Lincolnshire Credit Union

Good:
They thoroughly assess your application to make sure that you can afford the loan

Bad:
Must save with them to prove you can afford the repayments before you can apply for a loan

Verdict:
Very affordable option for a loan, low rates and low repayments - must live or work within the county of Lincolnshire

You must live or work within the county of Lincolnshire to become a member.

Credit Unions offer a few different unsecured loans for any purpose. Their loans are fairly cheap and are based on your proven ability to repay, this is why they do a thorough check of your income and expenditures. You need to be a member and you can apply for a loan after you have been saving with them.

First you will need to become a member of the union. To apply for a loan, you need to complete the Loan Application Form (see example below), which you can download from their website. You then need to post it to the office or give it to one of their development workers. All loans are reviewed by the Loan Officer then by the Credit Committee meeting. They will inform you of their decision as soon as possible and you will be asked to sign a Loan Agreement.

The process may in some cases take up to two weeks so this is not a good option for you if you need your money quickly. You cannot manage your loan online so if you need to make changes, you need to contact them or go into a branch. With credit unions, the money you are borrowing is the money of other members, so if you fail to make payments, they take this very seriously. Their opening hours are very limited, which makes it difficult for you to go in to organise all your documents and sign your agreement. On the other hand, they want to help you rebuild your finances if you haven't got a good history. Their rates are extremely low and their repayments are really small each month.

Their office is by appointment only