal

Tenants Current Account

Income from any source

Tenants Priority Account

Agreed Rent or other

Rent transferred in accordance with

Tenancy Agreement

Landlord Rent

Account

Rent transferred on Agreed Frequency

Landlord Rent Fee Account (6Towns)

Rent to Landlord

Landlord Finance Dept Access via Arrows

Rent Amount Viewable Only

Direct access

Account Holder

Disposable Income Available on Debit

Card

6Towns Current Account

Landlord – Access to the Landlord Portal

As the 1st UK Credit to introduce this unique product and designed to be CIPFA compliant and to meet your needs

Landlord Portal • Specific own login

• Front-line staff to sign up new Tenants if they have no Bank account

• Draw down your rent payments on demand

• Down-loadable reports to highlight non payers

• Integrate payments with your system – no manual invention

• Update DD to request Rent changes

6Towns Current Account

Features of the Account

Guarantees Rent payments

Ability to collect arrears – definable by reference

Fully Transactional Current Account (DD’s and SO’s)

Debit Card not a ‘Pre-paid’ Card

‘Ring Fenced’ Priority Account

Landlord Portal to integrates with your existing system

Tackles Financial Exclusion

Future developments: • Fuel poverty – ability to guarantee payments to suppliers

• Collection Point Portal

Presentation to

6Towns CU Content

• 6Towns Background

• 6Towns Current Account

• Tripartite Agreement

• Questions and Answers

Added value – Tripartite Agreement • Tenants own choice to set up and guarantee

payments to you

• Some Housing Association’s have opted to make compulsory

• You may wish to make it part of Tenancy

• Protects your input

• Protects the tenants tenancy

• Drawn up legally by a top London law firm

Tripartite Agreement

Tripartite Agreement

Tripartite Agreement

For those who will be using the Tripartite Agreement

now would also be the stage to upload this document

along with identification.

Questions?

Thank you