Banks vs credit unions, the finance thread.

Siamsa Sessions

https://www.boards.ie/discussion/comment/122001776#Comment_122001776

It's 6.5 - 6.9% for up to €75k over 10 years.

I think the banks are just over 4-ish%.

I try to pay off loans early to reduce the interest paid. The Credit Union don't charge for that. Maybe the banks don't either?

whelan2

This is the leaflet I got

20240410_151514.jpg

whelan2

After moving from ulster to aib you realise how good we had it while they were here

whelan2

https://www.boards.ie/discussion/comment/122001878#Comment_122001878

I paid off a loan yesterday, a good bit before it was due to be paid, just paid the interest on top of the balance owed and account is closed

whelan2

https://www.boards.ie/discussion/comment/122001874#Comment_122001874

My brother works up in aib hq too. It's laughable, my 2 brothers work for aib...

Tileman

https://www.boards.ie/discussion/comment/122001905#Comment_122001905

that must be a nice feeeling . Have one big loan here and having being making a couple of lump sums over the past years to reduce it. Another couple of years and it will be done . Will be great to have it off my shoulders.

Tonynewholland

https://www.boards.ie/discussion/comment/122001878#Comment_122001878

You can pay off any variable loan early if you want. Should be no charge

_Brian

https://www.boards.ie/discussion/comment/122001883#Comment_122001883

damn.
Essentially €30k interest on a €75k loan 😮

You’d want to be getting a serious returns on whatever the €75k is spent on.

kevthegaff

https://www.boards.ie/discussion/comment/122002505#Comment_122002505

Switched from milkflex to boi this year, big savings. Loans started with BOI inherited from the farm, moved them to AIB 10 years ago, then to ulster 5 yrs ago(best of the banks), then to milk flex 3 yrs ago and now back to BOI again!!

whelan2

https://www.boards.ie/discussion/comment/122002566#Comment_122002566

Was it not alot of hassle moving banks so much?

FintanMcluskey

Does the credit union still lend you your own money back?

Dealt with them a few years back and they wanted about 40% of the loan required to be held in savings which couldn't be touched.

whelan2

It says on that leaflet no need to be a credit union member

whelan2

Our local credit union charged 10% interest before they amalgamated with the crowd on the leaflet

kevthegaff

https://www.boards.ie/discussion/comment/122002624#Comment_122002624

Yes

whelan2

https://www.boards.ie/discussion/comment/122002936#Comment_122002936

Nearly killed me transferring from ulster to aib last year, you must love hardship

DBK1

https://www.boards.ie/discussion/comment/122003000#Comment_122003000

Same as that changing from Ulster to BOI. It didn’t help I suppose that Ulster were so easy to deal with compared to all of the rest so it was always going to be difficult to change.

kevthegaff

One was ulster bank closing and last one was incorporating also so new accounts etc too. In partnership with herself also so more accounts set up at aib during covid was a nightmare. The last restructuring I done was last year boi lad rang me

Packrat

A lot of love going on here for the Credit Unions.

A word of warning:

After the 2008 to 2011 crash, there was no other institution who chased so long, so hard, or so viciously as the Credit Unions.

Their interest rates were always sh1t which is why I never did any real business with them but I've plenty friends with horror stories, some still going on long after every other finance house took their beating and moved on.

kk.man

I'd have my boi stocking loan paid off well before the year be up. No charge for that. It was explained to me that its cheaper than an overdraft.

Dozer1

Maybe I'm lucky but I've always been AIB here for multiple loans and they've always been v good to reply to email or phone calls. I don't go to the branch that often but its probably helped by the fact that there is BOI, big credit union and tsb in the town also so maybe it keeps them on their toes.

whelan2

A lot is to do with the account manager you have

Bass Reeves

Trying to organise a SBCI loan with AIB at present.its a f@@king sh!tshow. Going on over two months. Gone through two different acessement stages as I am a non customer.

Normally bank with BOI but they only do green SBCI loans. As the loan is non green AIB only choice. There secure email is sh!te mail keeps getting lost. 90% of the delay is on there part. I am beginning to think its a deliberate strategy at this stage that either they do not want to lend to non AIB customers or to farming in general

They are nitpicking over stuff.

Best of luck @Siamsa Sessions although I would never go milking

Tileman

I switched from boi to sib 2 yrs ago and it was horrific. Took about 5 months and every month there was a new query then the other data would be out of date and I’d have to submit that again. Complete **** show

K.G.

https://www.boards.ie/discussion/comment/121987538#Comment_121987538

Do not give up the job.a

Diarmuid B

https://www.boards.ie/discussion/comment/122002638#Comment_122002638

I got a 50k loan off them in 2020 for putting up sheds, they kept 1,500 secured in my account and off I went. Very very easy to deal with. The minute I got the young farmer payment back for the sheds I put it straight off the loan. The next morning they were on the phone to me asking if I wanted to lower my weekly repayments seen as I was so far ahead of the agreed initial pay plan. They’re great to deal with to be fair in my experience

Siamsa Sessions

https://www.boards.ie/discussion/comment/122008433#Comment_122008433

I’m not for the first 12 months. I’ll know at that stage then what way to go.

Siamsa Sessions

https://www.boards.ie/discussion/comment/122008025#Comment_122008025

I filled out the SBCI application and after 5 different versions, they approved it.

I gave the reference no. and approved application form to AIB, but I’m not sure it’ll make much difference. If AIB were to approve the loan, I don’t think it’ll be down to me filling out the SBCI form. But the interest rate might be lower coz of the SBCI form.

ted_182

Boi gave me an sbci loan to pay some of my tax bill in November, has not giving non Green loans only just come in since?

whelan2

I wonder did aib get jockeyed by backing brave and are tightening everything up. Hoping by dragging things out people will just go elsewhere or are they just crap?

K.G.

Did ye ever stop for a second and ask yourself why is it so hard to get a loan for farming now.