A Sligo-based former director of the Irish League of Credit Unions says costs being imposed by banks is forcing some credit unions to put caps on the amounts that can be held in deposits.
According to research by The Irish Times, at least 36 credit unions across the State have imposed savings limits.
Sligo-based former director of the Irish League of Credit Unions Seamus Kilgannon says that as well as costs imposed by banks, credit unions also have to put 10% of their deposits into a reserve.
He has been telling Ocean FM News the background to the current situation.
Meanwhile, Seamus Maye, who is Co Chair of the Public Banking Forum of Ireland says credit unions cannot afford to save large amounts of our money.
Speaking to OceanFM News, he says that Credit Unions in the North West region are being squeezed by the regulations.
He also says that post offices, such as the one in Kilcar, in South Donegal now faced with closure, should be used to create competition with the banks.
