Loans

Application Process

Our application process is based on you as an individual, not just an automated score. As part of our personalised process, we’ll look at the full financial picture, giving you the best possible chance of us being able to say yes.

Apply Online
Loan Decision
Offer & Agreement
Payment

1

Apply Online

The online application will take roughly 15 minutes. As part of the process, we will ask for some information about your address history, your employment situation, and your current household income & expenditure.

We’ll also ask you for copies of your recent bank statements and payslips or other proof of income. It will speed things up if you have these ready, but if not, don’t worry—we will email you with a link to upload them later.

2

Loan Decision

After we receive your application, our team will look through all the information you have provided to decide if we can offer you a loan.

As part of this, we will check your bank statements to make sure that the repayments are affordable—this is to protect us both, by making sure we only lend you what you can comfortably afford to repay.

This process takes around 7-10 working days, and we’ll send you daily text updates so you know what’s going on, and in case we have any questions.

3

Offer & Agreement

Once our Loan Team have made a decision, we’ll let you know by email, letting you know how much we can offer you, the interest rate, and the amount you’ll repay each month.

Often, we’ll be able to offer you the full amount you applied for, but sometimes, it may be less. If you are happy to accept our offer, we’ll email you with a digital copy of your Loan Agreement, for you to read and sign.

4

Loan Payment

Once you return the Loan Agreement, the money should be in your account within 1-2 working days.

We will take care of the rest, and, if applicable, arrange with your employer for your agreed repayments to be deducted from your pay each month.

Child Benefit Loan

If you have one child, you can apply for £500 while if you have two or more children, you can apply for a Child Benefits Loan for up to £1,000 straightaway.

Homeowner Loans

Homeowners with equity in their property can get loans of up to £3,000 with just £300 in savings, at a 50% discount, on the standard monthly interest rate per month.

Salary Saving Scheme

Anyone who works for an employer who has a partnership agreement with us is eligible to apply for this loan straightaway.

Saver loans

Regular savers may apply for a loan after three months of saving. As a rough guide you may borrow up to three times what you have in your savings repayable over up to 60 months.

Transport loans

If you are looking to buy a new motorcycle, push-bike, car or even a travel card, why not take advantage of our transport loan? Borrow up to £5,000 that is repayable over up to five years (60 months) where the Interest rate varies.

New Member Starter Loan

New to HertSavers Credit Union? Get started with a £750 loan designed to help you take your first step on your financial journey. It’s a simple way for new members to build confidence and move towards greater financial security.

Christmas loans

Spread the cost of Christmas. You can borrow up to three times what you have saved in your basic savings account up to a maximum of £10,000 above the level of savings in this account.

We offer loans to suit your needs, in all cases you get:

Sensible interest rates – with, in most cases, a maximum of 2% per month (26.8% APR).
You only pay interest on the outstanding balance so if you decide to pay off early it costs you less.
No hidden charges or unexpected penalties – for example, you can pay your loan off early without penalties if you are able to. There are no fees for taking out a loan
Lower rates if you have a track record with us – once we know you we may be able to offer you a lower rate or a larger amount.

Loans

Interest on loans up to £500 is 3% per month (42.6% APR); loans are available from £501-£2,000 with an interest rate of 2% per month (26.8% APR). However many loans are given with a lower interest rate, this is subject to personal circumstances and credit checks. You need to have committed to regular saving with us but you can borrow up to £1,500 at 2% per month(26.8% APR) straight away. Larger loans of between £2,000 and up to £15,000 net can be available at a monthly interest rate of 1% (12.7% APR).

How much can I borrow?

Day-to-day lending decisions are made by CUS staff, under policies agreed by the HertSavers Board. We have a Credit Committee which oversees CUS lending decisions and decides on larger loans or, in the case of appeals, against lending decisions.

In general, a loan should be a minimum of £250 with a maximum of £15,000 above your savings. Members can apply for up to three times the amount they have in savings, up to the £15,000 limit. If you join HertSavers and save by the Salary Saving Scheme or if you direct your Child Benefit to your HertSavers account, you may be able to borrow almost as soon as you join. In other cases, prudence requires us to be more restrictive in our lending criteria.

Loan product comparisons

Click here to view the loan product comparison document. Please note that it is at the discretion of CUS to determine the interest rate for each member depending upon their individual circumstances. It may be the case where CUS offer an interest rate between the lowest and highest if their risk falls between the two.