Credit Union will be taking on banks as it has launched current accounts.
Members will now be able to avail of a Mastercard debit card with contactless payments.
Account holders will be able to use standing orders, direct debits and an overdraft.
It's understood 30 out of 115 branches will roll out the services from Thursday.
The move follows the joining of some of Ireland's biggest Credit Unions, which will trade under Currentaccount.ie.
Currentaccount.ie chief Seamus Newcombe said: "Credit Unions offer something different to the major banks and are considered more friendly and trustworthy – for the last five years they have held the accolade for ‘Best Customer Experience in Ireland’ (CXi Report 2019).
"This is great news for consumers who have limited choice at present.
"It means Credit Union members with savings and loans will now be able to get a competitive Current Account from their trusted Credit Union, and they will no longer need to go to a bank to get this service."
The accounts will charge a monthly fee of €4 which will cover unlimited transactions, standing orders, direct debits and up to five ATM withdrawals a month. There will be a quarterly postal statement payment of €2.50.
Michael Ring TD, Minister for Rural and Community Development, has welcomed announcement.
He said: “This is a really significant day for our Irish Credit Union sector, Credit Union members, and communities all across the country.
"I congratulate all the Credit Unions involved for continuing to work together to find ways to support their members and cement their future development.
“With the increasing depletion of some financial services available to communities, this initiative could not have come at a more opportune time.
"The Credit Union movement, with its extensive network of branches and its close ties to communities is ideally placed to provide these much needed services. This is excellent news for communities around Ireland."
