Dunfermline Building Society facts for kids
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| Building Society (Mutual) | |
| Industry | Financial services |
| Founded | 1869 |
| Defunct | 2014 |
| Headquarters | Dunfermline, Scotland, UK |
| Products | Savings and Mortgages |
| Parent | Nationwide Building Society |
The Dunfermline Building Society was a type of financial company called a building society. It was based in Dunfermline, Scotland. Later, it became part of the Nationwide Building Society. Before it joined Nationwide in 2009, it was the biggest building society in Scotland. It was also the 12th largest in the United Kingdom. It managed about £3.3 billion in money by the end of 2007. The Dunfermline Building Society was a member of the Building Societies Association.
In March 2009, it became clear that the Society could no longer operate on its own. The Bank of England helped manage a process for another company to take it over. This led to the Nationwide Building Society buying its branches, good loans, and customer savings. The Bank of England took control of some of its other loans. The Dunfermline Building Society fully joined Nationwide in June 2014.
What Was the Dunfermline Building Society?
The Dunfermline Building Society was set up in 1869. It started in the town of Dunfermline, which is how it got its name.
How Did It Grow?
Over the years, the Society grew a lot. It took over more than 20 other smaller financial groups. Some of these included the Stenhousemuir and the Edinburgh and Paisley Building Society.
In 1999, it started a new service called Dunfermline Direct. This allowed customers to do their banking by phone.
By the end of 2005, the Society had many locations. It had 34 branches and 38 smaller offices across Scotland. About 20% of its business came from outside Scotland. The Society also helped fund social housing projects.
Why Did It Merge with Nationwide?
In the months leading up to March 2009, the Society needed more money to keep going. It tried to get between £60 million and £100 million. However, the financial authorities said this was not possible.
On March 28, 2009, news reports said the Society could no longer continue alone. Some of its difficult loans were separated. The rest of the business was then offered for sale. The Bank of England helped manage this process. Around 500 jobs were affected by these changes.
On March 30, it was announced that the Nationwide Building Society had bought most of the Dunfermline's business. This included its customer savings, branches, and most home loans. The Bank of England took control of about £1 billion in commercial loans. The Dunfermline then became a part of Nationwide.
On October 24, 2013, Nationwide announced that the Dunfermline Building Society would fully merge with them. This merger was completed in June 2014.
