How it works

Our Credit Union at a glance

  • First deposits taken 1993
  • In first full year we granted loans of £40,473 and held £41,862 in savings
  • 2004 assets in excess of £1,000,000
  • In 2001 opened membership to Cheshire
  • In 2010 opened membership to G.M.C

  • 2021 assets in excess of £5,000,000
  • Over 4 million pounds out on loan
  • Over 1,200members.

Savings - the key facts

  • Money usually deducted at source (payroll or pension) although we can accept one off payments subject to some T&Cs
  • Savings up to £15,000
  • No more than one lump sum deposit of up to £1,000 each financial year
  • Savings are covered by FSCS up to £75,000
  • After 1 months membership you become eligible for a loan
  • Interest on loans is charged monthly on a reducing balance
  • Any profit that the credit union makes is paid back as a dividend on a member’s savings
  • In the last 3 years we have paid dividends of 3%, 2.5% and 1.5%

Savings example

  • Assuming £100 per month is saved
  • Interest rate declared at 3%
  • Interest added in December so assuming 12 months saving with no withdrawals, savings would now be 12 x £100 = £1,200 + £19.68 interest
    • (Nationwide 1.7% = £11.11 less tax)
    • (Nat West 1% = £7.17 less tax)
  • Savings are instant access.

For more information please go to the main Savings page

Loans – the key facts

  • With approval you can borrow up to 5 times your savings, to a maximum loan of £20,000
  • We try to be a flexible and approachable as possible
  • We do not normally credit score or credit check but we reserve the right to do so
  • Loans can be repaid at any time after the first month with no penalties
  • You can pay a lump sum off your loan at any time with no penalties
  • You can transfer savings over at any time with no penalties, but you must maintain the 5 : 1 loan to savings ratio
  • Free insurance. If you die your loan is written off and your nominated recipient receives any savings you may have.

Loan example 1 (not a member of Credit Union)

  • Needs a loan of £3,000 over 3 years
  • Nat West Bank £110.17 x 36 = £3,966.12
  • Santander £102.49 x 36 = £3,689.64.

Loan example 2 (member of Credit Union)

  • Needs a loan of £3,000 over 3 years
  • Has £600 in savings with Credit Union
  • Presently saving £5 per month
  • Repays £91.27 per month for 36 months - total £3,285.36  (approximately £405 cheaper than Nat West)
  • Continues to save £5 per month (in addition to the loan payment)
  • At end of 3 years, member now has £780 savings plus interest.

For more information please go to the main Loans page

Some considerations

  • APR’S are confusing
  • We calculate interest monthly on a reducing balance - presently all our loans are on 0.5% interest rate.
  • Always compare the full repayment figure as per the example below:
  • Using alternative credit lender ‘Pounds to Pocket’ as an example, if you borrowed £500 you would repay £79.09 per month x 12 - total £949.00. With the Credit Union it would be £43.03 per month x 12 - total £516.35
  • There are other Credit Unions in the market place
  • If you default on a loan we will vigorously pursue you, take you to court and you will get a CCJ against you. The actions of one member can impact on the welfare of other members and we take this very seriously.
  • We employ a debt collection agency and a private investigator to trace people who default on loans.

If you are facing financial problems

  • We try to be as friendly and approachable as possible but we are not mind readers.  Communication is the key!
  • If you have problems with loan payments talk to us, ring the office and speak to us, we will do all we can to help e.g. reduce payments or suspend payments or interest for a few months.  
  • The longer you leave it the worse it will be.
  • Remember there is always an answer, ignoring the problem will not make it disappear.
  • External agencies do exist where you can get independent help and advice such as moneyadviceservice.org.uk.