Fund your dreams. Apply for a loan today and make your dreams come true

Transcription

1 Fund your dreams Apply for a loan today and make your dreams come true

2 Welcome to London Community Credit Union Important information about your new loan Thank you for choosing LCCU for your new loan! As a not-for-profit organisation working for the community, there are lots of benefits to an LCCU loan: Affordable interest rates that are fixed for the course of the loan, and paid on a reducing balance, so interest reduces as you loan is repaid. No set up costs, hidden charges or fees for early repayment. Free loan protect insurance, so your loan is repaid at no additional cost in event of death. Negotiable repayment terms in case your situation changes. Text message update service to update you at every step of the application. New and Improved We are now processing applications much faster, and you ll be informed of the progress of your application at each stage. For the quickest results, use our online application form at Telebanking You can also be informed of the progress of your loan application via our new telebanking service. Please ask for more details or register for a PIN at an LCCU office or online at Cooling off Period Once the loan has been granted, you have seven days in which you can change your mind and cancel it without any legal consequences. Loan Agreement Providing you wish to proceed with the loan you will enter into a legally binding agreement subject to the Terms and Conditions contained in the Loan Agreement. Your Savings When you borrow from us the savings in your Saver Plus Account at the time of the application and all subsequent savings will be held as security. You will not be able to withdraw from the Saver Plus Account until you have more savings than your loan or the loan is completely clear. Change of Circumstances We can help! If you have any difficulty repaying your loan please talk to us immediately. We will make every attempt to assist members experiencing difficulty. If you do not contact us or we do not come to an agreement we will pursue all avenues to recover our members money. This will include informing credit reference agencies, the Department of Work and Pensions, debt recovery agencies and the courts. LCCU is regulated by the Financial Services Authority Ref-: , and subscribe to the Financial Services Compensation Scheme this means that your savings are protected by a Government Guarantee similar to the protection you receive at any Bank or Building Society.

3 Loan Application Form Three easy steps to apply for your loan: 1. Complete this application form or apply online at 2. Submit all relevant documents to support your application 3. We will be in touch shortly! 1. ABOUT YOU Membership Number: Title: Surname: First Name(s): Middle Name(s): Date of Birth: DD / MM / YYYY National Insurance No: Home Telephone: Work Telephone: Mobile Telephone: Address: Current Address: Post Code: Time at current address: YY / MM If less than 3 years at your current address, give details of previous address Previous Address: Post Code: Residential Status. Are you a: Home Owner Tenant Furnished Tenant Unfurnished Shared Ownership Living with Parents Lodger Other (Please specify) How did you hear about LCCU loans? *Failure to disclose all the required information will delay or invalidate your application.

4 2. EMPLOYMENT DETAILS Do you work? Yes No (If no proceed to section 3.) Is your work: Full Time Part Time Agency Self Employed Permanent: Yes No Contract: Yes No End date of Contract: Payroll # (if applicable): Name of current employer: Address of current employer: Post Code: Work Tel. No: ext: Hours Worked: Under 16 (Please specify) 16+ (Please specify) Length of time with current employer: Position: Nature of Business (If self employed): Name of previous employer: Address of previous employer: Post Code: 3. OTHER INFORMATION 1. Have you ever been declared bankrupt? Yes No 2. Have you ever had an Individual Voluntary Arrangement? Yes No 3. Have you ever had a Debt Relief Order? Yes No 4. Have you ever had a County Court Judgement recorded against you? Yes No 5. Have you ever had a payment arrangement or had your debts managed for you? Yes No If you have responded Yes to any of the above please give further details on a separate sheet and provide supporting documentation. Please note that having these does not necessarily mean your loan will be refused. Failing to disclose the required information will invalidate your application.

5 4. OUTSTANDING DEBTS Please list all your current credit obligations below, please add other sheets if required. DEBTS Mortgage / Rent Secured Loans Rent/Council Tax arrears Gas/Electricity arrears Other utilities Fines Income Tax Credit Cards/ Catalogue Provident/Bright House/Doorstep Lender Bank Loans/Hire Purchase High Interest Rate Loans Social Fund & Crisis Loans Payday Loans Others ToTAL (Insert on table 7) AMoUNT owed REPAYMENT Weekly Fortnightly Monthly 5. LOAN DETAILS Value of Loan Required Purpose of Loan (Please explain your need fully): Proposed repayment Weekly Fortnightly Monthly Repayment method: Benefit (State which benefit is assigned to the CU). Standing order Payroll deduction (Please enquire). Salary/wages (Payments should be presently made to CU). 6. WAYS TO RECEIVE YOUR LOAN PAYMENT Loan to be paid by the following method: Instant Access Account CU Current Account Bank Account Cheque If you would like your loan paid into another bank account, please provide details: Bank Name: Sort Code: Account No: Building Society Roll No: Please note that loans which are paid into a non LCCU Account will incur the standard tariff charge.

