# Credit Union - Death of Member



## MandaC

Has anyone any expertise in credit union law.  What happens if a member dies, when I joined mine years ago, the loan was cleared and the shares doubled and paid to next of kin.   Where is the best place to get a copy of the terms and conditions.

Thanks very much for any help.

Do different CU's have different rules, or are they all covered by one.


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## Cat101

From :[broken link removed] (Link has all info on CU's)

On joining the credit union, the member makes a written statement nominating a person or group of people to become entitled to any property in the credit union, e.g., savings, loans or insurance, at the time of his or her death to a maximum of €13,000. The member can change the person nominated in writing at any time during the member's lifetime. The nominated person will be contacted by the credit union on the death of the member.


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## truthseeker

MandaC said:


> Has anyone any expertise in credit union law. What happens if a member dies, when I joined mine years ago, the loan was cleared and the shares doubled and paid to next of kin. Where is the best place to get a copy of the terms and conditions.
> 
> Thanks very much for any help.
> 
> Do different CU's have different rules, or are they all covered by one.


 
Different rules for different ones, contact the one you are with and ask for a copy of T&Cs (they might have it on a website).


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## MandaC

Cat101 said:


> From :[broken link removed] (Link has all info on CU's)
> 
> On joining the credit union, the member makes a written statement nominating a person or group of people to become entitled to any property in the credit union, e.g., savings, loans or insurance, at the time of his or her death to a maximum of €13,000. The member can change the person nominated in writing at any time during the member's lifetime. The nominated person will be contacted by the credit union on the death of the member.



Thanks, I had spotted that earlier, does not really answer the question for me.  When I joined the CU all those years ago, we were told that the loan would be wiped and the shares doubled.  Speaking to other CU members (different unions) this would be the norm.  A friend of mine is making a claim and they seem to be making totally different calculations (deducting loan outstanding from shares) and I was wondering if they can do this.

Bingo! Thanks for the tip of website.  Anwers question generally, but does not have the T&C(small print)


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## igy

I have to admit I've never checked my own CU T&Cs on this point, and I've just cleared my only loan with them so its not exactly relevant, but I assumed they'd cancel the loan using the shares, then transfer the remaining shares to whomever inherited the estate (or whoever was specifically nominated by the member - my CU has a form to specify who you want to get the money)


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## oldtimer

This issue of ''loan wiped out and shares doubled'' was dealt with last April on this forum. As I said then and state again, this is completely untrue. There are stringent conditions and limitations re age, ceiling on amount which will double etc. Credit Union which make the above statement to members are not familiar with what the terms and conditions are.


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## Valkstar

Oldtimer, would you have a link to this post?  My credit union has the same offer, and deducts "death duty" each year of €12.70 to cover this.


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## oldtimer

What do you mean 'your credit union has the same offer?' The €12.70 ''death benefit'' has nothing to do with shares and loans.  This covers funeral expenses up to €1,300. It is important to remember credit unions vary from one to another. For example, your credit union charges you for this benefit, my credit union gives it free, but member must be under 70 when they joined the CU. Regarding ''double the shares and wipe out the loan'' as I have said this is completely untrue. Firstly, the doubling of shares is based on how much was in shares at age 55 if over that age. Secondly, there is a ceiling on what is doubled, in my credit union it has a ceiling of €7,000 doubled. So if one has say €20,000 in shares it certainly doesn't mean the next of kin gets €40,000. Regarding the loan wiped out, there are conditions there also. If somebody has say a heart condition when loan was granted, that must be stated, and if that person dies of a heart attack the loan is not wiped out. As I said before best to talk with somebody in authority at your credi union. The terms and conditions may vary from one to another but by and large nothing is black and white as many think.


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