Loans
If you are a member of Falkirk District Credit Union and are over 18, you can apply for a loan once you have saved regularly for 6 weeks (if paying weekly) or 2 months (if paying monthly). The amount you are eligible to apply for may depend on the level of savings you have in your account.
All loans are considered by Falkirk District Credit Union’s loan committee and take the following factors into account:
- Payment history with the credit union
- Length of membership
- Income and expenditure
- Previous loan history
- Other debts including trust deeds and debt payment plans
- Credit score (please ensure you are on the electoral roll at your current address)
How much can I borrow?
This will depend on which credit union loan you are applying for as follows:
| Type of Loan | Level of Savings | How much can I apply for? |
First Loan (no top ups permitted on first/second loans – must be repaid in full in instalments before applying for 2nd loan) | Save £100
Savings more than £200 | Borrow £300 (minimum loan) Borrow £500 Borrow savings plus 50% at the discretion of loan committee. Maximum repayment period: 2 years |
| ||
Second Loan | ||
(no top ups permitted on first/second loans – must be repaid in full in instalments before applying for 3rd loan) | As first loan or | |
Save £300 | Borrow £750 | |
Save £400 | Borrow £1000 | |
Savings more than £400 | Borrow double savings at the discretion of loan committee Maximum repayment period: 3 years | |
Third and further loans | Based on affordability and regular Credit Union payments | Maximum loan £15000 Maximum repayment period: 5 years |
Secured loan (you cannot withdraw your shares up to the balance of the loan). | Minimum £300 | Up to the balance of shares Maximum repayment period: 10 years |
Top up loans | Will be considered if existing loan is paid by half and at the discretion of the loan committee. Maximum 2 top ups per year Larger than usual deposits to bring loan to half result in 4 weeks wait before application can be considered | Maximum loan balance £15000 Maximum repayment period: 5 years |
NOTE: The maximum any member can borrow is £15,000. All loans are subject to credit search and approval by the loans committee. When you take a loan with us, your information may be shared with credit reference agencies, which can affect your credit file.
Will you help me if I need more money but I already have a loan outstanding?
Yes, where your loan repayments have been regular and as agreed we can consider giving you a Top Up Loan once the original loan has been repaid by 50%. If you deposit a lump sum to your shares or to bring your loan down to this level you will have to wait for 4 weeks before applying. Top up loans are offered on third (and subsequent) loans - you will be able to apply for a maximum of 2 top ups per calendar year.
Can I withdraw my savings while I have an outstanding loan?
The share balance at the time of your loan application will be held as collateral against your loan and cannot be withdrawn until the loan is repaid or the loan balance is lower than the shares. If you continue to pay into your shares you may withdraw any extra share payments made within the loan’s duration.
How much interest will I pay?
We have varied interest rates depending on the value of the loan. All interest is calculated daily on the reducing loan balance and there are no penalties in the event of early repayment of the loan.
| Loan Type | Loan Value | CU rate | APR |
| Standard Loan | £0 - £1500 | 24% | 26.82% |
| Standard Loan | £1501 - £10000 | 18.6% | 20.27% |
| Premium Loan | £10001 - £15000 | 9.6% | 9.9% |
| Secured Loan (up to the value of shares) | £1 - £15000 | 9.6% | 9.9% |
Interest rates updated 01.10.23
How do I apply?
You can apply for a loan online through the members' area of our website or complete a paper application and submit to the office or by email to office@falkirkcreditunion.co.uk.
For unsecured loans i.e. more than your share balance you will also be required to submit your last 3 months bank statements with your application or provide this information by agreeing to Open Banking via AccountScore. Click for FAQ's.
Loan applications are considered and approved on a Thursday afternoon after which you will receive an email with paperwork via Signable (a secure encrypted website) or receive a telephone call to advise of the outcome. Please submit your application and supporting documents by 12pm on a Wednesday at the very latest for approval that week.
Typical Loan Examples
| Loan Amount | Typical APR | Repayment | Interest Charged | Total Amount Payable |
| 500 | 26.82% | £10.84 (over 52 weeks) | £63.32 | £563.32 |
| 2000 | 18.6% | £100.44 (over 24 months) | £410.48 | £2410.48 |
**These figures are correct as at 1st October 2023
