Terms & Conditions
1. Advance & Repayment
1.1 The Credit Union agrees to advance and the Member agrees to borrow the Loan subject to the terms and conditions of the Credit Agreement.
1.2 The Member covenants to repay the Loan and to pay interest thereon in accordance with the terms & conditions of the Credit Agreement.
1.3 Unless otherwise agreed with the Credit Union, drawdown of the Loan must take place on the date or dates set out on the front page of the Credit Agreement.
1.4 Repayments in excess of those agreed may be made at the Member’s discretion, at any time during the period of the Loan
without additional cost.
2. Means and Costs of early
termination by the Member
The Member may repay the Loan in full at any time during the period of the Loan without any additional cost.
3. Annual Percentage Rate of
Charge (the “APR”) –
circumstances under which
it can be amended
4.1 The APR specified in the Credit Agreement is that rate, on an annual basis that equalises the present value of all commitments (loans, repayments and charges), future or existing, agreed by the Credit Union and the Member concerned.
4.2 The APR is as stated in the Important Information summary on the credit agreement and subject to change in accordance with paragraph 4.3 below.
4.3 The APR may change from time to time subject to market conditions and, for example, in the following circumstances:
(a) if the interest rate changes during the term of the Credit Agreement or between the date of the Credit Agreement and the date of drawdown; or
(b) if the drawdown date differs from the date of the APR calculation;
(c) if the interval by which the interest is charged changes.
4.4 The following assumptions were used to calculate the APR specified in the credit agreement:
– that the Agreement will remain valid for the term laid out on page 1 of the Agreement
– that the Credit Union and the member will comply with the
Agreement for the term of the Agreement;
– that the interest rate quoted on page 1 of the Agreement will not change for the term of the Agreement;
– that the member will drawdown the full amount of the Loan in one instalment as soon as the Member is permitted to do so under the Agreement.
The Loan is immediately repayable in the event of bankruptcy, death or contractual incapacity of the Member in accordance with the Credit Union Act 1997 and the Rules of the Credit Union.
6. Events of Default
6.1 In the event of:
(a) any repayment of principal or payment of interest in respect of the Loan not being made on the due date;
(b) any breach by the Member of the terms and conditions of the Credit Agreement or of any other obligations of the Member to the Credit Union;
(c) the death, bankruptcy or contractual incapacity of any guarantor or if any guarantee should for any reason become unenforceable, the Credit Union may, subject to and in accordance with the provisions of the Credit Union Act 1997 (as amended) and the Rules of the Credit Union, terminate the Credit Agreement and call in the Loan together with interest.
7. Costs and Penalties if
7.1 No penalties will be payable by the Member in the event of early termination of the Credit Agreement in any of the circumstances described in condition 7 above, save for the costs incurred by the Credit Union in seeking recovery of the balance of the Loan (including continuing interest up to and including any judgment) then outstanding.
If you do not meet repayments on this loan, your accout will go into arrears and this will affect your credit rating.