Student Loans – Some additional facts!!
As we approach August and Leaving Cert results, the Credit Union would like to offer assistance to their Members with the process of getting ready for college!
Whilst your student will most likely not leave home until Mid-September, we would encourage you to apply for your Student loan now as the majority of the required documentation relates to the Guarantor. We can complete the application and subject to CAO acceptance, the process can be completed in a matter of minutes. An application can be made and held over for drawdown until the funds are required, all loans are active for 60 days after application, furthermore, no interest will be incurred until the application is completed and funds issued!
Another feature of Student Loans from Donegal Town Credit Union is that we give the student an opportunity to ‘get on their feet’ before initiating full repayments. As you will know, loans are made up of Interest and Principal repayments – Donegal Town Credit Union allows ‘Principal relief’ where we only seek interest repayment during the term time. Whilst we would encourage the student to make as much monetary repayment as is possible, this does allow those students with a limited or fixed income to consider the affordability of going to college.
School’s out – time for college! 1st thing needed for a loan is a letter of offer from your College and a willing parent who will act as Guarantor.
Time, loans for Students are available Monday to Friday, 11:00am-16:00pm and 10:00am-15:00pm on Saturday’s. Appointments are reserved with Saturday being the most popular day as Parents who act as Guarantors on the loan are more available that day, so book early!
Utilise our online “CU247 App” to make weekly, fortnightly, monthly repayments. Alternatively, we also do Direct Debits, Standing Orders or Cash towards repayment.
Delivery of funds, we pay out loans on the day (subject to all correct details receipted), so that only one appointment is necessary!
Efficiency is our game – all required documents can be emailed prior to appointment to minimise time spent securing loan!
No fees for early repayment!
Terms, Student Loans Terms are flexible and are structured to suit student repayment capacity – this will be discussed at your Loans meeting.
Lower initial payments as you can choose to go ‘interest only’ for Year 1, and this will be fully reviewed by Credit Committee before commencing into Year 2 of College.
Only a phone call away – call 074-9721293 to speak with any of our Loans Officers to assist you.
Apr % rate on a Student Loan is 6.18% which equates to roughly €1.15/€1000 interest per week.
New loans for students are a great way to establish a credit record which will be necessary for securing mortgages etc further down the road.
Shares, if you think you need a Student Loan, you will need to have at least €50 in Student’s Share account to secure a loan.
Quote for Student Loan
For a €3,000, 4- year variable rate loan with an interest rate of 6%, an annual percentage rate of 6.18%, the weekly repayment will be €16.23 and the total amount repayable will be €3,374.50.
Loans are subject to approval. Terms and conditions apply. If you do not meet the repayments on your loan, your account will go into arrears. This may affect your credit rating which may limit your ability to access credit in the future