1.  The person named in this Loan Agreement (hereafter referred to as the Borrower) acknowledges that they have applied for either in person, by post or online and received the sum borrowed under the agreement from The Blues and Twos Credit Union Limited (hereafter referred to as the Lender). Interest will be charged daily on the unpaid balance of the Total Amount Owing (hereafter referred to as the Loan) at the rate set out in the Loan Agreement.
  2. The Borrower agrees to repay the Loan, together with interest, by repayments as set out in the Loan Agreement. The Borrower agrees to retain at least the equivalent of one monthly loan repayment (as shown overleaf) in their Share 1 account, which is attached to the loan and cannot be withdrawn until the loan is repaid in full. Shares received in excess of one loan repayment may be withdrawn by the Borrower. The Borrowers agrees to save an amount not less than £10 per month.
  3. The Borrower acknowledges the requirement to notify the Lender and to make alternative arrangements for repayments if deductions from a Payroll Member’s salary cease or a Bank Standing Order fails.
  4. The Lender will, on request, provide the Borrower with a written statement of the sums which have been paid, any which remain outstanding and their share balance. The Borrower has the right to settle this Agreement early, at any time, by paying in full the balance of the Loan and any unpaid interest.
  5. The Lender has the right to demand early repayment of all or part of the balance of the Loan outstanding, together with any unpaid interest, if the Borrower fails to pay any amount due to the Lender under this Agreement, or breaches any of its terms. The Borrower acknowledges that this could result in the total amount payable by virtue of this Agreement becoming greater than originally stated.
  6. The Borrower assigns to the Lender as security for payment of the Loan, interest and any costs payable under this Agreement all paid shares and payment on account of shares which have been made. The Lender has the right to off set or apply any such shares towards payment of the Loan, interest and costs payable under this Agreement in the event of any default or breach of its terms.
  7. The Borrower agrees that if their employment with any Employer within the Common Bond is terminated for any reason and they fail to pay any amount due to the Lender under this Agreement or fail to notify the Lender of their change of circumstances or their intention to pay off the loan by some other means, then that Employer is authorised to supply any relevant information and deduct any amount due and payable to the Lender from the final salary or other terminal benefits due to the Borrower and pay that sum to the Lender. Similarly, if the Borrower is entitled to receive any Pension or other future benefit, the Pension/benefit provider is authorised to supply any relevant information and to deduct any amount due and payable to the Lender from the Pension or benefit and pay that sum to the Lender (Neither shall not apply where borrower has applied for bankruptcy or has been declared so).
  8. The Lender will notify the Borrower verbally or in writing to their last known address when taking any action to recover sums due as described in paragraphs 5,6 or 7. The Borrower will be liable for any costs the Lender incurs in recovering sums due under this Agreement.
  9. The Borrower acknowledges that the details given on the Loan Application for this Agreement are correct and will inform the Lender immediately of any change in financial circumstances which may reduce their ability to repay the Loan, or of any change in their address. Failure to declare any pre-existing medical conditions or treatment at the time of application may render life cover invalid.
  10. If the Borrower, within 14 days of signing the loan application form, decides not to proceed they are entitled, on the return of all monies lent under the loan, to cancel the loan agreement without penalty.
  11. Revolving Credit Loans are issued over a term of 36 months. The agreed limit can be increased after 12 months. At the end of the term the borrower has the option of re-financing which will require new documentation. Alternatively the borrow will be required to repay the full outstanding balance.

Download Terms and Conditions of Loan Agreement