EDINBURGH, Scotland—Capital Credit Union here reported it is planning a major expansion of the markets it serves. Scotland’s third-largest credit union with assets of £26 million, Capital Credit Union currently serves the five local authorities of Edinburgh, the Lothians and the Borders. It is now expanding into Angus, Clackmannanshire, Falkirk and Fife, effective in September. The expansion follows a merger in 2014 with Angus Credit Union.
According to its CEO, Marlene Shiels, who is known to many in the U.S. for her work with the World Council of Credit Unions, the move will expand the total number of people eligible for membership to 1.4-million from the current 900,000.
Shiels was quoted by local media as saying the expansion will not come at the expense of CUs already serving the area, noting it has already had discussions with several credit unions to the north and that it will not market in areas that are currently well-served.
The four credit unions in the markets into which Capital is expanding serve just 10,000 people combined.
According to Shiels, the expanded markets will also be covered by Capital’s roving relationship officer, whom Capital has referred to as a “pop-up shop” for the credit union. The expanded services are the result of Capital’s investment in back-end systems to create a “remote” organization. The £3m IT platform was put in place two years ago through a joint project with Scotwest Credit Union. Backed by grants and loans from the Scottish Investment Fund, Capital and Scotwest became the first British credit unions to host a tier one banking platform.