Credit Union Brand Mark - Terms and Conditions

Purpose and intentions of the ICULD&E Company (as the Brand Managers)  

1. The purpose of the Brand Mark is to sell the core purpose, use of and trust that can be placed in a credit union by all consumers and so should appear on all publications issued by a credit union described in the Terms and Conditions, “3” below.
2. To establish the Brand image, publishing details and conditions attached to its use.  All associational bodies, individual credit unions and the media will be notified of this.
3. To supply national media outlets with general information about the credit union industry and news releases of credit union activity, provided by subscribing credit unions to the Brand Managers, i.e. newsworthy texts and photographs for three valid reasons:-

• so the quality of all news releases is in a standard format;
• because news released by an unbiased third party carries more weight than if done by the credit union itself, and
• to protect the Brand Mark franchise for all its users from abuse.

4. A list of subscribing Brand users will be held on the ICULD&E Company website, open to view by the Regulators, consumers and potential ones, clarifying that this list is for “information only” and not an endorsement of any credit union or recommendation in any way, similar to that held by the Bank of England on all authorised deposit takers.This list will be revised constantly, adding new subscribers as they qualify and removing those whose use of the Brand Mark has been withdrawn; of course reasons for any withdrawal would not be quoted.
    
5. Consent to use the Brand Mark is granted for a two year period for a fee of £250, with payment by cheque or bank transfer to ICULD&E Co. Ltd. (bank details on request) from the date of issue.

Terms and Conditions of use by subscribers

1. The Brand Mark is in the sole ownership of and copyright to the Brand Manager. This must be recognised and accepted and that its design, wording, layout and colour cannot be altered or plagiarised in any way whatsoever by any subscriber, former subscriber, professional practice dealing with credit unions, clearing banks or the Regulators. In the UK, the World Council of Credit Unions Inc. (WOCCU) logo is constantly abused by local credit unions and agencies and yet no actions are taken.
   1. Breaches of any of the above will result in withdrawal of consent to use the Brand Mark, which will occur with immediate effect on notice of such a breach. This fact will be noted on the website of the Brand Manager and to the media. Legal action can be taken for any infringement of the Brand Mark and breach of copyright.
2. Use of the Brand Mark will be given for two years only and a subscription payable to the Brand Managers.
3. Conditions for use of the Brand Mark that have to be adhered to at all times are:-  
   A request to use the Brand Mark by any authorised and regulated credit union must be submitted by letter and not email, with the full title of the credit union noted in the letterhead, with this ending in the word “Ltd.” and stating:-
   1. Its Registered Office address; all contact details with its administrative addresses and contact details if different from the above, either as part of the letterhead or as a footnote in print that is easily visible.
   2. Astatement that the credit union is “authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority” together with its “Firm” Registration Number printed as a letterhead or footnote on the notepaper. Initials are not acceptable.
   3. Also that “owner-member funds are protected up to limits set by the Financial Services Compensation Scheme”, again initials will not be acceptable;
   4. And, following that statement, that the credit union is “Member of the Financial Ombudsman Services”. Again, initials will not be acceptable.
   5. Providing a statement that “a credit union must place owner-members’ monies in low risk deposits”.
   6. All retail finance houses should display a notice at any place of business visited by a consumer and noted in its literature stating “the firm is run in accordance with the Money Laundering Regulations 1993, the Proceeds of Crime Act 2002 and subsequent legislation”. Few do this other than Citibank in the UK. This must appear also as an item on the footnote.
   7. All authorised and regulated credit unions can qualify for a Consumer Credit Licence that can be applied for and issued currently to credit unions by the appropriate Regulator; and so a Licence Number issued by it should form part of the footnote on all publications issued by the credit union itself to bring greater credence in the Credit Union Brand by the consumer.
   8. All credit unions must obtain a Data Protection Licence from the Data Information Commission and again to bring greater credence to the Credit Union Brand by the consumer, this Licence Number can appear also.
   9. A statement is also required from the subscribing credit union for the Brand Managers’ website that will be viewed by actual and prospective consumers, giving a full description of its legal field of owner-membership – “the Common Bond”, i.e. “living and/or working in Nowhere-on-Sea”. This facility is intended to steer consumers to join the appropriate credit union or credit unions as in the UK, the credit union product is largely unknown.

