There are a lot of myths about borrowing from credit unions so to set the record straight, here are a few Myth Busters for you.
1. We are NOT a “poor man’s bank”.
Derbyshire Community Bank has savers and borrowers from all walks of life. This creates a pot of money that not only covers our running costs but can be used again and again as affordable loans for the people who need them, whether they have a low income or not.
2. The Bank/Credit Union does NOT lend just to the poor.
Our loans are competitive with financial providers in each field of lending, so our £7,500- £15,000 loans are competitive with the banks at 3.9% APR. Our £500 loans are competitive with the payday and doorstep lenders at 42.6% APR.
3.We are not a ‘trade union’ or a ‘pawnbrokers’ or anything else like that!
We are a community bank offering financial services to those people who live or work in Derbyshire. We offer savings and loans as well as rent payment and budgeting accounts. We even have online banking so that you can manage your money online.
4.We DON’T give debt advice.
If you have existing debts we can advise you on whether a credit union personal loan will be a cheaper option and we’ll work with you to resolve your problem. If you specifically need debt advice we’ll refer you to an appropriate agency.
5.We DON’T run on thin air.
Nor do we make a profit. There are no big shareholders, nor do we pay bankers bonuses! We make the money we need to cover our costs from the interest on our loans and any surpluses are paid back to our savers as dividends or ploughed back into services.
We can’t give you EVERYTHING you might want in life…..but we can offer you services to make the most of your income by helping you to save or by offering competitive loans. And in using our services you’re keeping your money local and helping local people.
But we ARE pretty amazing so why not visit our website www.dcbank.org.uk or come in and talk to us about how we can help you.