Loan Terms and Conditions - Riverside Credit Union
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Important Information

Loan Terms and Conditions

Eligibility

  • Only members aged 18 – 79 may apply for a loan. Secured loans available for members over 79
  • Saver loans will only be issued to members who have saved for a minimum of 10 weeks (or three consecutive monthly standing order payments)
  • Starter loans will only be issued on receipt of child benefit payment.

 

Interest

  • Interest on all loans will be charged at 3% per month on a declining balance.

 

Application and Approval

  • A loan application form must be fully completed for all loans
  • Bank/Post Office statements and proof of address will be required
  • All loans are subject to approval and the availability of funds within Riverside Credit Union
  • Lump sum deposits will not be deemed as a regular payment or pledge
  • A loan agreement must be completed and signed prior to the payment of funds for all loans
  • You must pay a minimum of £5.00 into your savings per week along with your loan repayments.

 

Loan Issue

  • Each loan will be paid into your bank, Engage Card or issued on an instant load card (£1.00 charge).

 

Loan Life Insurance

  • Loan Life Insurance is provided free for all members aged 18-79
  • Any member aged 70 and over should understand that each loan may carry with it an additional premium to represent the insurance charged by Cuna Mutual Insurance
  • All members must be aware of the pre-existing medical condition clause that applies to any loan.

 

Repayment Terms

  • The maximum repayment period for first loans is 12 months for saver loans and 30 weeks for starter loans
  • The minimum repayment term for all loans is 10 weeks
  • The maximum repayment term for all subsequent loans is 60 months for saver loans and 30 weeks for starter loans.

 

Rejected Loans

  • All loans will be rejected if the above criteria are not met. If a member disagrees with the decision they must appeal in writing to The Board of Directors. The appeal will be discussed with a loan officer present.

 

You will notify RIVERSIDE LIVERPOOL CREDIT UNION LTD (hereafter called the Credit Union) of any changes in financial or personal circumstances preventing you from making a loan repayment as agreed between yourself and the Credit Union and outlined in the Promissory Note. You understand that the Credit Union may, depending on your circumstances, allow you to renegotiate the repayment terms of the loan should you suffer a change in your financial circumstances. Notifications or negotiations of this sort must be done through the Credit Union’s Loan Officers.

 

You will notify the Credit Union of any name change, change of address or a change of next of kin. You understand that should you change address without informing the Credit Union we will instruct our Debt Collection Agency to conduct a search of your whereabouts and that you will be charged for any costs incurred for that search.

 

You understand that if the Credit Union has a data sharing arrangement with a Registered Social Landlord that happens to be your Landlord the Credit Union and the Landlord may share pertinent information about you, such as whether or not you are still living at the address and if you have rent or loan arrears.

 

You understand that should you miss more than two consecutive loan repayments without consultation or permission from the Credit Union, then the Credit Union reserves the right to periodically deduct any outstanding interest from your shares without prior notification and that, in doing so, the loan balance will not be reduced and the outstanding amount will still incur interest.

 

You understand that, in the event of your persistent non-payment of this loan, the Credit Union reserves the right to transfer all your savings (as appropriate) from any account you have within the Credit Union to pay off the loan and any outstanding interest, and that any remaining loan balance will be pursued, if necessary, through the courts and court costs and our solicitors fees will be added to the outstanding balance.

 

You understand that all costs incurred in pursuing non-payment of this loan will be added to your account and will increase the size of the amount outstanding.

 

You understand that the Credit Union will RIGOROUSLY pursue any non-payment of this loan and any non-payment could result in any of the following: having a County Court Judgement against you, Bailiffs attending your property, an attachment of earnings, a charge on your property, deductions at source from state benefits or other penalties that the law allows.

 

You agree that if you default on repayments, information about your loan may be passed onto the Department for Works and Pensions for their consideration of deductions from benefits that you are or will be entitled to.

 

You understand that, should you have a guarantor for this loan, the guarantor will be pursued in addition to yourself for any non-payment of this loan and all the Terms and Conditions of this loan also apply to your guarantor.

 

You understand that the interest on this loan is charged at 3% per month of the outstanding balance of the loan and that the interest and loan details agreed when you signed the Promissory Note will alter if you do not make loan repayments as agreed when you took out the loan. If you make a late payment you will have to pay more interest than was shown on your Promissory Note and if you pay in advance you will pay less interest than is shown on your Promissory Note. In either case, the Credit Union will be able to give you the new details on request.

 

You agree to hand your personal income and expenditure and other pertinent details to the Credit Union for checking as and when requested by the Credit Union and at the start of each loan application.

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