Cavan CU boasts ‘another positive year’ in 2023

Cavan Credit Union will report a “strong financial performance” for 2023 when it hosts a virtual AGM on Monday, January 29, at 7pm.

Elections will be held to fill the roles of auditor and four vacancies on the CU's Board of Directors and two more on the Board Oversight Committee.

The Board of Directors is also proposing to pay a dividend of 0.1% and a loan interest rebate of 2% across all loan categories.

According to their published annual report, shared with members ahead of the AGM, 2023 was “another positive year” and a “strong financial performance” summed up by an overall loan book growth of 16.65%, bringing the total to €33.7 million. That figure marks nine successive years of loan book growth at the community-owned financial institution, with loan interest income reaching €2.97m, up 13% on 2022.

Arrears remained low at 3.1%.

In their end of year accounts the Board of Directors added to the level of bad debt provision bringing it to €2.78m.

Amidst a “higher interest rate environment” total investment income for the year was €446,000 in 2023, increasing 15-fold compared to just €29,000 in 2022. This is expected to continue in 2024 and means “returns at higher levels than the previous number of years", according to Credit Union CEO, Therese Conway.

However costs also increased over the past 12 months, to €2.7m from €2.1m the year before. This included the payment of regulatory levies (€107k), computer maintenance (€224k), advertising and printing (€108k), and the provision of current accounts and debit cards in 2022 (€104k). At the end of 2023 Cavan CU had 1,161 members signed up for their PAYAC Current Account and Debit Card.

Employment costs increased to €945,000, predominantly due to “one-off” redundancy costs and an increase in staff numbers.

“As always, we will continue to monitor costs closely and deliver the best value that we can for our members,” said Ms Conway.

Members wishing to attend the virtual AGM will need to register at www.cuagm.com

Voting will take place anonymously via the online poll function.