6 7. INCOME AND EXPENDITURE DETAILS PLEASE INCLUDE ALL HoUSEHoLD INCoME AND ExPENDITURE. INCoME ITEM WEEkLY FoRTNIgHTLY MoNTHLY office USE only Salary/Wages (Applicant) Salary/Wages (Partner) Income Support Job Seekers Allowance Working Tax Credit Disability Living Allowance State Pension/Pension Credit Housing Benefit Carer s Allowance Child Support Payments Child Tax Credit Child Benefits Incapacity Benefit Universal Credit Employment Support Allowance Other Income ToTAL INCoME ExPENDITURE ITEM WEEkLY FoRTNIgHTLY MoNTHLY office USE only Mortgage / Rent Council Tax Electricity/Gas Water Tel/Mobile/Internet Satellite/Cable/TV Licence Food/Groceries/Toiletries Travel / Vehicle Clothing Personal Grooming (Hair/Nails) Cigarettes/Alcohol Home/Life/Car/Medical Insurance Pets Dining Out/Entertainment Childcare / Child Expenses ToTAL ExPENDITURE ToTAL DEBT REPAYMENT (from table 4)

7 8. DECLARATION PARTNER S DECLARATIoN If you have declared your partners income details as part of your overall income in applying for this loan, your partner will need to sign below confirming agreement for their information to be used in considering the loan and its repayment. Partner s Name: Partner s Signature: Tel: HEALTH DECLARATIoN I declare to the best of my knowledge and belief I am /am not (delete as appropriate) in good health to follow my normal occupation. I give LCCU the right to contact my medical practitioner if required. Doctor s Name: Tel: Address: APPLICANT S DECLARATIoN & AUTHoRISATIoN I declare that the information given by me on this form is true and correct to the best of my knowledge. I understand that the provision of false information is fraud and that the credit union may take appropriate action if I am found to have deliberately provided false or misleading information. I authorise you to share my details with any relevant individuals in accordance with your procedures in connection with this application. I authorise you to make any credit reference enquiry and other enquiries to determine my credit history. I understand that the credit agency used by LCCU will keep a record of the search and may share this information with other businesses, enquirers or lenders. I have read the Terms and Conditions and I accept them. Applicant s Signature: Date: Data Protection Statement In accordance with the principles of the Data Protection Act 1998, we will use your personal details for the purposes of managing your accounts with the Credit Union. Your personal details will be treated confidentially and will only be shared with other agencies for the purposes of credit checking/reporting and debt recovery, for which purpose we hold a Category F Consumer Credit Licence. We may at times use your details to keep you informed of services available. If you do not wish your details to be used for LCCU marketing purposes, pleas tick this box [ ] 9. DOCUMENTATION REQUIRED To reduce delay in your application, please submit as many of the below documents as you are able. Supporting documentation is considered alongside credit scoring mechanisms in the decision making process. We recommend first time borrowers or those with poor credit ratings to be particularly diligent. Documentation we may require include Last three months bank statements for all bank accounts held Last three months payslips (even if paid weekly or fortnightly) Proof of other income (e.g. benefit award letters) Pro forma invoice/estimates to justify expenditure value Current statements for the following: Loans / Mortgage / Credit Cards / Catalogues / other debts / borrowings Enclosed

