Welcome Loan

48 Hours

We aim to process Welcome Loans within 48 hours

More Than a Credit Score

We look at affordability and work with you to build a history with the credit union

Up to £1,000

Apply to loan up to £1,000

A credit union welcome

Be a part of a community where you feel at home, be at the heart of decisions, feel valued and reap the benefits of your credit union.

This loan is welcome when savings are low but you need extra money in your pocket. You can borrow £150-£1000, subject to affordability (APR 42.6%).

We encourage all of our new members to build their savings to help for a rainy day and to move onto our Saver Loan with a lower interest rate.

A Welcome Loan can be refinanced once the first loan has been repaid according to the loan agreement for a minimum of 16 weeks / 4 months. Further loans require savings. 

After one year of membership, members can move to applying for Saver Loans.

So receive a credit union welcome and join now!

Apply through our mobile app

Nivo is a fast and secured messaging service. All conversations through the app are encrypted- keeping your information safe and protecting your privacy

Don't want the app?

Not to worry, you can join online too! click open account and fill out the application:

Click to read the small print

Welcome Loan product description

Minimum loan £150
Maximum loan £1,000


Terms and conditions:

  • You must be a member of South Manchester Credit Union to be eligible to apply for a Welcome Loan.
  • You must be aged between 18 years and 69 years to apply for a Welcome Loan.
  • You must complete the loan application process and provide all information requested for a full loan assessment. An external credit check will be undertaken.
  • Once a Welcome Loan offer is made, you will sign the Loan Agreement if you accept the offer and agree with the loan terms.
  • You agree to repay the loan to South Manchester Credit Union and pay interest on the unpaid balance at the agreed rate. Interest will be charged on the outstanding balances on a daily basis.
  • You agree to make payments at the agreed frequency and will continue to do so until the loan and interest have been repaid in full. If you miss a repayment, you will incur additional interest on the loan. The first payment will be due on the date agreed in the Loan Agreement.
  • If you don’t make a repayment on time we will contact you to find out why. The interest on your agreement is based on you paying on time. If you miss payments, you may end up paying more interest than on the agreement. If you stop paying your loan we can ask you to repay the whole loan at once. If you stop repaying your loan and we have to take steps to contact you for repayments, we may add the cost of chasing you to the amount owed to us.
  • If your loan is in arrears we have the right to apply any savings held in your Locked Savings account towards the arrears due.
  • You have the right to settle the Loan Agreement early at any time by paying in full the balance of the loan plus any unpaid interest outstanding. South Manchester Credit Union will, on request, provide you with a written statement of the sums which have been paid and which remain outstanding under the Loan Agreement.
  • You agree to save at least £2 per week to build your savings with South Manchester Credit Union. The savings you accumulate in this way, whilst you are repaying a Welcome Loan, will be held in your Locked Savings account. Any additional savings will be placed in your Open Savings account from which a monthly savings withdrawal is permitted. Once your Locked Savings balance exceeds your loan balance, the difference may be withdrawn.
  • During the term of the loan, you agree that you will inform us immediately if you give or receive notice of termination of employment, change of address or any other personal circumstance which will affect your ability to make the agreed loan repayments, so that alternative methods of payment may be arranged.
  • A first Welcome Loan may be refinanced after at least 16 weeks of loan repayments as per the Loan Agreement.


Credit reference and fraud protection agencies

We may use credit reference and fraud prevention agencies to help us make decisions. What we do and how both we and credit reference and fraud prevention agencies will use your information is explained on our privacy policy page.