What are Guarantor Loans?
If you have been refused a loan by the Credit Union because of a poor credit record but we feel you still have the ability to repay a loan, we may ask you to provide us with a suitable Guarantor. The Guarantor would then also become legally responsible for repaying the loan if you do not.
Helping rebuild your credit profile
The loan is in your name and we will let credit referencing agencies know that you are making payments on time. This will help to re-establish your credit score over time.
In order to activate your account we need to receive a minimum payment of £8.00 into your credit union savings account. This will cover the £3.00 annual service fee and the £5.00 minimum savings deposit.
If your loan is approved the funds will be deposited into your savings account with us. If we have not received the £8.00 minimum payment this will be deducted automatically at that time.