8 London Community Credit Union Loan Application Terms & Conditions Your application for a loan is governed by these Loan Application Terms and Conditions. However if your Loan Application is approved and you enter into a Loan Agreement the terms of the Loan Agreement will prevail over any conflicting provisions. By signing this Loan Application you authorise us to obtain confirmation of your employment, health and credit history from third parties for the purpose of considering whether or not to grant you a loan. The following definitions apply in the Loan Application: Definitions a) Lender or Credit Union or We means London Community Credit Union Ltd (LCCU) who is the data controller. b) Applicant or Borrower or You means the member and as applicable any person jointly and severally applying with the member to enter into a Loan Agreement with the Credit Union c) Borrower means a successful Applicant d) CRAs means credit reference agencies e) FPAs means fraud prevention agencies f) Parties means the Borrower and the Credit Union and Party means any of them. By signing the loan agreement you confirm: i) Understanding and acceptance of these Terms and Conditions. ii) Your authority for us to obtain confirmation of your employment/ health and credit history from third parties. Joint and Several liability Where there is more than one of you, references to you means any one or more of you as the context may require and each of you is separately responsible for performing all your obligations under this agreement. This is known as joint and several liability. Your right to cancel The Loan Agreement constitutes a legally binding contract with London Community Credit Union. Should you have any doubts as to the meaning of any part of the Loan Agreement or these terms and conditions, we advise you to seek independent legal advice. Once you have read and signed the Loan Agreement, you will have 7 days in which you can change your mind and and cancel it without any legal consequences. Acceptance of Loan Submission of a Loan Application does not guarantee that a loan will be provided. The decision of whether or not to make a loan to the Applicant is subject to an assessment by the Credit Union of affordability and the ability of the applicant to repay and the decision is the sole discretion of LCCU. The provision of the Loan Agreement to the Applicant is not a commitment by the Credit Union to lend. The Credit Union will not be obliged to provide the loan until: (a) the Loan Agreement is signed by the Credit Union; and (b) the Credit Union is satisfied that, at the time the Loan is to be drawn, the Applicant is in compliance with all terms and conditions of the Loan Agreement. key Terms & Conditions This highlights some key terms and conditions of the Loan Agreement to be entered into between the Applicant and LCCU if the Loan Application is approved. That Loan Agreement would form a binding contract between LCCU and the Borrower. This is not a substitute for reading the Loan Terms and Conditions as set out in the Loan Agreement. 01.The Borrower promises to repay the Loan in instalment repayments on the due dates. 02.Interest will be charged at a rate designated in the loan agreement. The Average Percentage Rate (APR) is also provided 03.The Borrower agrees that if any of them are employees or consultants and their employment or engagement by LCCU ends, then: (a) any discounted interest rate applying to the loan will no longer apply and (b) the interest rate applying to the loan will be changed to the standard rate applied to loans made to members of LCCU who are also not employees or consultants. 04.The Borrower understands that all monies held on Saver Plus Account at the time of the Loan and any subsequent deposits made to the Saver Plus Account are held to secure repayment of the Loan and cannot be withdrawn until you have more savings than your Loan or the Loan is repaid in full. The Borrower also agrees to continue saving on this account while the loan is being repaid. 05.The Borrower may exercise the right to repay the Loan early at any time by paying in full the balance of the Loan and any unpaid interest, costs and expenses outstanding. 06.The Borrower must inform LCCU immediately of any change in their financial circumstances, name, address, telephone number (including mobile number) and address. 07.No loan is guaranteed and is subject to affordability as well as the ability of the Borrower to repay. The provision of the agreement to the Borrower is not a commitment by us to lend. We will not be obliged to provide the loan until (a) the agreement is signed by us (b) we are satisfied that at the time the Loan is to be drawn you have not broken any terms of the agreement. 08.The Lender may allow another person or organisation to take over any of the Lenders rights and duties under this agreement and the Borrower authorise the Lender to give them any financial and other information. The Borrowers rights will not be affected. 09.The Borrower agrees that in the event of any default on repayments, information and details about the loan may be passed on to the Department for Work and Pension for them to make the necessary deduction from any Benefit Payments that the Borrower is entitled to or will become entitled to in future.

