Right so i figured i'd start a thread here to get some info. Firstly i took out a €1000 euro back in October 2012 from the credit union with weekly repayments of €20 i lost my job in march and was unable to make repayments. I had spoken to them and they said they would give me some time to get things sorted for myself basically. I have been on social welfare since with absolutely no luck getting a job. I received a letter the start of September saying my loan balance was around €700 and loan arrears was €550. I pretty much ignored it and no contact was made again and today I got an email asking me to make contact with them. I was wondering do I have to pay both those sums of money to pay off the loan. Also what would happen if I were to keep ignoring them as I have changed address also. I am looking for information on the loan and not personal opinion about myself and the situation. I know I'm being foolish for ignoring this but my financial situation is quite bad I also owe personal loans to friends and family and with very little income and rent and other bills each month it is really becoming overwhelming and stressful. I also wanted to know about credit rating and when it gets affected and if they change your credit rating do you still have to repay the loan.
Unable to pay Credit Union Loan
- Thread starter Mister-E
- Start date
If you had been paying the loan for 5 months it is more likely that the total outstanding is €700 of which €550 is arrears. If the credit union reports to the Irish Credit Bureau then it most likely has impacted your credit rating. You car request a credit report from ICB.
The fact that your credit rating is impacted does not change the fact that you owe the money. Moving house makes it more difficult to find you but it is generally quite easy for credit unions to trace people. There is not a standard approach that every credit union takes. They may pursue you legally, they may use debt collection agents or they may just be patient for you to return to work and repay the debt.
The fact that your credit rating is impacted does not change the fact that you owe the money. Moving house makes it more difficult to find you but it is generally quite easy for credit unions to trace people. There is not a standard approach that every credit union takes. They may pursue you legally, they may use debt collection agents or they may just be patient for you to return to work and repay the debt.
Brendan Burgess
Founder
- Messages
- 52,119
This will hang over you forever, whether you move or not.
Don't bury your head in the sand. Credit Unions generally try to help people who can't pay their debts, but they get very aggressive towards people who won't pay or who avoid them.
Your credit rating probably is shot. The only way to find out is to check it out with the ICB. But in any event, with a history of unemployment, you are going to find it difficult to get credit anywhere, apart from the Credit Union. If you act responsibly towards this Credit Union, even if you get into difficulties, they will lend to you again, when things improve.
Call in and see them.
Don't bury your head in the sand. Credit Unions generally try to help people who can't pay their debts, but they get very aggressive towards people who won't pay or who avoid them.
Your credit rating probably is shot. The only way to find out is to check it out with the ICB. But in any event, with a history of unemployment, you are going to find it difficult to get credit anywhere, apart from the Credit Union. If you act responsibly towards this Credit Union, even if you get into difficulties, they will lend to you again, when things improve.
Call in and see them.
Do you not have shares in the CU? The credit union will understand your situation and if you talk to them they may come up with a solution for you to repay this debt. You also mention loans to friends and family, if this continues and you don't repay you risk your relationships deteriorating.