Credit Union Loans

the whole year inn

I am looking to get a loan of maybe 10-12k loan in the next couple of months,thing is I am unemployed and only getting the E205 a week.I currently only have 1200 in the CU and will have near 4k in it by the time I ask for the loan.I have never taken a loan out before with the CU but I have with the banks but was declined a loan a couple of weeks ago from AIB.

I was talking to them today and they said that its all up to if you can repay the loan and your circumstances.I live at home with no bills or loans to pay.I will be getting a guarantor from my father who has a account there as well.

What are my chances of getting the loan?
I was thinking of getting it done over 3 years so be like 33 a week.

The loan is for Travelling but I don't want to tell them that what are my chances of getting one are am I wasting my time?

messrs

they will ask you what the loan is for so mayb you could tell them its for car or something like that. generally the rule with CU is you can borrow up to 4 times your savings but you wont be able to touch your savings at all until the loan is cleared in full. hard to say with having no job if they will give it to you but like you say your dad is going guarntor so once they know he can cover the loan, (if you cant) then you should be okay

the whole year inn

yea I was saying the loan would be for a car, and car insurance and clothes for job hunting etc but she said that they might say to get a cheaper car.Will they ask to prove that you are buying the car or anything like that?

scudzilla

gob_smacked wrote: »

yea I was saying the loan would be for a car, and car insurance and clothes for job hunting etc but she said that they might say to get a cheaper car.Will they ask to prove that you are buying the car or anything like that?

No, they will give you the loan at a normal APR, then if you take in your documents (Logbook & Reciept) from the car they will drop the APR down to 5.99%. At least that's what they do in my CU

anamaria

It depends on the credit union really. But as someone just said, your savings will be held against your loan and you will need your dad as guarantor so it will depend on his record with the CU. If he has had loans in the past/savings record etc...

What are you planning on telling them it is for by the way? Seeing as you are not telling them it is for travelling. The reason for the loan will also affect whether you have a chance of getting it or not

(sorry, just spotted your post above about the reason/car)

the whole year inn

yea my father is on good terms with the CU not sure about savings but he has a loan with them for awhile for about 6k and always pays on time so that should go in my favor.Is there anything I could say to get the loan bar a car,brother was saying house improvments but that be any good to futher my loan application?

messrs

no you wont need to prove its for car, i recently got 8k loan of my local CU and told them it was for car (it wasnt) and they just accecpted what i said and gave me my loan, the did ask what my monthly incomings was and my outgoings (rent, bills, ect) and took that into account, they told me to ring them next day for decision - so if the dont tell you straight away dont take that as bad thing.
btw, how long are you saving with them, and are you a regual saver, even if you only save €5 a week its good coz the see you have regual patteren and this would also come into consideration

the whole year inn

well started this year maybe 4 monts ago put some in took some out like that for awhile but will be saving constally from now till december 15,when I ask for the loan.I also have no bills,rent,loans, commitments and single.

amdublin

Why not just go and talk to the CU and see what the story is?

Personally, I am sorry, but I don't think you will get the loan.

Looking for 5/6 times your savings, unemployed etc. €10 - 12k is a big loan. How much are you plannning on paying back on that? €100 per month? That is 50% of your current income and also ten years of paying back.

Also, you need to think about if you are going travelling, what money are you going to use to pay it back?

Why are taking out such a large loan for travelling??? Are you going to Australia or somewhere you can work? Why not just work to fund your travelling.

Please think about this some more. When you come back from travelling, you will have a loan which you have to pay off. Is it worth it? What if your circumstances have changed and you have met somebody and want to save for a house/mortgage and have this hanging over your head. €10/12k is no paltry amount.

Easy credit may be easy to get but it is never easy to pay off.

Best of luck with whatever you choose to do!

the whole year inn

amdublin wrote: »

Why not just go and talk to the CU and see what the story is?

Personally, I am sorry, but I don't think you will get the loan.