9 Disclosure In processing the application, this information will be disclosed to recognised credit reference agencies for credit checking. These agencies record this check, which may affect the Borrower s credit rating. If the application is successful, the Borrower s details will be held by the Lender to enable the Borrower s loan to be managed. In the event that the Borrower defaults on their loan or any terms and condition in relation thereof, details of such default or defaults will be passed to other credit unions, debt recovery agencies, and the courts. In such circumstances it is understood that the Lender may disclose details of the Borrower s Account and any other matters relating to the account to any credit reference agency and other individual, or organisations for this purpose registered by the Lender with the Data Protection Registrar. Under the Data Protection Act you are entitled to a copy of your personal information held by us on payment of a fee. The current fee for this request is A condensed guide to the use of your personal information by the Credit Union, credit reference agencies and fraud prevention agencies 1. When you apply to enter into a Loan Agreement, we will check the following records about you and others: (a) our own; (b) those at credit reference agencies ( CRAs ). When CRAs receive a search from us they will place a search footprint on your credit file that may be seen by other credit providers. They supply to us both public (including the electoral register) and shared credit and fraud prevention information; and (c) those at fraud prevention agencies ( FPAs ). 2. We will make checks such as: assessing the Borrower s application for credit and verifying identities to prevent and detect crime and money laundering. We may also make periodic searches at CRAs and FPAs in the course of managing your Loan account with us. 3. If you are making a joint application or tell us that you have a spouse, civil partner, financial partner or individual or corporate associate, we will link your records together so you must be sure that you have their agreement to disclose information about them. CRAs also link your records together and these links will remain on your and their files until such time as you or your partner successfully file for a disassociation with the CRAs to break that link. 4. Information on your Loan Applications will be sent to CRAs and will be recorded by them. Where we approve the Loan and you borrow a Loan from us, we will give details of your accounts and how you manage it/them to CRAs. If you borrow and do not repay in full and on time, CRAs will record the outstanding debt. This information may be supplied to other organisations by CRAs and FPAs to perform similar checks and to trace your whereabouts and recover debts that you owe. Records remain on file for 6 years after accounts are closed, whether settled by you or defaulted. 6. If you have borrowed from us and do not make payments that you owe us as required, we will trace your whereabouts and recover the debt. 7. We and other organisations may access and use from other countries the information recorded by fraud prevention agencies. 8. Your data may also be used for other purposes for which you give your specific permission or, in the limited circumstances, when required by law or where otherwise permitted under the terms of the Data Protection Act How to find out more 9. The section above contains only a condensed version of our guide to the use of your personal information and if you would like to read the full details of how your data may be used please visit our website at or phone or ask one of our staff. You may write to us at the following address: 570 Roman Road, London E3 5ES. 10.You can contact the CRAs currently operating in the UK; the information they hold may not be the same so it may be worth contacting them all. They will charge you a small statutory fee. CallCredit, Consumer Services Team, PO Box 491, Leeds, LS3 1WZ or call Equifax PLC, Credit File Advice Centre, PO Box 3001, Bradford, BD1 5US or call or log on to Experian, Consumer Help Service, PO Box 8000, Nottingham NG80 7WF or call or log on to Please contact us at 570 Roman Road, London E3 5ES if you want to receive details of the relevant fraud prevention agencies. Complaints 11.These Loan Application Terms and Conditions and the Loan Agreement Terms and Conditions are in English and all communications between you and us will be in English. If you are not satisfied with our service in providing the Loan, we have a detailed internal complaints handling procedure in place and full details are available on request. For more information about this procedure you can write to us at Complaints Officer, 570 Roman Road London E3 5ES, or you can telephone us on We subscribe to the Financial Ombudsman Service so if you are still not satisfied after following our Complaint procedure you can write to the Financial Ombudsman. The Financial Ombudsman Service South Quay Plaza 183 Marsh Wall London E14 9SR Or telephone enquiries@financial-ombudsman.org.uk 5. If you give us false or inaccurate information and we suspect or identify fraud we will record this and may also pass this information to FPAs and other organisations involved in crime and fraud prevention. Bethnal green Bow 570 Roman Road, London E3 5ES Poplar 16 Vesey Path, London E14 6BT Hackney 473 Bethnal Green Road, London E2 9QH 225 Mare Street, London E8 3QE

10 Steps to apply for your loan Step 1 Complete this application form or apply online at Failure to disclose all the required information will delay or invalidate your application. Step 2 Submit all relevant documents to support your application. Step 3 We will be in touch shortly! We offer: Affordable Loans Visa Debit Cards & Current Accounts Free Life Savings and Loan Protection Cover Flexible Savings Accounts Direct Debit and Standing Order Services Telephone Banking On-line Banking and much more... FoR office USE only Date application received: Forwarded to: Decision approved: Yes / No Received by (name): Date received: If no, reason for declining and action plan: If loan approved - approved amount: Date member informed of decision: Final security checks: Repayment terms: Date agreement signed: Loan Paid: Bethnal green 473 Bethnal Green Road E2 9QH Bow 570 Roman Road E3 5ES Poplar 16 Vesey Path E14 6BT Hackney 225 Mare Street E8 3QE T E info@londoncu.co.uk LCCU is regulated by the Financial Services Authority Ref-: , and subscribe to the Financial Services Compensation Scheme this means that your savings are protected by a Government Guarantee similar to the protection you receive at any Bank or Building Society.