NHS Credit Union | Debt Consolidation Loan

The loan that could help members manage multiple debts ...
and save hundreds in interest charges

Make multiple debts more manageable

Combine all your debts into one easy to manage payment … and save hundreds of pounds in interest charges

Debt Consolidation Loan

Borrow up to £25,000
Interest rate of 19.6%APR
Maximum loan term of five years

Product Features

Offers members the chance to combine multiple debts
Helps members stay away from loan sharks and extortionate payday lending rates
Supports members wanting to learn how to manage their money better in future

Eligibility

To be eligible to apply for a Debt Consolidation Loan, you must have savings in your share account equal to at least the cost of one monthly loan repayment PLUS £5 (which is the minimum shareholding).
Members must have contributed at least one monthly or four weekly payments to their savings account before they can apply.
Members must not be Bankrupt, entered into a Trust Deed, DAS, IVA or DRO, and must meet the eligibility criteria to repay the loan.

General Information

Our Debt Consolidation Loans are designed to help members reduce the burden of multiple debts.

The product can help members get out of the grasp of high-cost “pay-day” loans.

And our help centre partners can support members improve their approach to borrowing and managing finances through a series of fun interactive learning modules.

Product Terms

Applicants for a Debt Consolidation Loan must maintain a sum at least equivalent to one month’s loan repayments PLUS £5 in their Regular Savings Account – AND continue saving a minimum of £10 per month.

In addition, they:

Must be a UK resident
Must be over 18 years old
Must not be Bankrupt, entered into a Trust Deed, DAS, IVA or DRO
Must agree to savings being pledged as security for the loan
Must agree to pay an interest rate of 18% (19.6% APR)
Must be able to afford the repayments necessary for the debt consolidation loan.
Early repayment is permitted without penalty

Repayment Information

Loan Repayments are taken from your savings account on the 1st of each calendar month. Your first loan repayment will be deducted on the 1st of the month following the loan completion date. Loan repayments can’t be deferred, and repayment holidays are not permitted.

Loan Protection

Loan Protection is a free safeguard offered by the NHS Credit Union. Your loved ones can be secure in the knowledge that your NHS Credit Union debt (up to a maximum of £15,000) can be paid off, giving them peace of mind at a difficult and uncertain time.

Loan Protection is provided as a member benefit by the NHS Credit Union. It is free to every member, subject to the terms and conditions. However, it should be remembered that the terms of this free member benefit may change from time to time. The applicable rates/amounts covered are those prevalent at the date of death.

NB: Individual members do NOT have an insurance policy – they share in a free benefit offered by the credit union.

How much will my loan cost?

Loan Type

Select the type of loan that you want

500

Amount to be borrowed in £

500

Amount to be borrowed in £

Loan period in months

Representative APR

Monthly repayment

£ *

Total repayment

*Representative example.

Borrowing £ over months will cost £/month. Total amount repayable is £ which includes interest at % APR.

The figures given above are for illustrative purposes only and may not be the APR you receive. The actual interest rates and repayment amounts may vary subject to loan amount and status.

Total£

To apply for a Debt Consolidation Loan online, log in HERE as a member, select Online Loan Application Forms – and then select the Debt Consolidation Loan Application Form. Alternatively, to find out more, call our offices on 0141 445 0022.