Looking for 5/6 times your savings, unemployed etc. €10 - 12k is a big loan. How much are you plannning on paying back on that? €100 per month? That is 50% of your current income and also ten years of paying back.

Also, you need to think about if you are going travelling, what money are you going to use to pay it back?

Why are taking out such a large loan for travelling??? Are you going to Australia or somewhere you can work? Why not just work to fund your travelling.

Please think about this some more. When you come back from travelling, you will have a loan which you have to pay off. Is it worth it? What if your circumstances have changed and you have met somebody and want to save for a house/mortgage and have this hanging over your head. €10/12k is no paltry amount.

Easy credit may be easy to get but it is never easy to pay off.

Best of luck with whatever you choose to do!

was thinking that,I am going to canada,I will have 4 k in the CU by the stage I ask for the loan and that will be only 2-3 times the amount I want to get.the repayments over 5 years is something like 25 euro a week and pay that handy enough.I hope I can get it as I can make that payment.Might just ask for 10k as it a better amount and the payments cheaper so will prob help my case.

Just wondering do you work with a credit union or lending company's?

there are somethings wrong with your post ill be paying about 110 amonth id be getting E820 a month so it wont be 50% of my income and the pay back period is 5 years.thanks anyway

anamaria

If you are going to Canada how are you going to get your social welfare? You will not be resident in the county and therefore won't be signing on (I'm taking it this is a long trip- a year?- rather than a holiday).

the whole year inn

Im not going to pay it back after the year.

amdublin

gob_smacked wrote: »

was thinking that,I am going to canada,I will have 4 k in the CU by the stage I ask for the loan and that will be only 2-3 times the amount I want to get.the repayments over 5 years is something like 25 euro a week and pay that handy enough.I hope I can get it as I can make that payment.Might just ask for 10k as it a better amount and the payments cheaper so will prob help my case.

Just wondering do you work with a credit union or lending company's?

there are somethings wrong with your post ill be paying about 110 amonth id be getting E820 a month so it wont be 50% of my income and the pay back period is 5 years.thanks anyway

Sorry yes! Apologies, I read your €200 as per month not per week.

TBH if you have €4k saved by then, would that not be enough???

Or see if you left €2k with them would they give you €4k. Then you'd have €6k......would that be enough?

I think you should work out exactly how much you need (precisely for what) and borrow the absolute minimum that you have to borrow. Just my tuppence worth!

Plus be prepared for the CU to say no......(it's just not a great risk from their perspective).....so if you have the above worked out then you can look elsewhere for the money (your father?!)

amdublin

anamaria wrote: »

If you are going to Canada how are you going to get your social welfare? You will not be resident in the county and therefore won't be signing on (I'm taking it this is a long trip- a year?- rather than a holiday).

I assume you are hoping to get a job and pay it back from that?

You are in bit of a catch22 situation.
- At the moment with no job you are a bad credit risk.
- If you get a job in Canada you are bad risk from a "not in the country, will never pay it" perspective.

Think about what you are going to do if the CU don't give you the money.
Think about the absolute minimum you can go to Canada with and work towards that.

namloc1980

gob_smacked wrote: »

was thinking that,I am going to canada,I will have 4 k in the CU by the stage I ask for the loan and that will be only 2-3 times the amount I want to get.the repayments over 5 years is something like 25 euro a week and pay that handy enough.I hope I can get it as I can make that payment.Might just ask for 10k as it a better amount and the payments cheaper so will prob help my case.

Just wondering do you work with a credit union or lending company's?

there are somethings wrong with your post ill be paying about 110 amonth id be getting E820 a month so it wont be 50% of my income and the pay back period is 5 years.thanks anyway

5 years repayments at €25 a week is only €6500. That's not going to cover your loan at all if your looking for €10k.

I would work out exactly what you need etc. plus you won't be able to claim the dole if you move to Canada.

the whole year inn

thanks for the reply,but I thought the credit union was there to help therre custumoers unlike banks where there to make lots of profit.I understand they dont want to give money to people that wont be able to pay it back and still want to make money but I always thought the Cu was there for the people.

