Perhaps you know someone who is struggling in this position?
Unfortunately, when you miss a loan repayment, your account falls into arrears i.e. you have fallen behind on your loan repayments.
If it remains in arrears our team will contact you via phone, email. If you find yourself in financial difficulty and unable to meet your credit union loan repayments, please contact us & we can support you. We’re here to help you through this difficult time.
If you have:
Become redundant or employment circumstances change,
Family circumstances have changed,
Are on a low income,
Fallen behind in loan repayments,
Are in ill health
Find yourself over-indebted
Finding it difficult to meet repayments
Our Arrears Team will:
Review your account & discuss your overall situation
Help you to write a realistic budget, if you wish,
Assist you in getting back on track with repayments
Discuss all options available to you & work together to agree a realistic payment plan
And we do not charge our members a fee for this service!
Contact our Arrears Team today and start the process of getting back on your feet!
Need an answer now? See our "Missed Payments" FAQ's
If your answer is not here ring us for a chat and we'll discuss how you can catch up and get back on track!
Call us on 01332 348144 to discuss your account and circumstances. We will work with you to find the best solution to make your repayments and maintain your financial wellbeing.
Interest is calculated on the outstanding loan balance and is charged daily at the rate set out in your loan agreement.
Once the balance in your holding saver is higher than your remaining loan balance, you can use the funds in your holding saver to pay off your loan early!
Simple answer is 'no'.
If you have entered into an individual voluntary arrangement (IVA) then you are restricted to borrowing no more than £500 without obtaining permission from your insolvency practitioner.
When we consider affordability, we will look at other debts, repayments. You are very welcome to join us and save regularly, just a small amount every week or month soon build up into a useful fund for when you need it.
IVAs are a legally binding form of debt management that work by freezing your debt for a fixed period, usually 5-6 years. During that time you must commit to paying a monthly amount towards your debt. After the fixed period, any money you still owe will be cancelled but only if you have made all your agreed payments and not been in breach of your agreement.
An IVA is arranged through firms called insolvency practitioners. Unfortunately some are motivated by the fees they will earn than your best long-term interests.
IVAs are not free. There are fees, we regularly see £4,000 to £5,000 being charged. Your monthly repayment will be set to cover both the amount owed to the lenders and your IVA provider’s fee. But the IVA fees are paid first. So many times we see thousands being paid, but that only reduces the fee, and has little impact on reducing your debts.
IVAs also include conditions that will affect your financial independence. You may be asked to sell your car or other personal items of value. Any savings will be taken in and if you receive an unexpected gift or an inheritance you may have to pay all of it into the IVA. You may even have to remortgage your home to cover some of your debts.
Your IVA could affect your ability to borrow for up to 12 years. The arrangement will appear on your credit history and make it difficult or very expensive to obtain such basics as phone contracts and credit cards. There may be legal restrictions to stop you borrowing even from family or friends or take up salary benefits like cycle to work schemes and season ticket loans. In most cases you will need to get written permission from your insolvency practitioner.
