loansWhen you borrow from the Credit Union you are borrowing other members’ money, so we have to be responsible and make decisions in the best interest of all our members.

Our interest rates vary between 1% per month (12.7% APR) and 3% per month (43.2% APR). Our typical APR is 3% per month (43.2% APR), but long standing members can progress to lower rates as our Loyalty Loan rate rewards members who pay in regularly.

On all loans there is/are:

  • free loan protection insurance
    In the event of your death your loan will be paid off in full. (Terms and conditions apply)
  • no set up fees
  • no administration charges
  • no early repayment penalties

Starter Loans for members who have not saved with us are at 3% per month. If you can save regularly over a 13 week period our Loan Officer may be able to award a loan at a lower interest rate. As a check on whether you can afford a loan, we may ask you to save for 13 weeks.

Sometimes we make conditions on loans. For example, we may ask you to leave your savings in the account until the loan is paid off. We also sometimes ask you to make regular savings into the Christmas Saver, set up a standing order or pay in benefits or tax credits as a condition of a loan.

You must be over 18 to borrow.

All loans are at the discretion of the Loan Officer and are subject to funds being available.

One of our sources of revenue is the interest that we charge on loans but because we are owned and controlled by every member, that profit is made for you.


Loan Process

Loans Process

Loan Application forms:

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Loan checklist – have you:

  • joined and paid your membership fee
  • signed and dated the application
  • completed the Income and Expenditure Assessment
  • provided 2 up-to-date bank statements to show that you can afford the loan
  • provided other supporting documents (see Loan Application)
  • provided answers to the remaining questions on the application form where they are relevant
  • ticked the boxes

We aim for a loan decision within 7-10 days. The loan process can be delayed if the application form is illegible or the documents are incomplete.

We will use a Credit Reference Agency to carry out checks on all applications so make sure that you declare your credit history when you apply.

Your can improve your chances of getting a loan if you make regular savings into your account over at least a 13 week period and if you successfully repay a loan from the Credit Union this can contribute to repairing your Credit History.