Credit Union Student Loan

street

Hi all,

Can anyone tell me how long it takes from the time you join the credit union to get a loan/student loan. Is it 6 months? A mate of mine in college is having difficulty getting a grant this year and is in need of some help. Would the credit union be the best way to go? Advice appreciated, thanks.

street

Anyone?

galwayjohn89

No need to bump it so quickly, it was at the top anyway.

No idea for credit unions, never had an account. Has he tried BOI or AIB? I found BOI very reasonable with college loans.

street

Vuzuggu wrote: »

No idea for credit unions, never had an account.

Why reply to the post then?

galwayjohn89

You asked "Would the credit union be the best way to go? Advice appreciated, thanks."

I gave you my advice from my experience. Bank of Ireland in particular are very good to students and found them a breeze to get a loan with even though I had just opened an account with them. My friends has issues with credit union but I personal never bothered with them. Really don't see the point especially with having to have savings to take out loan.

Thought it might be useful but obviously not.

Aeternum

I think it probably depends on the individual CU, but from what I know from other people's experiences is our local CU requires proof of saving for the months prior to applying for a loan, or to have a decent lump sum in the account. If you open an account and only put one hundred Euro in it, you won't get a loan for a few grand 6 months down the line. I am just going by what I have heard. I have a CU account since I was a child so when I went to apply for a loan it was approved there and then.

street

Vuzuggu wrote: »

You asked "Would the credit union be the best way to go? Advice appreciated, thanks."

I gave you my advice from my experience. Bank of Ireland in particular are very good to students and found them a breeze to get a loan with even though I had just opened an account with them. My friends has issues with credit union but I personal never bothered with them. Really don't see the point especially with having to have savings to take out loan.

Thought it might be useful but obviously not.

I take your point Vuzuggu and thanks for the advice. Just thought the CU would be more flexible and involve less fees etc and lower interest rates than the banks.

street

Aeternum wrote: »

I think it probably depends on the individual CU, but from what I know from other people's experiences is our local CU requires proof of saving for the months prior to applying for a loan, or to have a decent lump sum in the account. If you open an account and only put one hundred Euro in it, you won't get a loan for a few grand 6 months down the line. I am just going by what I have heard. I have a CU account since I was a child so when I went to apply for a loan it was approved there and then.

Thanks Aeternum, so it's 6 months before you can get your first loan yeah?

galwayjohn89

street wrote: »

I take your point Vuzuggu and thanks for the advice. Just thought the CU would be more flexible and involve less fees etc and lower interest rates than the banks.

Depending on the course BOI do interest free

street

Vuzuggu wrote: »

Depending on the course BOI do interest free

For the whole term? Any hidden fees/transaction charges?

galwayjohn89

Interest free until you graduate. No other fees.

For my course you're entitled to (up to):
Year 1: €2,000
Year 2: €2,000
Year 3: €2,000
Year 4: €2,500.

I didn't get one in first year but have the other three years so have €6,500 interest free until July this year.

street

Vuzuggu wrote: »

Interest free until you graduate. No other fees.

For my course you're entitled to (up to):
Year 1: €2,000
Year 2: €2,000
Year 3: €2,000
Year 4: €2,500.

I didn't get one in first year but have the other three years so have €6,500 interest free until July this year.

So are you saying to me that you can walk into BOI and say "Hi, I'm a college student and I need a lend of a few grand until i graduate" and they give it to you for free? Or do you need to pay something when you graduate?

galwayjohn89

Yes if you are in one of there preferred faculties doing an approved course. Obviously they do checks too but I got it no problem without a job.

If you're not in an approved course there will be interest.

street

Vuzuggu wrote: »

Yes if you are in one of there preferred faculties doing an approved course. Obviously they do checks too but I got it no problem without a job.

If you're not in an approved course there will be interest.

Wow.. By any chance do you have a link to the approved courses?

galwayjohn89

http://personalbanking.bankofireland.com/life-stages/student/student-loans/preferred-faculty-loan/

Although that says it's 5.6% which is still low enough. Interest free might only be in Trinity. Not too sure though.

Hi . Most Credit Unions are keen to offer a student loan and the rates are usually better than in the banks. You may have to provide a guarantor who has an income, and they can be a CU member or not. You could open an account and as you say lodge €100 and ask for a loan of a few grand. Some CU's will facilitate this request depending on the income and ability of the guarantor to repay a loan (or commit to a guarantee…same thing really), & other CU's will not.

Its just not possible to say you have to wait six months or not, Could be 6 days, 6 weeks, or you name it!

As each CU has its own individual lending guidelines or policy you will have to ask your CU if they want the business!

Remember that each CU is a separate limited company with its own board of directors and management team.

I wish you luck

street

George Bernard wrote: »

Hi . Most Credit Unions are keen to offer a student loan and the rates are usually better than in the banks. You may have to provide a guarantor who has an income, and they can be a CU member or not. You could open an account and as you say lodge €100 and ask for a loan of a few grand. Some CU's will facilitate this request depending on the income and ability of the guarantor to repay a loan (or commit to a guarantee…same thing really), & other CU's will not.

Its just not possible to say you have to wait six months or not, Could be 6 days, 6 weeks, or you name it!

As each CU has its own individual lending guidelines or policy you will have to ask your CU if they want the business!

Remember that each CU is a separate limited company with its own board of directors and management team.

I wish you luck

Thanks very much George! : )

street

Vuzuggu wrote: »

http://personalbanking.bankofireland.com/life-stages/student/student-loans/preferred-faculty-loan/

Although that says it's 5.6% which is still low enough. Interest free might only be in Trinity. Not too sure though.

Thanks Vuzuggu.