The easy way to borrow money
How a credit union can provide a loan
The money that is saved by the members of a credit union is in turn lent out to other members. A credit union will take a members savings record with the credit union and their ability to pay as its main information when deciding whether or not to grant a loan. You don't need to have an established credit record to borrow from a credit union. First Rate Credit Union reserves the right to carry out further financial checks where necessary.
Obtaining a loan from First Rate
Simply complete a loan application form and return it to the credit union office with your latest month's bank statement and pay slip. Please ensure the form is thoroughly completed, failure to do so will result in the form being returned.
- Where else could you borrow £2,000 over a year for a total interest payment of just £104.40, (Representative APR 9.9%) and interest is only charged on the outstanding balance, not on the full amount of the loan?
- There is no arrangement, set up or hidden fees and no charges if you want to pay the loan off early.
- Loans over £10,000 are at the lower interest rate of 7.9% APR.
Paying off the loan
For employees, you pay back the loan straight out of your wages by Payroll Deduction. The forms are available on the internet or direct from the office. Retired employees and immediate family pay the loan back by using a Bank Standing Order Mandate form,
which is also available from the same sources.
A death in the family is a difficult time for remaining relatives. If a first Rate Credit Union member passes away then our own benevolent fund will pay the balance of any loan owed to the credit union by the deceased, giving peace of mind to the family.
Credit Reference Agency Information Notice
First Rate Credit Union exchanges data with Credit reference Agencies for the purpose of credit checking, loan application assessments, fraud prevention and reporting of how well your account is managed. Full details of how Credit Reference Agencies may process your data can be found by clicking here
5-Star Fairbanking Award
After rigorous assessment, our loans have been granted a 5-star award from the Fairbanking Foundation in recognition of how our lending supports members in improving their financial health.