AGM Minutes 2017

The Annual General meeting of Youghal Credit Union Ltd was held on Monday 18th December 2017 in the Walter Raleigh Hotel, Youghal at 8pm.

Directors present included: Peter O’Donnell, Chairperson, John Kelly, Vice-Chairperson, Carmel McCarthy, Secretary, Elaine Martin, Vice-Secretary, Brigid Hughes, Frances Forrest, Nora Irwin, George Bulman and John Colbert.  Apologies were received from Director Matt Cunningham.


Also present were Board Oversight Committee members Sean Power and Mary O’Mahony.


Also in attendance were Barry Treacy, Manager, members of the Management team and the Staff of Youghal Credit Union.

All members present at the meeting signed the attendance sheet and were provided with booklets containing the financial statements and reports presented.

The chairperson opened the meeting, welcomed all present to the 50th Annual General Meeting of Youghal Credit Union and ascertained that the required quorum was present to proceed.

The minutes of the 2016 AGM were read by the secretary and were proposed for adoption by Elaine Martin and seconded by John Kelly.



Directors Report

Peter stated that Youghal Credit Union was founded in 1967 and celebrated its’ 50th Anniversary this year.  YCU currently has 12304 adult members. We are a community based credit union and exist for the benefit of our members. Our purpose is to provide affordable loans, secure savings and a range other financial services.  We are financially healthy, strong and secure and offer our members the best possible service. We are very fortunate to have a professional and dedicated staff and management team and committed volunteers who believe in the Credit Union philosophy of co-operation and its central values of equality and mutual self-help.


Principal Activities and Review of Business.

The past year has proven to be a challenging but successful one for Youghal Credit Union Ltd. Our Assets stand at €94.5 million and we are happy to declare a surplus, part of which we are returning to our members in the form of dividends on savings and rebates on loan interest.  After a number of years when the level of loans was falling, there was a slight increase in 2016.  Unfortunately 2017 saw that trend reversed with a 1.3% decrease in the value of our loan book.  Savings have increased from last year which is a reflection of the prudence of members saving for the future.


Results and Dividends

The results for the year are set out in detail in the Manager’s Report and Auditor’s Report. The year has been challenging overall but the value of member’s savings has increased from €73.7 million in 2016 to €76.0 million. The value of our loans decreased from €28.8 million to €28.4 million. While this was disappointing, we are optimistic that our loan book will return to growth in 2018.  Loans granted in 2017 amounted to €9.9 million, a decrease of €0.7 million on 2016.  The total income received by the Credit Union of €4.17 million marks an increase of €399,000 from last year’s figure.  This increase is as a result of a decrease in YCU’s provision for impaired loans. Returns on investments were down by €57,506, while interest on loans was down by €58,044. Expenditure increased by €174,000, which when combined with the various changes in income, resulted in an increase in our surplus for the year by €224,000 to €1.8 million. Credit Control is a key component in our organisation. During the recession, a combination of job losses and reduced disposable income had a negative effect on member’s finances. This in turn resulted in a significant increase in non-performing loans.  However, a combination of stricter lending criteria, enhanced Credit Control procedures and an improving economy has seen this trend reversed. Our % of loans, 9 weeks or more in arrears, has reduced from 16% to 12% during the year.  All loans have been reviewed during the year and where applicable provisions have been made. Our current provision for bad and doubtful loans stands at €3.21 million. It should be noted that written off accounts remain due, and are vigorously pursued for repayment by the Credit Union. A total of €275,776 in written off accounts was collected in the past year. We would encourage any of our members, who are in financial difficulty, to make contact with us to come to some arrangement. Ignoring the problem will not make the problem go away. While we are sympathetic to individual members who may be experiencing difficulty in repaying loans, we have an obligation to all members’ and this is an area we will continue to focus on in the year ahead.



Member savings that are not loaned out to other members are generally invested in either bank bonds or in short term deposit accounts. The value of our investments increased from €63.1 million to €64.4 million in 2017.  However, investment income, at €0.869 million in 2017, was a reduction of €0.058 million from the 2016 figure. There is a requirement that Credit Unions maintain a liquidity position of a minimum of 20% of uncommitted savings. Youghal Credit Union has a liquidity position of 29.4%, which means that it has access to funds of €19.89 million in a period of zero to three months. The government deposit guarantee scheme continues to cover member’s shares to the value of €100,000. This is in addition to the Credit Union’s Savings Protection Plan which remains in place and acts as a secondary level of cover for members. Under current Central Bank rules, €100,000 is the upper limit that a member can have in value of shares.



