How Salary Deduction Works
Partner with your Credit Union
Forming a relationship with your local credit union is a straightforward process, and usually involves a short conversation about working together..
Promote the Scheme to your Staff
Once all the arrangements are agreed, your credit union will be able to support you to promote the scheme as an employee benefit to staff.
Each month, your credit union will send you a leger of all the staff from your organisation who have joined, and how much they have requested be deducted from their pay.
Employees Start Saving
New starters and existing employees will be able to join and start saving, or borrow if they need to, at any time by going to the credit union’s website and signing up.
On Pay Day
On payday, your payroll team will need to deduct the requested amount from each staff member’s salary. You can then send the credit union a single lump sum.
Money Deposited into Staff Accounts
As soon as the credit union receives the lump sum, they’ll allocate it to each staff member’s credit union account, contributing to their savings or loan repayments.
Not Just a provider
Salary deduction schemes work best when they are a genuine partnership between credit union and employer. Your credit union will be in a good position to update you regularly on take up, and may even be able to provide insights into any trends or issues affecting your workforce.
Why Our Approach Works
Credit unions have been been running salary deduction schemes in the UK for over 30 years. Our approach won’t always the most high-tech, but it is tried and tested, and simple to implement.
Easy to Implement
Credit union salary deduction is usually extremely low-cost to implement, and is supported by all major payroll software and providers.
No Complex IT
The approach used by credit unions is based on exchanging a simple record of participating staff between you and the credit union each month. There are no complex APIs or system integrations.
The credit union you choose to partner with will do most of the heavy lifting, including signing up new members, handling applications, and providing support.
Typically, there’ll be a named person at the credit union who relevant staff you your payroll department will be in contact with regularly, helping to ensure it all runs smoothly.
Find My Credit Union
To look up your nearest credit union, enter the postcode of your organisation's registered office, or search by the industry or sector you operate in.