# Credit Union loan Query



## Tessi (24 Jun 2010)

Hi 

I will be going through negociations with BOI and credit card companies in relation to debt I have, possible within the next few months.  Credit card companies may even take me to court. 

 My question is this: myself and my hubby are  receiving jobseekers benefit and are unlikely to get jobs in the near future. Not out of the lack of trying I might add.  We are very carefull to keep up payments to our utility bill companies etc.  However we will have to renew our car insurance, tax, nct and car maintanence, tv licence next febuary so we are also putting a bit aside from our dole into the credit union. We do this regularly so that when the time comes we will be able to ask for small loans to cover these expenses. 

 We will hopefully have the majority of the money we are looking for, saved in the credit union but when asking for a loan will they ask about our other debts.  Are we doing the right thing putting our small savings into the credit union.  Yes I guess we could save up the money and keep it at home but we can only predict what our expenses might be and cars tend to unrealiable so if we had substantial savings we hoped getting cc loans wouldn't be a problem.  Anyone got any thoughts on this.  Its our first time dealing with the CC so not entirely sure if we are going about this correctly. Thanks a Million.


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## idkwatmi (25 Jun 2010)

I am curious as to why you will be applying for another loan if you think you will have saved the money you need by then? Would it not be more prudent not to take any loans out if you are already in financial debt. Perhaps you might be better posting up your incoming and outgoings in the Money makeover section and getting some advice on how best to handle your situation.

  To answer your question i would be surprised if the CU didn’t ask you about other debts when applying for a loan.


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## Tessi (25 Jun 2010)

*Save in Credit Union or Not*

Hi 

I would have asked the same question had it been anyone else. I agree totally with the question why take out another loan if I already have debts unpaid. Believe me it's the last thing I'd want to do but here is my thinking. I know exactly what we have coming in and what our expenses are. Apart from not yet having negociated repayment terms for our outstanding debts yet, we are managing our finances very well. We are extremely careful when we get our social walfare each week to allocate a small sum towards each of our expenses. 

However some of our expenses like our car tax and insurance, tv licence etc are paid annually. We also have our NCT test coming up next year and will badly need to get a service on our car. These are expenses that may cost anywhere between €300 - €700 or more. We also have absolutely no control over unexpected expense that will need immediately attention. 

Therefore we thought by saving in the credit union and managing to have almost all what we expect our long term expenses to be, if we have to fork out more or have unexpected expense within the year, we could go to the credit union for the minimal loan needed. 

If we dont' save in the credit union, we could still put the money for the car ins etc by at home or in bank but what happens if we need an extra €100/200. Our budget is very tight so there will be no way we could come up with any extra. We have absolutely no intention of using the credit union for a loan if absolutely not necessary. So are we doing the right thing and if not how does other people in our situation plan for those expenses when on an extremely tight budget. Thanks and sorry about the long post.


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## partnership (25 Jun 2010)

You are right to put the money away if you can. The credit union will ask about other debts if you are looking for a loan - however if it is a loan for not too much more than you have in and you have been consistent in putting the oney in they may look at it but will take everything else into consideration.  If you are on social welfare you may be entitled to something on the TV licence though I am not sure.  You should also be aware that the CWO can help with things that go in the home ie if your cooker or washing machine broke they would help out.  They would not help with the car though.  Hope this is of help.


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## Tessi (26 Jun 2010)

*Save in Credit Union*

Hi partnership

Thanks for your post.  I wasn't aware that you could get help if things like your washing machine/cooker broke down.  Thankfully we got new ones only two years ago and are going well.  To be honest our main concern is the car.  If anything happened to it we just wouldn't be able to do without it as we live in the country and the bus link into town costs €5 each way.  We also live over 2 and half hours from our families so it would be next to inpossible to afford to go see them.  Its an old car so we have to be realistic.


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## partnership (28 Jun 2010)

I know how important the car is but if it ever happens keep your eyes posted as something will come up.  Check out the jumbeltown forum for things you need people give away good things rather than dump them.  Check out your CWO and ask what you might be entitled to, sometimes people spend money on things that the CWO may help them with.  Good luck


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