Save As You Borrow Loan

Save As You Borrow loans (SAYB) are the most popular loans for members on low incomes, who need help to build up their savings, or those with a poor credit record.

• Subject to a minimum of £50, we can lend up to £750 for a first loan for members without savings, and up to £1,200 for subsequent loans.
• You make an agreed payment each week or month, and a small part of this is added to a special savings account. You cannot normally touch the savings while you have a loan, but you will have saved a small lump sum when you have finished paying back the loan.
• Interest rate up to 3% per month on the loan balance (42.6% APR representative).
• Top-ups to existing loans may be considered after six months from the original loan date and every three months thereafter, each subject to loan approval.
• If you receive benefits, loan repayment by direct credit of a benefit will normally be required. You will need an Engage Premium Account, Engage Prepaid Card or another bank account to access surplus cash.
• Your loan can be credited to your Engage Card, and then cashed using an ATM, or can be transferred by BACS to your bank account. Loans are not normally issued in cash.
• You can make additional repayments to reduce the loan more quickly if desired, but must make your minimum payments on time. There is no charge from the Credit Union for early repayment of the loan.

We provide two SAYB loan products. Our Level 2 loans provide higher upper loan limits, longer repayment periods and, for those on monthly net incomes above £800, lower interest rates. See the tables below for representative examples of our Level 1 and Level 2 SAYB loans.

Apply on-line or download a Loan Application Form

Paying more than the minimum will clear your loan faster, and reduce the total amount you have to pay, but will also reduce the amount of savings you build up while you repay the loan.

Subject to the conditions below, if you have an existing Save As You Borrow Loan and are up to date with your payments, you may top-up your loan to the amount that we originally approved, by making a Fast Track application here, or by downloading and completing this form which is also available in our branches.  Top-ups are subject to:

• it being no more than 24 months since your original loan was granted;
• it being at least three months since your last top-up;
• your loan repayments having been made in full and on time;
• no reduction in your income, or increase in your debts, since your original application; and
• confirmation that you have not entered into a bankruptcy order, IVA, debt collection or Debt Management Plan, and are not intending to do so in the next 12 months.

When you apply for a loan in person, you will need to provide proof of your income, ID, and current address. If necessary, we may also ask for bank statements, evidence of debts or other information to inform our loan decision. When we issue your loan agreement we can provide a paper copy for you to sign physically or we can send it to you by email for you to sign electronically using our e-Sign service. Before your loan is issued we will ask you to provide evidence that you have made arrangements for regular electronic loan repayments.

The form of our Save As You Borrow Loan agreement, including its terms and conditions, can be accessed here.