Growth & Lending

Scion's Enhanced Mortgage Module


In today’s financial landscape, Credit Unions are continually seeking ways to offer competitive services that attract new members and continue to support the financial needs of existing members.

Credit Union mortgages are no exception, with members often looking for competitive rates and flexible options and choice in their home financing options.

Scion’s enhanced Mortgage module now empowers Credit Unions to provide precisely that – more choice, more flexibility, and more savings. There has never been a better time to consider the mortgage offering at your Credit Union.

The Credit Union (Amendment) Bill 2022, which has now passed the committee stage, includes two additional key amendments to further extend the options that Credit Unions can offer.

  1. The first will allow credit unions to take part in both loan participation and loan syndication.
  2. It will also allow credit unions to refer members to other Credit Unions.

It is hoped the changes will enable credit unions to dramatically expand their reach into the mortgage market.

A number of credit unions have already started to offer mortgages to customers, however, they still only account for 0.5% of the total mortgage market.

“I believe all credit union members, irrespective of where they live, should have access to the full services of community banking. All members should, for example, be able to open a credit union current account, apply for a business load and should be able to access a mortgage product,”

Minister of State Jennifer Carroll MacNeill / The Irish Examiner

This blog post explores the exciting features of this module and how it benefits both Credit Unions and their members.


More Flexibility and Choice

One of the standout features of Scion’s enhanced Mortgage module is the newfound flexibility it offers to Credit Unions and their members. Credit Unions can now choose to provide fixed rates, variable rates, or even a combination of both, tailoring their mortgage offerings to meet the diverse needs of their members.

We can now compete with the high street banks by offering our members competitive and comparable interest rates without any additional overheads for the Credit Union. In the current economic climate, Member First Credit Union feels it is essential as part of our ongoing commitment to the local community to offer members a consistent, single mortgage payment, giving them the ability to plan a budget based on this fixed cost.”

Edel Phillips

Head of Lending

Member First Credit Union

More Savings

With this flexibility comes the potential for members to save more money. By switching to a Credit Union’s new mortgage offering, members may enjoy lower interest rates and reduced monthly payments, ultimately making homeownership more affordable.  

Automatic Switchover

One of the most innovative features of Scion’s enhanced Mortgage module is the automatic switchover mechanism. For instance, a credit union can offer a mortgage with a 3.2% interest rate, which automatically changes to 4.2% after a specified period, such as 36 or 60 months. This automatic rate-switching eliminates the need for manual intervention, saving both time and effort for credit union staff.  

Benefits of Automatic Switchover

Time Savings: Credit union staff can focus on serving members more efficiently since they don’t need to refinance existing mortgages manually. Both the member and the Credit Union staff will be reminded of the rate change in advance enabling them to accept or explore options.  

Reduced Human Error: With automatic switchover, the chances of human error are significantly minimized, ensuring accurate and error-free mortgage management.  

Converting Variable Rate Mortgages to Fixed Rates

Scion’s enhanced Mortgage module goes a step further by enabling credit unions to convert existing variable rate mortgages to a fixed rate product. This feature enables Credit Unions to retain existing member’s mortgages while providing potential cost savings.  

Members are looking for stability in their interest rates and repayments, which is what fixed rates can provide. With the new mortgage module giving us the ability to offer fixed-rate mortgages to our members, which are some of the most competitive in the market, we can continue to significantly grow our mortgage loan portfolio and better serve our members”

Simon Foley

Operations Manager

St Paul’s Garda Credit Union

To Conclude

Scion’s enhanced Mortgage module brings a new level of choice, flexibility, and convenience to credit unions and their members. With the ability to offer automatic switchover between fixed and variable rates, Credit Unions can remain competitive and enhance their members’ financial well-being. As credit unions embrace this innovative module, they are better equipped to meet the diverse needs of their members, attract new ones, and thrive in today’s ever-evolving financial landscape.