Youghal Credit Union is open for business, we have money to lend and our loan interest rates are competitive.  Additionally you have the ability to repay early at no extra cost. Qualifying members also avail of insurance on their loans at no extra cost. Our education loan rate of 6% has proved to be very popular with students going to third level colleges. Also many members who wished to up skill or change careers have availed of the education loan rate. We also encourage members to leave their savings in the Credit Union and encourage then to take a secured loan at an attractive rate of 5.75%. By taking a secured loan the member’s savings remain intact and they have the ability to clear the loan if they so wish from their savings. During the year, YCU introduced a preferential loan rate for members who are first time borrowers.  This has proved to be popular and a new car loan rate has recently been introduced.  We again encourage members to borrow as loan interest is the primary source of income for our organisation. Historically Youghal Credit Union has paid a loan interest rebate to members over the years, which has the effect of reducing the cost of borrowing for our members. During 2016 we successfully applied to the Central Bank to have our loan limit raised from €50,000. The micro finance scheme, introduced in 2016, in conjunction with M.A.B.S. has continued to operate successfully. This scheme is designed to provide credit to people who would not otherwise be able to avail of it.  It is also designed to help tackle the growth of money lenders in the recent years. We continue to work for our community and are proud to support many clubs and organisations within our common bond. The range of services, which are available electronically, continues to grow. Our current range of services includes electronic funds transfer, savings, foreign exchange, ATM, bill payments and quick lodge.   We plan to further enhance these services during 2018. Following a security review, various improvements have been made to all three offices.  The Ardmore sub-office has had to be relocated and the new office, which will offer enhanced services to our members, will be officially opened before the end of the year.


Corporate Governance

Many changes to corporate governance have taken place during the year, additional policies have been introduced and existing policies have been reviewed and amended.  The Credit Union and Co-operation with Overseas Regulators Act 2012 and the Central Bank Reform Act 2010 have meant changes to our governance rules, various new committees are required and the roles of some committees have changed dramatically. The need for external advisors, covering areas such as Risk & Compliance, Internal Audit and Anti-Money Laundering has also increased.  These are all areas that the Central Bank is focusing on and it is essential that we fully comply with all the latest requirements.  Following a Central Bank inspection in January 2017, an organisational review was undertaken.  We are currently implementing the change plan resulting from this review.  Among the changes that have been made is the recruitment of a Financial Controller and a Senior Loans Officer to strengthen our Management Team.  Our second, three year Strategic Plan was implemented during the year and we are confident that this will see a growth in both the range and quality of services to our members. We are looking forward to the coming year, serving our members and our community.


Peter read out the Statement of Directors’ Responsibilities as per The Credit Union Act, 1997 (as amended) requiring the directors to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the credit union and of the income and expenditure of the credit union for that year.


In his concluding comments, the Chairperson Peter O’Donnell acknowledged the commitment, time and effort of the Directors, BOC members and volunteers to Youghal Credit Union. He expressed a special thanks to the Manager Barry Treacy, the Management team and Staff, for their valuable service and dedication.




Auditors Report & Financial Accounts

These reports were presented by Tony Cooney, Crowley DFK Partnership.  Tony confirmed Crowley DFK had audited the financial statements of Youghal Credit Union Limited for the year ended 30 September 2017.


In the opinion of Crowley DFK the financial statements:

– give a true and fair view of the state of the assets, liabilities, and financial position of the Credit Union as at 30 September 2017 and of its income and expenditure for the year then ended; and

– have been properly prepared in accordance with the relevant financial reporting framework and, in particular, the requirements of the Credit Union Act 1997 (as amended).


Tony Cooney then gave an overview of the Financial Statements.

Total income for the year 2017 amounted to € 3,328,382, down from € 3,443,932 in 2016. Total expenditure for 2017 was

€ 1,524,868, compared to the figure of € 1,864,740 in 2016. The Excess of Income over Expenditure for the Year 2017 was € 1,803,514.


The Balance Sheet showed that the Total Assets of Youghal Credit Union had increased to

€ 94,491,786 at year end, up from € 91,210,582 in 2016.


A new addition to the financial statements under FRS 102 was the Statement of Changes in Reserves. As at 30/09/2017, Total reserves amounted to €18,210,066.


The accounts were proposed for adoption by John Colbert and seconded by Liam Allen.


