Our Family Loan is a loan that is repaid using Child Benefit.
You can join and apply for this loan on the same day (if you're not already a member). The first loan is capped at £500 and can be used for any family expenses, such as back-to-school, holidays, day trips, clothes & household goods.
We deduct £14.50 from your Child Benefit every week and the money is split between growing your savings & repaying your loan. The remainder of your Child Benefit is returned to you the same day we receive it.
If you receive your Child Benefit every 4 weeks, then please multiply these weekly figures by 4 to confirm your repayments.
The £3 weekly savings are placed in an Attached Savings account, which are locked to your loan. These savings are available to withdraw once you have fully repaid your Family Loan.
If you're already a member with the credit union and would like to apply online, please click the button below:
If you took the same £500 loan with the Provident, you would have to pay £18 per week (299.3% APR) and at the end of 52 weeks you wouldn't have any savings. For this loan they would charge you £436 in interest.....we only charge you £97 and help you save!
*Loan comparison correct as of 28/09/2020
Family Top Up Loan
Once your loan has reduced by 20% you are welcome to apply to "top-up" your loan, which will allow you to extend your existing loan up to £1,000. Your weekly savings will remain the same and your loan repayments will increase to at least £18.05 per week.
If you receive Child Benefit for two children or more, we may ask you to increase your loan repayments to £23 per week, so your loan is repaid earlier (within 1 year).