Borrow – Moray Firth Credit Union

Ethical, affordable loans for you

Borrowing from Moray Firth Credit Union is easy. Our charges are fair and each application is looked at on its own merits. Whether you’re planning to do some home improvements, change your car, book a dream holiday or pay for a wedding or any special celebration – an affordable loan from us can help you spread the cost.

Members can apply to borrow any amount from £50 to £15,000 (subject to status) from only 10.47% APR representative. Repayments can be made on a weekly, fortnightly, monthly or four weekly basis for up to 4 years.

If you should ever have any difficulty in making your regular loan repayment please talk to a member of our team straight away.

We have an obligation to protect members’ savings when granting a loan and this dual responsibility is central to this Credit Union’s philosophy of co-operation between members. We reserve the right to conduct credit reference checks before a decision is made on loan applications.

See our loan example

Weekly, fortnightly, 4 weekly or monthly repayments
No hidden charges, arrangement fees or early repayment charges
Interest is calculated on the reducing balance
FREE loan protection insurance to pay off your loan in the event of your death up to age 80 (conditions may apply)
Quick decision available

Calculate your loan repayments

Use the sliders to choose your loan amount and repayment term.

Loan amount: ZAR1000

Term: 12 months

Representative Figures

Loan amount
Number of months
Interest rate
Total amount repayable
Monthly repayment

Please complete all marked fields

Personal Details

Your full name *

Email address *

Telephone Number *

Home Address *

Date of Birth *

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Income and Employment

Monthly Net Income (after deductions) *

Employment *

Name of Employer

Employer Address

Work telephone number

Job title

Business name *

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Expenditure

Your monthly displosable income is

Monthly Rent/Mortgage Cost *

Monthly utilities bills *

Monthly cost of food and groceries *

Existing monthly loan repayments

Other Expenditure (including entertainment)

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Validation and Declarations

I agree to a credit check will be performed *

I have read and agree to Loan Policy. *

I have read and agree to terms of the agreement. *

I understand that my application will not be processed until I have forwarded the appropriate documents *

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Loan Agreement

ATTACHMENT OF SHARES

All shares held in Share 1, or added to Share 1 after the loan date, equivalent to the loan or amount outstanding on the loan, whichever is the greater, and any such interest or expenses which may become due shall be attached (non-withdrawable) for the duration of the loan. Any shares held in Share 2 or Share 3 will be unattached (withdrawable).

DATA PROTECTION STATEMENT

In accordance with the principles of the General Data Protection Regulations, we will use your personal details for the purpose of managing your accounts with the Credit Union. Your personal details will be treated confidentially and will only be shared with other agencies for the purpose of debt recovery and/or credit referencing, for which purpose we hold the appropriate consumer credit license.

For our full Privacy Policy stating what data we collect and how we use it, please visit our website www.morayfirthcreditunion.co.uk or ask for a copy in the office.

TERMS OF THE AGREEMENT

“The Lender” will lend, and “The Borrower” acknowledges that they have received, the sum borrowed under this Loan Agreement. “The Borrower” will repay the loan, that is, the “Total Amount Owing” by the replacements set out in the ““Loan Details”” overleaf.
Until such time as the loan is repaid, “The Borrower” will save with “The Lender” the sum set out as above.
Interest will be charged monthly on the unpaid balance of the Loan and any unpaid interest at the rate set out in the ““Loan Details”” overleaf.
“The Borrower” has the right to settle this Agreement early, at any time, by paying in the full balance of the Loan and any unpaid interest outstanding. “The Lender” will, on request, provide “The Borrower” with a written statement of the sums which have been paid and any which remain outstanding under this Agreement.
“The Borrower” acknowledges that the details given on the Loan Application for this Loan Agreement are correct and will inform “The Lender” immediately of any change in financial circumstances, which may reduce their ability to repay the Loan, or of any change in their address.
If “The Borrower” fails to pay any amount due to “The Lender” under this Loan Agreement, or breaches any of its terms, “The Lender” has the right to demand early repayment of all or part of the balance of the Loan outstanding together with any unpaid interest. “The Lender” will give “The Borrower” written notice not less than seven days before taking any action to recover any such sum. “The Borrower” acknowledges that, if any loan repayments are not paid, or are paid after the agreed time, this may result in the “Total Amount Payable” under “The Loan Agreement” being greater than the sum set out in the ““Loan Details””.
“The Borrower” recognises this as a legally binding contract and that, if “The Borrower” fails to comply with any of its terms, “The Borrower” may be liable to further action, which may include court action.
“The Borrower” will be liable for any costs “The Lender” incurs in recovering sums due under this Agreement.
“The Borrower” assigns to “The Lender” as security for the payment of the Loan, interest and any costs payable under this Agreement all paid shares and payment on account of shares, which have been made or will be made in the future. “The Lender” has the right to set off or apply any such shares towards payment of these sums.
“The Borrower” agrees that a Certificate issued by the Secretary of the Credit Union shall be final and conclusive evidence as to the amount owed by “The Borrower” at any time.
Both parties hereby consent to registration of this Loan Agreement in the books of Council and Session for preservation and execution.

