Voyager Alliance Credit Union account Blocked

Mart34

Hi Guys

Just wanted a little advice. I recently took out a loan with Voyager Alliance credit union. Which I was having £25 per week taken from my wage, £10.82 of this was being used to pay the loan with the rest sitting in 'Available Funds'

Due to a recent unexpected repair bill I had to find as much money as possible as quickly as possible. So I withdrew the 'Available Funds' from my credit union account.

I have now since been blocked from any access to my membership account where my funds hit on a weekly basis, finding out from the credit union the funds are held against the loan balance, but no where in the agreement did it say the account would be blocked if 'Available funds' were withdrawn.

Can the credit union legally block someone access from their own 'Available Funds' whether it be held against a loan balance or not.

fwor

You don't say which type of loan you have with them, but assuming it's their Optimum Loan, the terms (on their website) clearly state:

"Note: You will lose access to your membership savings whilst you repay the loan but savings can be withdrawn once the loan is cleared."