The Board of Directors recommended the following;

  • A Dividend of 0.10% to be paid on members’ savings. This was proposed by Frances Forrest and seconded by Elaine Martin.
  • A loan interest rebate of 20%. This was proposed by Mary O’Mahony and seconded by Dave Smith.


Credit Committee Report 2017

The report was presented by Elaine Martin and she stated the following;

  • Throughout the year 3,466 of loans were paid out amounting to €9,861,475.73.
  • A total of 171 of loans were refused or 4.7% of total applications.
  • As at 30th September 2017, Total Loans outstanding amounted to 28,425,020. This is a decrease of 1.31% on 2016


Elaine advised that Youghal Credit Union have many types of loans on offer as follows

  • First Time Borrower @ 6.16%
  • Car Loan @ 6.99%
  • Home Loan @ 6.98%
  • Education Loan @ 6.11%
  • Personal Loans @ 9.94%
  • Secured Loan @ 5.92%
  • It “Makes Sense” Loan @ 12%



Elaine thanked the staff for their service and help during the past year.



Credit Control Committee Report

John Kelly presented this report.  The Credit Control Committee met regularly during the past year. All accounts in arrears were closely examined and analysed and appropriate action taken.


Youghal Credit Union is after recently engaging in the new Loan offering of Personal Micro Credit Loans.  The aim of this new loan type is to combat moneylenders by offering finance to both members and non-members who are on social welfare. The money is paid back on the loans through An Post and more specifically through their household budget mechanism. This lowers the risk that the Credit Union maybe exposed to on PMC loans.


The amount of €275,776.00 was recovered in respect of loans previously written off which is an increase of 12.6% to the previous year. There is an overall recovery in respect of written off accounts which is a positive indicator for the future.


The Credit Control Committee would like to thank all our borrowers who have consistently met their commitments and repaid in good time.


John also thanked Barry, the Management Team and Staff, in particular Leona Carney and Sarah Pomphrett, for their professional and dedication throughout the past year.



Board Oversight Committee Report 2017

Sean Power presented this report and outlined their activities during the past year to meet the requirements of their duties including the following;

  • At least one member was in attendance at all Board of Director meetings. The Board Oversight committee also met monthly after each Board of Directors meeting.
  • They had separate formal meetings with the Board as required by legislation and confirmed that the Board of Directors attended to all the issues pertaining to Youghal Credit Union in a dedicated and professional manner.
  • The Board are concentrating on the governance issues as required by legislation and thus leaving the day to day operational issues to the Manager and staff to manage.
  • From their attendance at Board meetings Sean confirmed that there had been a high level of attendance and that there was strong participation by directors in the discussions of the matters at hand.
  • Full agendas were prepared for each meeting and reports were submitted by each sub-committee to ensure meaningful discussion on each item on the agenda.
  • BOC investigations during the year revealed that most board members had availed of relevant training to enable them perform their roles on the board.



We can therefore confirm that in our opinion the board has acted at all times in the best interests of Youghal Credit Union and its members. We would like to thank our Manager Barry Treacy, the Management Team and Staff for their help during the year and also thank the Board Members for their support.



Membership Committee Report

This report was presented by Emer Hannigan.  Emer advised that membership as at 30th September 2017 is as follows:

  • Adult Members – 12,304
  • Juvenile Members – 2,132
  • Clubs/Associations – 363


The gender balance showed that female members are in the majority with 52% as opposed to 48% male members.  Approximately 3,600 of the membership are borrowing members.  Members were urged members to avail of the loan facilities that Youghal Credit Union Ltd. offer as the interest earned from loans is our life blood.


To qualify for membership one must either work or reside in the Youghal Credit Union common bond area. €10 is paid towards a new born account on receipt of the child’s birth certificate.


During the course of the year existing members were urged to produce photo identification and proof of current address to update the credit union’s files and to comply with Anti Money Laundering legislation.


In conclusion, members were requested to encourage family and friends to become members of their local credit union and avail of the benefits on offer.




Promotion & Development Committee Report

Brigid Hughes presented this report and began by stating that the function of promoting the various services of Youghal Credit Union and of supporting worthwhile projects and groups within our Common Bond is the duty of the Promotion and Development Committee.


The committee met monthly to consider applications for sponsorship and they submit a quarterly report to the Board. In the past year they supported 22 Sporting Organisations, 12 Community Groups, 4 Community Projects, 7 Schools, 3 Art/Cultural Activities, 10 Charities and 6 Festivals.  Applications for sponsorship must be made on the official Application Form, which can be downloaded from Youghal Credit Union Website or collected from our offices in Youghal, Killeagh or Ardmore.


