Starter Loan

About the Starter Loan

Our Starter Loan is a product for members who haven’t borrowed from us before. It’s a great place to start your Credit Union journey. You can apply for up to £500 and you don’t need to have savings already to apply.

We do however, require you to save alongside your Loan repayments and the savings will credit your Share one account which will be locked until the loan is repaid. This is a good way to help you to build up a savings pot.

We may be able to help you with this product if you have struggled to get credit in the past.

Here’s an example

Savings Contribution

In the above example, the loan repayment is £36.92p per month. The member could opt to round the figure up to £45 a month. This means that when the loan is finished the member will have a savings pot of £48.48p available. The member may choose to leave the money in and continue to save or they may decide to withdraw it. It’s important to be realistic about how much you can save because the money will be locked until the loan is repaid.

How to apply and next steps

Nivo download QR code

The quickest and easiest way to apply for our Starter Loan is to download our Nivo app and follow the simple steps. Our app utilises open banking so often takes the fuss out of providing bank statements and identifying you. Download “Nivo” from your app store or scan the QR code to begin your application.

If your application is approved, we will send a digital loan agreement for you to sign. When you have digitally signed the agreement and we receive this back, the loan funds will be deposited into your bank account.

As long as you are honest on your application and provided us with the information we need promptly, we aim to complete your application as quickly as possible. This may be the same working day or up to four working days depending on the number of applications we receive.

Loan applications are subject to assessment and may include credit reference checks.

How does the interest work?

Interest on loans is charged monthly on the declining balance. This means that 42.6% APR = 3% per month / 26.8% APR = 2% per month. Using an APR helps you compare loans between lenders

For example, suppose that you borrow £100 from us at 3% per month. At the end of the first month we will add 3% interest (i.e. £3) and you will owe us £103. If you pay off your loan at £10 per month, at the end of the second month you will owe us £93. We will then add interest on that at 3% (£2.79); and so on. 

Do you use credit reference agencies?

We may carry out a check with a credit reference agency and share information with them as long as you hold products with us. If you would like to know more about how we use your information please download the guide below:What happens to my data?

If you have any questions about the forms we’d be happy to speak to you. Just Contact Us.

Do you use Open Banking?

Stockport Credit Union uses Open Banking to assess your affordability to repay loans.

Open Banking is the secure way of providing access to your bank or building society account to providers who are registered for this purpose. Registered providers and participating banks and building societies are listed under the Open Banking Directory.

Open Banking was set up by the UK Government to encourage more competition and innovation in the financial services sector.

As a forward thinking lender, we support the use of Open Banking as it allows us to process loan applications efficiently, securely and in our consumer’s best interests. By permitting access to your bank or building society account information we are able to make a better lending decision as we shall be able to verify your income, outgoings and other matters in order to assess what loan terms would be suitable for you based upon what you can reasonably afford to repay.

Further information about Open Banking is available from You can find more information on how the information will be processed and retained on Stockport Credit Union’s Privacy Notice on this website.