Missed Payments

As a responsible lender we will do our best to only lend what we think you can afford.

If you know that you have missed a loan payment or think that this is likely, then you must contact us as soon as possible!

 

     Missed payments hotline         

Phone0121 663 1960         

 

The worst thing to do is pretend it didn’t happen and keep quiet. We do monitor missed payments on a daily basis and we will contact you by phone, text or email, but if you have contacted us first that will be in your favour if you borrow from us again.

We recommend using our internet banking to monitor your loan repayments.

If you know you have missed a payment we can offer the following ways to catch up:

  • Debit card payments over the phone – just call 0121 663 1960
  • Internet banking – contact us to arrange
  • Over the counter at our Erdington office
  • Community Collection Points
  • Cheque in the post payable to Advance Credit Union Ltd.
  • Smartphone App – Paym or Barclays’ Pingit

If you do receive a ‘missed payment’ message from us then don’t ignore it, contact us as soon as possible so that we can both put things right. Missing a payment can be a warning sign that your finances are in trouble, now is a good time to review your budget and get some help and advice.

10 Reasons why you should contact us if you’ve missed a loan payment:

  1. We will do what we can to help. We understand that circumstances can change which can affect your ability to pay. We may be able to reschedule the loan over a longer period or accept a smaller sum for a short time.
  2. It may be a mistake. Missed payment may be due to insufficient funds in your bank account for the standing order to be processed, child benefit not received by us, payroll deduction information incorrect or you may simply have forgotten. When you contact us we’ll help to put things right. Plus, banks will often remove failed standing order charges if you ask them quickly and nicely.
  3. It will cost you more. If you get behind on your payments then loan interest will accrue so it will cost you more than if you stick to your loan agreement.
  4. Your credit score can be affected. Advance Credit Union shares members’ loan data with credit reference agencies, so missed payments will appear on your credit history and may affect your ability to borrow elsewhere in the future. Credit Union loan applications by others in your household may also be affected by your non-payment due to the increased risk of default.
  5. Did you know that you have borrowed from your friends family and neighbours? Our loans are funded by other members’ savings and we have duty to them to ensure that loans are repaid.
  6. You could lose access to your credit union savings. We will do our best to contact you if you have missed a payment, but if this is unsuccessful then your savings with us will be transferred to reduce your outstanding loan balance, so your savings will no longer be available to you. Even if you have moved address, changed phone number or are no longer entitled to child benefit your debt will still be pursued.
  7. A Debt Collection Agency may be employed to recover your outstanding debt. Our Reasonable cost of debt collection will be added to your outstanding debt and further costs may be added to cover the costs of debt collection. These can soon add up – it is always best to contact us before this stage is reached – you won’t regret it!
  8. Earnings Deduction may be made to recover your outstanding debt.
  9. Eligible Loan Deduction Scheme (ELDS) may be used to reclaim your outstanding debt by deduction from your benefits.
  10. County Court Judgement may be entered against you if a repayment plan is still not complied with. This will incur further costs and will show on your credit history which may affect your ability to get credit in the future. An Enforcement Officer (previously known as Bailiff) may be appointed to act upon the court judgement.

We really hope that your credit union loan doesn’t reach this stage, it is always best to contact us as soon as possible and talk with us so that an agreement can be reached.