# Possibility of getting a 5k loan from the CU?



## rainnerman1 (16 Mar 2017)

Hi guys,

I have right now 600 euros in my CU account, I  am a member for just a year you think they will be able to accept a 5k loan?

someone has experience with this?

do you need save a certain amount per month before ask for a loan?

some people says they usually gives to the person 4x more what they have in the CU account.


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## vandriver (16 Mar 2017)

Have you had any loans yet?


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## Monbretia (16 Mar 2017)

Impossible to answer as credit unions differ with their requirements and there can often be exceptions to policy depending on loan reason.


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## rainnerman1 (16 Mar 2017)

never had a loan there before, I have full time job.


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## mtk (16 Mar 2017)

I saw a cu advertising holiday loans etc so open for business ....
Just try


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## alexandra123 (16 Mar 2017)

Normally on first loan they only give you a loan up to the amount you have saved. This is for them to ensure that you are a good payer. On the second and subsequent loans, they offer you more than your shares.


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## demoivre (16 Mar 2017)

rainnerman1 said:


> never had a loan there before, I have full time job.



If your credit record is good and you have repayment capacity why not go to your bank, where your savings won't be tied up as security?


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## PaddyBloggit (16 Mar 2017)

rainnerman1 said:


> some people says they usually gives to the person 4x more what they have in the CU account.



This has been my experience.


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## Vanessa (19 Mar 2017)

Credit Unions generally have tightened up lending requirements and a regular read of Stubbs Gazette will see why. The Credit Unions gave out loans like confetti often contrary to their own rules during the boom times. A bank loan might be the better option


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## 24601 (19 Mar 2017)

Some of the info being given here is unhelpful or plainly inaccurate. It really depends on the credit union. In the same way AIB will have different lending rules to BOI because they're two different institutions, each CU will have a different approach to others. 

My experience is that most have moved away from the archaic multiples of savings model since they have far more robust underwriting processes. Lending is based primarily on capacity to repay so many credit unions will be more than happy to give you a loan on day one even with limited savings once you can satisfactorily demonstrate your ability to repay. 

There are still some old school ones about but just apply and see how it goes.


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## so-crates (20 Mar 2017)

No harm in going in and talking to a loan officer in your credit union. Also no harm in shopping around and asking the banks. You are shopping for a product. There may be rules about what they can lend and to whom but don't forget you are solvent, with a regular income and looking for a loan, you are basically hot property from any financial institutions perspective.


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## Bronte (20 Mar 2017)

What is the money for?


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## MrEarl (21 Mar 2017)

24601 said:


> Some of the info being given here is unhelpful or plainly inaccurate. It really depends on the credit union. In the same way AIB will have different lending rules to BOI because they're two different institutions, each CU will have a different approach to others.
> 
> My experience is that most have moved away from the archaic multiples of savings model since they have far more robust underwriting processes. Lending is based primarily on capacity to repay so many credit unions will be more than happy to give you a loan on day one even with limited savings once you can satisfactorily demonstrate your ability to repay.
> 
> There are still some old school ones about but just apply and see how it goes.



I agree 100%

I also know for a fact that my own credit union is lending based on affordability these days.

If the member has regular reliable employment, proven repayment ability and has an existing account with their CU then I would think their chances of obtaining the loan to be very good with the majority of CUs. If there is a reluctance to approve the loan, then I would ask to meet with the credit committee and discuss their reasoning as to why they are hesitant, assuming the repayment ability and reliability of income is there.

Hopefully the original poster will apply through their CU and maybe even let us know how they get on.


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## Vanessa (26 Mar 2017)

As can be seen here different credit unions apply different criteria. Public service credit unions and semi state ones such as ESB Aer Lingus etc are probably a bit more flexible because they can arrange repayments to be taken from wages whereas parish credit unions are relying on payment at the counter or through bank deduction


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## 24601 (27 Mar 2017)

Vanessa said:


> As can be seen here different credit unions apply different criteria. Public service credit unions and semi state ones such as ESB Aer Lingus etc are probably a bit more flexible because they can arrange repayments to be taken from wages whereas parish credit unions are relying on payment at the counter or through bank deduction



My experience would be that many community credit unions now also offer payroll deduction. The underwriting process in industrial credit unions can be a bit more efficient where wages/salaries are already being paid in by the member so that might explain the flexibility.


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## Jonesy (19 Jul 2019)

I wonder can anyone help me out? If I borrow 70000 euro over 24 months and the cost of the loan is 3512 euro, what is the rate of interest I would be charged?


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## PaddyBloggit (19 Jul 2019)

Jonesy said:


> I wonder can anyone help me out? If I borrow 70000 euro over 24 months and the cost of the loan is 3512 euro, what is the rate of interest I would be charged?



I stuck €70k over two years (home improvement loan) into my CU calculator and it came back with the following:


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## Jonesy (20 Jul 2019)

Thank you, but I want to know if I borrow 70000 euro and pay back 73512 over 24 months, what is the interest rate?


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## 24601 (20 Jul 2019)

Jonesy said:


> Thank you, but I want to know if I borrow 70000 euro and pay back 73512 over 24 months, what is the interest rate?



About 4.75%.


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## Jonesy (20 Jul 2019)

Thank you


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