All these conditions will demonstrate to the consumer that a credit union is a proper financial “firm” – the UK legal description of a financial services business – that is authorised and regulated by separate Government Regulators that impose investor protection (the Financial Services Compensation Scheme) and a Complaints Procedure (Financial Ombudsman Service). It is vital to declare these underlying investor protection mechanisms and core values extended to the consumer

1. For an existing credit union, a letter is required from its qualified auditor (having an approved Auditors’ Certificate) stating that “the financial affairs of the credit union are being conducted in good order as at the date of the statutory audit and that its Board of Directors are continuing to manage its affairs in accordance with all the laws and regulations that govern it” and providing also a certified photocopy of the Auditors’ Certificate taken from the last Statutory Return and annually the Returns subsequent to it for the period of the Licence.
   
   This puts the onus for verifying the financial and management quality of the credit union firmly within the brief of external auditors who will carry Professional Indemnity Insurance for millions of pounds and absolve the Brand Managers from this responsibility.
   The Brand Managers will be publishing the names of qualifying credit unions based upon the evidence obtained in “utmost good faith” as it has no statutory right to undertake intrusive enquiries into the affairs of any credit union. Ironically as an asymmetric gain, this condition is also designed to raise audit standards that in the past have hidden systemic failures of both governance and conduct in UK credit unions.
    
2. For newly authorised and regulated credit unions, for the period prior to the undertaking of the first audit, the certified copy of the Auditors’ Certificate from the Annual Return is not required but a letter is required from its qualified auditor with a statement that “the financial affairs of the credit union are being conducted in good order as at the date of the last Quarterly Return to the Regulator and that its Board of Directors are continuing to manage its affairs in accordance with all the laws and regulations that govern it” and subsequent to it the conditions laid down under ii. above.
    
3. These documents must be accompanied by a cheque for the subscription. This cheque will be cashed upon receipt (giving the Brand Managers a banker’s reference). If an application or request for renewal is then declined, the payment will be returned immediately and in full.

4. It is important to establish that the award of the Brand Mark with consent for its use will not be a right of passage but a benchmark of worth given to it. This will be visible to the consumer and so it is vital to protect its use from abuse.

1. If it is used by a financially impaired credit union with this detail subject to published reports or one that has been publically sanctioned or subject to any trading restriction imposed by any Regulatory Body that has any legal responsibility for credit unions, this could adversely affect the reputation of the Brand, other credit unions using it and even a run on their funds, damaging irrevocably consumer trust in the Brand Mark and credit unions in general.
2. As the Brand Managers are not a regulatory body or member based organisation, it is possible that knowledge of the circumstances noted above are not made known to them. In this instance, if any information on the circumstances noted above becomes known to any other credit union subscribing to the Brand, then it must immediately inform the Brand Managers by email and this text must include references to the hard copy publication, a copy of it, and media links that first announced these circumstances. Hearsay will not be accepted under any circumstances.
3. When the authenticity of these publications and media releases has been verified as genuine – but not the veracity of the facts originally reported, the Brand Manager will inform the credit union concerned that the use of the Brand Mark by it is withdrawn immediately pending the resolution of any enquiries being made into the care and conduct of the credit union and this will be published on the website. No reason for the withdrawal of the Brand Mark will be published under any circumstances.
4. If nothing untoward is found to be amiss with the reported credit union, an application can be made by it providing proof of the successful resolution of any matters previously reported and the use of the Brand Mark can be restored but with the hiatus period of its withdrawal still remaining part of the subscription.

5. The Brand Managers only, and not any subscribers to the Brand Mark, will supply national media outlets with news releases of credit union activity and general information about the credit union industry. The release of this information will be in writing only and its onward use and transmission by the media to readers and viewers will be subject to “All Rights Reserved (in it)”; this means that reporters and editors cannot change the released text, thus preventing distortion of the facts. Of course comments on those facts are subject to press freedom.
6. The Brand Mark should appear at the bottom left or right on the front page of all publications including notepaper, advertisements of all types and websites, together with all the declarations noted above, as it is:-
   1. An advertisement that is read by consumers, potential ones and all of the media commentators.
   2. It actually describes in simple easily understood words what a credit union is and what it does. The different fonts, although not harmonious, are designed to spell out different distinct messages.
       
7. The Brand Mark is copyright to its proprietors and a trade mark registration is being applied for, subject to the conditions laid down by the Intellectual Property Office.

It is intended that the conditions laid out here for the use of the Brand Mark cover all contingencies and that its use will be adopted by all qualifying credit unions.

Do contact the Brand Managers (the ICULD&E Company) with any queries or requests for more information.