Loan Policy

Moray Firth Credit Union Ltd will make available lending products to meet member’s needs as required by and in accordance with the Credit Union Act 1979.

The Credit Union will base its lending decisions on an applicant’s ability to repay the loan (capacity) and the likelihood of the credit union receiving payment on time and in full (character). The Credit Union has an obligation to protect members’ savings when granting a loan and this dual responsibility is central to this Credit Union’s philosophy of co-operation between members. The Credit Union reserves the right to conduct credit reference checks before a decision is made on loan applications.

Credit Union Loans
Moray Firth Credit Union Ltd loans start from £50. To help the Credit Committee reach a decision on lending money they will need to see evidence of income such as:
• three recent and consecutive bank statements – paper copies
• three recent and consecutive wage slips – paper copies
• the income and expenditure of your household
• any award letters from DWP/PIP or any other evidence of income
• We will ask all members to sign a DWP form in the event it is needed within the term of the loan (except secured loans).
These documents should be included with the loan application.
To apply for a loan you must:

• Be aged between18 and 80 and be an existing member
• Not be in a current bankruptcy, DAS or Protected Trust Deed debt scheme

DWP / Universal Credit Claimants
• The maximum first time loan to DWP borrowers will be £300.
• DWP/UC claimants will be asked to sign a form so that the loan is registered with DWP/UC for repayment in the event of default.
Top Up Loans

• Top up loans will be allowed on an account after the minimum of 50% of the original loan has been paid off or at the discretion of the Credit Committee.
• Top up loans will not be granted if there have been missed payments on the original loan with no satisfactory explanation of the reason why.
• Top up loans will not be granted if the member has made no attempt to save during the period of their loan.
• Only two top up loans will be allowed in one year unless agreed by the Credit Committee.

Borrowers of £5000+
• Only available to regular members who have established a good savings and repayment record.
• Credit Committee may negotiate an interest rate with members and advise the Board at the next meeting, avoiding delays.
Regular Borrowers
• Borrowers who have saved and who have repaid more than 4 loans will be eligible for a lower rate of loan interest

IMPORTANT NOTICE

Moray Firth Credit Union Ltd reserves the right to suggest a reduced amount to borrowers from their original request. The Credit Committee will give the reason why the decision was made.

The Credit Union reserves the right to limit the amount of loans per household. Because of GDPR, the Credit Union is not permitted to reveal what loans there may already be in the home. Existing loans in the home may impact on the decision on whether to grant another loan to another member of the same household

Loan repayments will be set between the member and the Credit Committee. Should the member’s circumstances change, affecting the ability to maintain the agreed payment, the member should contact the Credit Committee as soon as possible to re-negotiate the terms of the loan. In the case of non-payments and members disregarding any reminders, every effort will be made to recover the money, leading to court action if necessary. Any court charges will also be passed on to the member for payment.

The Credit Union will try to avoid such action and alternative additional advice will be given to members so that they are made aware of other financial services available to them.

All decisions on lending are at the Credit Committee’s discretion.

It may take at least a week for the Credit Committee to reach a decision on a loan as there may be a number of factors to consider. Once a loan has been approved, the Credit Committee will contact the member.

DEBT CONSOLIDATION LOANS ARE AT THE CREDIT UNION’S DISCRETION

Monthly interest is based on a reducing balance. Interest is calculated daily. There are no early repayment fees.

Frequently asked questions

What’s the criteria to apply for a loan?

