credit unions

EllieB_2

New thread and a new thought - don't know how many people have come across credit unions - they are basically a finance co-operative. The provision varies a lot across the country but if you have one in your area they are worth looking into. I have been involved in setting up and running a credit union in my area for the last ten years. After using them for years to save a bit and borrow at a low rate of interest I have finally taken the plunge to go the whole way and have closed my bank account. All my finances now go through the credit union. I have my salary paid in and they pay my direct debits. I can have a statement when I want, there are no charges save a £1.00 membership fee and we agree how much I can draw each week for everyday expenses. I now have complete control over my finances which I never had when I was running a regular bank account. Although I am not badly paid somehow the money always ran out - without a debit and credit card and only using cash I am much more aware of where my money is being spent. I recommend them to anyone!! Any thoughts anyone?
EllieB

MCBIRNIE25

Hi Ellie,
i have been a member of 1 for a long time, and recently ran a motion to get my Trade Union to set one up.
I agree that they are a superb way to save, and borrow if the extreme need did arise.
Good post.

MCBIRNIE25

lynzpower

My local credit union offers personal loans from 21%

Im not sure they are all they are cracked up to be. Better than provi? Well maybe. But certainly not as cheap a debt as what you can get elsewhere.

I was quite disappointed when I saw the rates

MCBIRNIE25

That's huge Lynz, and well above the legal maximum allowed by a credit union.
I have got a book on this and there rates somewhere, gonna have to dig it out now.

lynzpower

ooh really Mcbirnie

I saw it and was so :eek:

Seems tobe above board credit union, there was a speech made by the FSA about it under thier inclusion policy I found yesterday when googling

Look forward to seeing what you find :beer:

THE_LONE_RANGER_4

my credit union ive been with for a long time ,i can borrow up to 7k as long as ive got savings in them and my payment record is good it has to be paid back over 4 years max the interest is charged on the reducing balance ive used them for a 2nd car purchase a new kitchen and a trip to australia cheaper than borrowing from the bank open one get saving etc i save £100pm i think the minimum in ours is £30pm

beanielou

Im a great fan.
Thought they could not charge more than 12%.
Check it out LYnz

katsplat1

So how do you find out if there is one near you?

MCBIRNIE25

I just got my book out, and they are only allowed to charge 1% per month, or an APR of 12%. Lynz, i would be having words. Sure ya werent drunk reading the literature and it was 2.1% :-)

MCBIRNIE25

Kat look in phone book under credit unions.

aimme13

hi, about to join one......i was gonna do a thread on this last week and ask for peoples opinions but put it into the search thread and saw it had been discussed before. Glad this has come up again,

My reasons for joining is that my car is on its last legs and i know by the end of the year i will need a new one (well old one if you see what i mean!!).......my credit rating is poo!!! so no c/c or loans, but i know with my credit union after i have been a member for 3 months i can borrow 3 times my savings at a rate of 1% per month. It is kind of a safety net for me, i hope never to have to borrow the money but is good to know an emergency arrises they are there.