Loans
Five Good Reasons to borrow from Durham County Credit Union
1. Low Rates
Low cost fixed rate loans only 1% per month on the reducing balance = an equivalent AER of 12.68% per year. The interest we charge is only used to pay for the running of the Credit Union and for distribution to savers as dividend.
Just compare out rates:
Click Here to compare the cost of borrowing from other legal home credit providers using Lenders Compared.
Click Here to compare the cost of a loan from Durham County credit union.
2. Simple and Straight forward application process
Complete an Application Form and either take it to a service point or post to :
Durham County Credit Union Ltd, 136 Edge Court,Durham City, DH1 2XG
Approved Loans are normally issued within five working days but special arrangements can be made if required sooner.
3. No hidden arrangements fees
Credit Union loans come with no hidden charges and no penalties for early repayment. This contrasts sharply with unsecured loans from most other providers. Credit Union loans are much cheaper than loans from most other providers and are available for small amounts on the same terms. They do not incur the set-up fees, administration costs, commission payments and early redemption fees associated with banks and loan companies.
4. Interest is calculated monthly on the reducing balance
The fact that interest is charged monthly and only on the outstanding balance is one of the key advantages of borrowing from a Credit Union. This means that early or increased repayments will reduce the overall cost of the loan.
5. Life insurance is included at no extra cost to the borrower
You can borrow with confidence from Credit Unions. There is no need to worry about what happens to an outstanding debt in the event of your death as all credit union members have free life cover on their savings as well as loans.
How Much You Can Borrow
Before you can apply for your first loan, you must have saved for a minimum of 10 weeks and have a minimum of £50 in your account.*
First Loan
Can be up to twice the value of your savings or the value of your savings plus £100, whichever is less.
Second Loan
Can be up to three times the value of your savings or the value of your savings plus £200 whichever is less.
Subsequent Loans
Once you have built up your credit rating by repaying your loan in line with your loan agreement the Creit Committee may agree to larger loans.
*Important: Loans are granted at the sole discretion of The Durham County Credit Union and are subject to Durham County Credit Union Terms and Conditions. We are here to help and you must notify us immediately if your circumstances change and you have problems meeting your regular repayments.
