Hi all,

I have recently just applied to be a member of a Credit Union near me, and I saw that they offer loaning services. Do you know if they run credit checks during the application process?

Kind Regards,

Andrew Berry

Hi --- Can't say with certainty, but I found the article below on my hardisk, from the FSA all about credit unions. Hope this helps you. !

http://www.moneymadeclear.fsa.gov.uk/pdfs/credit_unions.pdf

It's really all up to the members, so it's for you and the other members to decide. Often you will be expected to save with the credit union for a period before making a loan application.

http://www.abcul.org/page/about/intro.cfm

Cheers for the replies.

I was going to have both a savings account and a loan accout in tandem. On looking at the website, it appears I would be allowed to apply for a loan straight away, but I think if I can get some savings on the go too, can only help me out in the future (as long as I can afford to that is!).

I'm going to see them tomorrow so I will keep you posted with the outcome.

:)

Our credit union will borrow after 3 months, I've been saving for months now but will wait till September to take out a loan with them, It's a cheep option and encourages you to save!!

Ah, it's good to know. Thanks. Did they mention about credit checks?

I am going this weekend, my day off last week was cancelled due to staff shortages, and then couldn't go over the weekend as I had left everything at work!

They don't say anything about credit checks and really don't think they carry them out!!

Most CUs will base lending decisions purely on affordability and savings record, not on credit checks. However, some CUs are beginning to access DWP funding that allows them to lend DWP money, but only at a higher rate than normally applies to CU loans and after a credit check. Good luck.

Hi I am involved with a credit union and we do use credit checks prior to giving loans which are usally based on abillity to repay. They are not given for the first 13 wks when you need to save. The lending rates are usually on a par with other lenders and far less than any doorstep lender and we are all covered by the FSA.