Well with this loan I am giving some to my brother who is coming with me so the loan is basically between the two of us.

I understad the loan is alot and will prob drop it to 8 or 9 k now with 4 in there prob get a better chance.and I understand that I may not get it aswell.

I will pay it back when I return from canada,and I understand I cant draw the dole when I am over there!

amdublin

Good luck! Keep us updated how you get on.

Good luck in Canada as well, hope it works out for you.

the whole year inn

Will do,might try a smaller loan maybe 9k with 4k in it.Anyway see what happens.Hopefully I will be able to get some sort of a loan my situation is not that bad considering .

the whole year inn

Just an up date I got the loan today was approved yesterday and had to sign they forms today got the cheque stright away and now just waiting to fly to canada on the 29th.I was just honest with them and told them i was going to canada and got my father to sign for it aswell.

Thanks for the help guys.

fasterkitten

gob_smacked wrote: »

thanks for the reply,but I thought the credit union was there to help therre custumoers unlike banks where there to make lots of profit.I understand they dont want to give money to people that wont be able to pay it back and still want to make money but I always thought the Cu was there for the people.

Well with this loan I am giving some to my brother who is coming with me so the loan is basically between the two of us.

I understad the loan is alot and will prob drop it to 8 or 9 k now with 4 in there prob get a better chance.and I understand that I may not get it aswell.

I will pay it back when I return from canada,and I understand I cant draw the dole when I am over there!

It's not helpful to give you a loan you will most likely struggle with paying back.

the whole year inn

well if thats the case I have my father to gaurentour for it.and the loan is between 2 of us and will be able to pay 25 a week each!

Fighting Irish

gob_smacked wrote: »

was thinking that,I am going to canada,I will have 4 k in the CU by the stage I ask for the loan and that will be only 2-3 times the amount I want to get.the repayments over 5 years is something like 25 euro a week and pay that handy enough.I hope I can get it as I can make that payment.Might just ask for 10k as it a better amount and the payments cheaper so will prob help my case.

Just wondering do you work with a credit union or lending company's?

there are somethings wrong with your post ill be paying about 110 amonth id be getting E820 a month so it wont be 50% of my income and the pay back period is 5 years.thanks anyway

you can still get the dole if you go travelling to Canada?

Fighting Irish

gob_smacked wrote: »

thanks for the reply,but I thought the credit union was there to help therre custumoers unlike banks where there to make lots of profit.I understand they dont want to give money to people that wont be able to pay it back and still want to make money but I always thought the Cu was there for the people.

Well with this loan I am giving some to my brother who is coming with me so the loan is basically between the two of us.

I understad the loan is alot and will prob drop it to 8 or 9 k now with 4 in there prob get a better chance.and I understand that I may not get it aswell.

I will pay it back when I return from canada,and I understand I cant draw the dole when I am over there!

lololol

stepbar

The credit union (whilst admirable) do not always act in the best interests of people. As true as I'm standing here, I got a loan with them and were it not for the fact I provided a payslip as proof of my PPS no, I could have made up any income details!

Granted, the person who gave me the loan is someone who I know very well and someone who knows my family very well. He knows I'm a honourable person and not going to start spoofing. The point is I think the credit union in general can be a bit loose when it comes to the information they look. Some of them are not even part of the ICB!

It's scary to think that some people just basically lie through their teeth to borrow money. This was one of the biggest problems I had when I used to do personal lending.

the whole year inn

Fighting Irish wrote: »

you can still get the dole if you go travelling to Canada?

How so?Could you explain this or you taking the pi$$

Well I didnt lie through I teeth,I was honest with them explained what we where doing and why we need it and sorted out a payment plan.

Fighting Irish

gob_smacked wrote: »

How so?Could you explain this or you taking the pi$$

Well I didnt lie through I teeth,I was honest with them explained what we where doing and why we need it and sorted out a payment plan.

wait, what?