Your questions answered
A Credit Union is a community savings and loans provider that exists to provide financial services to a common group of members. Credit Unions are owned and controlled by their members and offer a real alternative in the community for safe savings and affordable loans.
Members of the Credit Union pool their savings to provide the funds from which loans are made. The interest on loans pays for the running of the Credit Union and members get a share of the profit known as a dividend. They are committed to doing business in a way that contributes to the community and meets the needs of members.
Money is kept in the community by the savings on loan interest by borrowing from the Credit Union and because profits are shared amongst the people who use the Credit Union – the members.
A Credit Union is a community of its members, whose aims are to promote their financial wellbeing through savings, affordable and appropriate lending opportunities, and through the promotion of greater financial awareness. Members are the owners of the Credit Union and the absence of third-party shareholders results in beneficial rates for depositors and borrowers. The pressure to generate profit for shareholder dividends is greatly reduced, and any surpluses generated by the Credit Union are redistributed among the members.
The structure and nature of a Credit Union frequently enables it to help those who are currently excluded from access to ordinary bank products. It can become a lifeline for people who may otherwise have to resort to payday loans or doorstep lending which often carry incredibly high interest rates.
Yes. Member savings are protected by the Financial Services Compensation Scheme (FSCS). The FSCS can pay compensation to depositors if a Credit Union is unable to meet its financial obligations. Most depositors – including most individuals and small businesses – are covered by the scheme. Find out more about the Financial Services Compensation Scheme.
We are also authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. This means that we meet strict conditions for trading, we are required to submit information on our financial performance to the regulators every three months.
Anyone who meets the criteria for membership for a Credit Union can join. To join Just Credit Union you must live, work or study in Shropshire or Telford & Wrekin or be employed by a partner employer.
When you complete our online membership form you will be asked for details of your passport or driving licence and we will do an online identity check. If you don’t have these documents, or the online check is inconclusive, we will contact to request alternative identification documents.
You can save as much or as little as you like, as often as you like. You need a minimum £1 balance to keep your account open and we can accept a maximum of £15,000 across all your accounts with Just Credit Union. Payments to your account can be made via cash, cheque, standing order, payroll deduction, direct from your bank or at the Post Office using our payment card.
Just Credit Union savings accounts do not earn interest but as a co-operative you are a shareholder and will get a share of the profit (a dividend) in proportion to your savings each year (subject to Credit Union performance). All members have the same % dividend regardless of amount in their account.
Although we are unable to guarantee the annual dividend Just Credit Union has paid a 2% dividend on members’ savings for the past 6 years.
You can still be a member of Just Credit Union, however your monthly payment will need to be made using an alternative method e.g. via standing order from your bank account (the account your salary was paid into by your previous employer.) You will still be able to use Just Credit Union for your loans and savings.
Yes. As long as you are 18 years of age or over and live or work in Shropshire or Telford & Wrekin. If you are not already a member you will need to join when you apply for your loan.
You can apply for a loan at any time. The loan amount and interest charged is subject to affordability and eligibility. Click here to find out more about Just Credit Union loans.
We encourage sensible borrowing and as a responsible lender we make sure that all our members’ loans are affordable. You can borrow anything from £50 to £15,000 with repayment plans ranging from 3 to 60 months. The amount you can borrow is based on the affordability of the loan repayment.
With each loan repayment you make a savings payment too, giving you a cushion for the future. There is no penalty for early repayment and no administrative (or other) fee will be charged on member loans.
From 3 months up to a maximum of 5 years.
We use a credit search to check the information you have given us. We take this into account as part of the loan decision.
Each loan is assessed individually on its own merits. We understand that sometimes debts can happen through no fault of your own. A poor credit history or a refusal from another organisation does not necessarily mean that your loan will be refused by us - so you should still complete the application form with all the relevant information.
We can often tell you when you come to see us whether your loan is likely to be approved.
No. There are no upfront fees or charges for arranging your loan.
The rate will depend on the amount you borrow. The minimum APR is 5.9% (subject to change) and the maximum is 42.6%. Interest is calculated from 0.58% to 3% per month on the reducing balance. Please contact us for an illustration.
Please contact us as soon as possible. We can reassess your situation and review your repayments to make it easier for you to repay your loan and continue building savings.
Yes. What’s more you will only be charged the amount of interest payable up to the date when the loan is settled - not the full term.
You can call into your nearest community branch, call us on 01743 252325 or email firstname.lastname@example.org
You can complete your loan application online or bring your completed application with you when you come for your loan interview. Don’t forget to bring all your other paperwork with proof of your income and expenditure too. If you are applying for a top up loan and do not need to see us first then you can drop off your application form at one of our community branches or our main branch in Shrewsbury.
Yes we will accept e.g. bank statements and bills printed off the internet as proof of your income and expenditure.
We can provide you with a cheque or transfer the money directly to your bank account free of charge. If you haven’t got a bank account, or would prefer to have the money paid separately we can also arrange to load your loan onto one of our Prepaid Visa Cards.
Yes you can use your benefits or pension to make your loan repayments. You can also set up a standing order or use payroll deduction with a participating employer.
No. You can apply for further top up loans after 3 months.