Unanimous call to reopen all penny banks
A motion calling on the Government to prevent the Central Bank from closing penny banks across the county was unanimously supported.
Cllr David Hynes said: ‘News that Clonard Thrift Fund and all other thrift funds and penny bank committees have had to tell their members that this is the last year they will be run has shocked many users as this has been the only way many ordinary people have saved for Christmas over many decades.’
Cllr Hynes said the move will drive vulnerable people into the hands of money lenders.
‘Surely this is another attack on community spirit by a bank who was asleep at the wheel. Now they are going after small groups who look after peoples’ pennies. This is like the post offices and the small shops and the pubs in villages: another plank that is being taken away.’
Cllr Tony Walsh seconded the motion, while Cllr Michael Whelan said money laundering is the reason penny banks are being shut down.
‘In Ballycullane 360 people are paying into it. I don’t know if the Government can prevent the Central Bank from doing this but we should look into this,’ he said.
Cllr Michael Sheehan said: ‘For a long time the running of these would have been a lifeline for community groups. The Central Bank are looking to ensure bans get the first option (on savings). People will end up going to money lenders and get top up loans and God knows what will happen.’
Cllr Paddy Kavanagh described the decision as scandalous.
‘If there is one person money laundering it’s easy enough to spot it. It would have been better for the banks and guards as they could target those abusing the system (if they were allowed to remain open).’