Brigid advised that Youghal Credit Union is continuing the annual Scholarship Award.  This unique Scholarship is worth 5,200 over 4 years.  Youghal Credit Union was very happy to continue its association with the Pobalscoil Na Tríonóide Annual Student Awards. The Pobalscoil Credit Union is going from strength to strength and Brigid thanked the Transition Year students, who operate it and who continue to promote regular savings among the students.


The Sammy Stamp Saving Scheme continues to grow in the local Primary Schools and sincere thanks to the teachers, staff and parents for supporting the initiative.


International Credit Union day was celebrated in the Office on the 19th October with fun events.


Brigid concluded by thanking the Manager, Mr. Barry Treacy, the Management Team and the Staff of Youghal Credit Union, and in particular Colm Geary, for their help and co-operation throughout the year.  Brigid also thanked the Board of Directors for their continued support and her fellow committee members.



Appointment of Tellers


The following members were appointed to act as Tellers in the upcoming Elections:

Name Proposed by Seconded by
Pat Forrest John Colbert Nora Irwin
Marjorie McDonald Brigid Hughes Maria Burke
Mary Morrison Eddie Hennessy John Kelly
Mary O’Sullivan Mary Morrison May Ahern



Nomination Committee Report 2017

John Colbert presented this report and began by outlining their role in identifying suitable candidates for the Board of Directors and other volunteer positions within the Credit Union.  The Fitness and Probity code and standards applies to all senior positions within the Credit Union, this includes the Board of Directors and the Board Oversight Committee.  The Nomination Committee must ensure that any candidate put forward for election at the AGM has satisfied this code, meaning individuals in these roles must be competent and capable; must act honestly, ethically and with integrity; and are financially sound.


In 2017the nomination period ran from Monday 21st August until Saturday 16th September 2017, thus allowing the committee time to carry out the required Due Diligence in advance of the AGM.  Each candidate to be nominated for appointment as a member of the Board of Directors is proposed through the nomination committee.


John went on to thank Patrick Heaphy for his service to Youghal Credit Union.  Patrick retired as a Director earlier this year.  John asked/encouraged members to take a “Register Your Interest” Form re volunteering with Youghal Credit Union.



  • Election of Directors – it was confirmed that three Directors were up for rotational retirement and all were seeking re-election, namely George Bulman, Matt Cunningham and Peter O’Donnell. Tony Miller was nominated to succeed Patrick Heaphy on his retirement during the year.
  • Elections of Board Oversight Committee – it was confirmed that Mary O’Mahony was up for rotational retirement and was standing for re-election. Eleanor Barry was nominated to take up a role in the Board Oversight Committee to succeed Kathleen Walsh who has previously retired.
  • Election of Auditors – Moore Stephens are nominated for election as External Auditor to Youghal Credit Union. Peter thanked Tony Cooney & Crowley’s DFK for their dedicated service to Youghal Credit Union.



Balloting then took place.

Peter then invited Barry Treacy, Manager, to give a Presentation on his visit to Sierra Leone.  Barry delivered a wonderful presentation on his trip to Sierra Leone with the ILCU and outlined the wonderful work being undertaken there as a result of the support and advice made available there.

The draw for 10 X €100 Youghal for All vouchers, conducted by Liam Allen, resulted in the following winners;

  1. Paddy Kelly
  2. Catherine Lawlor
  3. Mary Goggin
  4. Simon Sellers
  5. Donal De Róiste
  6. Angela Pomphrett
  7. Mary Walsh
  8. Helen Waide
  9. Virginia Steele
  10. Liam Allen



Election Results


Election of Directors
George Bulman
Matt Cunningham
Peter O’Donnell
Tony Miller


Election of Board Oversight Committee
Mary O’Mahony
Eleanor Barry


Election of Auditors
Moore Stephens



Any Other Business

  • Liam Allen proposed that we pay €1 per member to the ILCU Foundation for development aid, and Emer Hannigan seconded.
  • Helen Waide proposed an outing for volunteers and staff and this was seconded by Patsy O’Mahony.



In his concluding remarks Peter everyone for making the effort to attend the AGM and invited them to partake of light refreshments. He hoped that 2018 would be a good year for Youghal Credit Union and all its members.


There being no further business the meeting was closed by the Chairperson.