Advertising loans to under 16s

S

Seesee

Registered User
Messages
19
I received in the post today back to school loan offers addressed to my children, all of whom are below the age of 16 (of full age according to credit union guidelines). Is this allowed?
 
Seesee said:
I received in the post today back to school loan offers addressed to my children, all of whom are below the age of 16 (of full age according to credit union guidelines). Is this allowed?
Click to expand...
No, I do not believe CUs can lend to under 16s. This may be an error on CU part as they may wish to reach Leaving Cert students heading to uni. Clumsy, I would say. Could you ring them and ask the rationale?
 
I just emailed them as cannot get an answer on the phone. I'd say they sent the offer to all members but I don't think they should.
 
I would think its the credit unions (who are solvent and have real money to lend) competing with Banks (who are technically insolvent).
The offer is no harm if its sent to everyone , both the CU when they look at a request and customer can filter it.
Advertizing does not mean customer must take it ,nor does it mean CU must lend it.
Better the CU doing business than Credit Card or Moneylender hits.
In general CU,s continue to act in our interests.
I think you can lend to 16 year olds , the problem is if they don,t repay, you can,t take enforcement action.
 
A credit union can lend to a minor if an indemnity is signed by the member's parent or guardian
 
You must log in or register to reply here.
Back
Top