To apply for a loan you must:

Be aged between 18 and 80 and be an existing member
Not be in a current bankruptcy, DAS or Protected Trust Deed debt scheme

How much can I borrow?

Our loans start from £50. To help the Credit Committee reach a decision on lending money they will need to see evidence of income and expenditure by completing a ‘consent online’ which will be emailed to you.

We will ask all members to sign a DWP form in the event it is needed within the term of the loan (except secured loans).

To apply for a loan you must:

Be aged between 18 and 80 and be an existing member
Not be in a current bankruptcy, DAS or Protected Trust Deed debt scheme

DWP / Universal Credit Claimants

The maximum first time loan to DWP borrowers will be £300.
DWP/UC claimants will be asked to sign a form so that the loan is registered with DWP/UC for repayment in the event of default.

Top Up Loans

Top up loans will be allowed on an account after the minimum of 50% of the original loan has been paid off or at the discretion of the Credit Committee.
Top up loans will not be granted if there have been missed payments on the original loan with no satisfactory explanation of the reason why.
Top up loans will not be granted if the member has made no attempt to save during the period of their loan.
Only three top up loans will be allowed in one year unless agreed by the Credit Committee.

Can I pay off my loan early

Yes, whilst other financial organisations charge you extra if you want to increase your payments and settle your loan early – we don’t. We know it’s in your best interest to pay your loan off quickly as you can as this reduces the amount of interest you pay.

What are your interest rates?

From 17 February 2022 for all new loans

Amount	Simple Interest(Custom)	Monthly Interest *	APR%
Up to £1,000	36%	3%	42.6%
£1,001 to £4,000	24%	2%	26.8%
£4,001 – £7,500	14.4%	1.2%	15.39%
£7,501+	10%	0.83%	10.47%
Secure Loans	6%	0.5%	6.17%
DEBT CONSOLIDATION LOANS ARE AT THE CREDIT UNION’S DISCRETION

All loan applications will be assessed on a member’s need and ability to repay the loan. Monthly interest is based on a reducing balance. Interest is calculated daily. There are no early repayment fees.

All loans will be granted at the discretion of the Credit Committee

How do I apply?

You do need to be a member of Moray Firth Credit Union in order to borrow from us. Each application is assessed on individual circumstances and we use Equifax to carry out a credit search to assist us making decisions on your loan aplication.

For all loans, evidence of income, expenditure and bank statements will be required.

Remember only members may borrow from the credit union.

What about my repayments?

Should a member experience difficulties in meeting repayment commitments they should immediately contact the Credit Union office and explain their difficulties and every effort will be made to assist the member.

What about loan protection?

Loan Protection Insurance is the insurance cover that the Credit Union provides on the loans of its borrowing members. Should an insured borrower die, the insurance cover provided repays the outstanding balance of the loan in full.

Why choose a credit union instead of a bank?

A Credit Union is a community of its members, whose aims are to promote their financial wellbeing through savings, affordable and appropriate lending opportunities, and through the promotion of greater financial awareness. Members are the owners of the Credit Union.

The pressure to generate profit for shareholder dividends is greatly reduced, and any surplus generated by the Credit Union are redistributed among the members.

The structure and nature of a Credit Union frequently enables it to help those who are currently excluded from access to ordinary bank products. It can become a lifeline for people who may otherwise have to resort to payday loans or doorstep lending which often carry incredibly high interest rates.

Is there an arrangement fee?

No. There are no upfront fees or charges for arranging your loan.

If I have a poor credit history and/or have been refused a loan in the past, am I still able to borrow the money I need from you?

Each loan is assessed individually on its own merits. We understand that sometimes debts can happen through no fault of your own. A poor credit history or a refusal from another organisation does not necessarily mean that your loan will be refused by us – so you should still complete the application form with all the relevant information.

Why do you need to do a credit search?

We use a credit search to check the information you have given us. We take this into account as part of the loan decision.

What happens if my circumstances change and I find I can’t afford my loan repayment?

Please contact us as soon as possible. We can reassess your situation and review your repayments to make it easier for you to repay your loan and continue building savings.

Can anyone apply for a loan from Moray Firth Credit Union?

Yes. As long as you are 18 years of age or over and live or work in Moray or Nairn. If you are not already a member you will need to join when you apply for your loan.

You can apply for a loan at any time. The loan amount and interest charged is subject to affordability and eligibility.