What are child benefit loans and family saver loans?

Child benefit loans with London Mutual Credit Union allow you to borrow up to £600 towards one-off costs when you pay your child benefit into a membership account. As we want to help our members grow their finances, we offer Family Saver Loans. These help you to save a little each month as you repay, ready for Christmas, holidays or any unexpected costs.

How do Family Saver Loans work?

1. Become a member

If you are not already a member of the credit union you will need to join. You can easily apply online if you’re eligible. Once you join you will be able to save and borrow with us, and have access to our digital banking and members lottery. We also have a Excellent rating on TrustPilot.

You can apply to become a member at the same time as applying for a Family Saver Loan.

2. Set up and account and pay in your benefit

If your loan is approved (and your membership application if required), we will take you through the process of setting up a credit union account and arranging for your child benefit to be paid into it.

3. Borrow up to £600

You will then be able to borrow up to £600 towards one-off costs. This could be for school uniforms, equipment for home learning, or helping out in the school holidays.

4. Save as you repay

Your repayments include an extra £10 which we will put directly into a savings account. Once your Family Saver Loan is repaid you can access this money for future costs, for example Christmas. We hope that you stick with us and continue to save for your future goals!

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Make your child benefit work for you

We know that with a family flexibility is key. Once at least 1/3 of your Family Saver Loan is repaid you may be eligible to borrow up to £1200. Our handy service means that you can send a text canitopup to 80011 to see if you are eligible. Having this available to you whilst building your savings means you’re ready for any unexpected bumps in the road.