Combine borrowing into one simple repayment

Bring some simplicity by combining overdraft, credit cards and any borrowing into one simple monthly repayment.

A consolidation loan from London Mutual can save money on interest and fees, helping you to pay it off sooner.

Borrow from up to £7,499 at 6.9% APR
(Representative Example)


Calculate and apply online


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Repayments straight from your salary

Calculate my consolidation loan

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This calculator helps you to estimate your current borrowing, and the potential savings of paying it off using a London Mutual Credit Union consolidation loan.

Important information

This calculator is provided as an informational tool enabling to compare the cost of borrowing with a typical London Mutual loan, compared to the average APR of a credit card in the UK (17 Sept 2019).

Please be aware that:

  • This summary is for illustrative purposes only, so as to give you, the borrower, an overview of the potential cost of borrowing.
  • Results should not be considered personalised financial advice, and if in doubt you should always seek independent professional advice.
  • The results of this tool will only be as accurate as the information you provide. Results are on the basis of information inputted, but there may be other factors which this tool does not take into account, which could change the result displayed.
  • We cannot be held responsible for any inaccuracies, errors or omissions.
  • Loan products may be withdrawn at any time and are subject to availability at the time of application.
  • All loan decisions and actual rates are dependent upon personal circumstances and credit reference information provided to us by Credit Reference Agencies.

Provide details of your current borrowing below

Total monthly repayment

Increasing this will enable you to pay everything off sooner, and is likely to reduce the amount of interest you end up paying.

Who can apply?

Current members can apply for a loan at any time. Assuming you live within our common bond and are eligible to join, it is also possible to become a member at the same time as you apply for a loan.

Certain products and promotions are only open to those who have been a member for a certain period of time, have a certain amount saved with us, or who are signed up for payroll deduction.

The application process

Our online application form is straightforward, and should take about 15 minutes to complete. Before you begin, it's worth having your national insurance number handy, as well as a photo or scan of your payslip and bank statements. You may be asked to provide these as part of the process.

Once your application has been received, it will be looked at by a member of our loans team, who will use the information you've provided to decide whether or not we can approve your application. This can take 7-10 days. We'll update you by SMS and let you know the outcome when this step is complete.

If your application is approved, you'll be asked to sign a loan agreement setting out the terms of your loan, including details such as the amount to be borrowed and the repayment period.

Once the loan agreement is signed, we'll transfer the funds into your account within 2-3 working days. Loan repayments will then take place on the date and via the method agreed.

Will I be accepted?

We will make a decision based on how much you have applied for, and our assessment of your ability to repay. We'll do this by at your income, expenditure and credit history. When you apply, we may ask you to provide bank statements and payslips as evidence of this.

All loan decisions are made by a person, not a computer, and so we will always try to take the whole picture into account. In cases where we can’t approve the full amount, we may be able to offer you a lesser amount, or an alternative rate.

How to apply

You can apply at any time using our online application process. Simply use the calculator on this page to decide how much you'd like to borrow and over what period of time. Then, click 'apply for this loan' to begin the process.

You can also apply in person in any of our branches - just be sure to bring valid ID and proof of address, payslips and bank statements with you.

Not ready to apply? Get a reminder emailed to you, with a handy link to apply.

Consolidation loan
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  • Repayment:
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  • Average credit card APR:
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How it works

Calculate your existing borrowing

Use our tool to calculate how much you owe across your credit cards, overdrafts and any other borrowing.

Apply for a consolidation loan

Based on how much you can afford to repay each month, we’ll estimate how long it will take, and how much you could save in interest.

Pay everything off

If you’re approved, we’ll ask you to provide details of your existing borrowing so we can pay off the card company on your behalf.

Repay from your salary

You’ll repay your consolidation via a single salary-deducted payment each month. No more sleepless nights, no hassle.


I wasn’t really sure about being a member... but the professionalism and friendly staff have sold it. I’d go to them time and time again before a high street bank.

Mark Stevens, London Mutual Credit Union member

About credit union consolidation loans

What is a consolidation loan?

A consolidation loan is a personal loan which is used to merge together your existing borrowing into one convenient monthly repayment. This can be a good option when you have multiple debts (for example on credit cards or overdrafts) that you wish to pay off with a fixed end date.

Our consolidation loans usually come at a lower rate of APR than most credit cards, which means that you may end up paying less interest overall too. 

Who can apply for a consolidation loan?

Any new or current member of London Mutual Credit Union can apply for a loan for any purpose, including debt consolidation. To join, you’ll need to live or work within our common bond

However, to benefit from our best rates and to have the option of repaying from your salary, you’ll need to be an employee of one of our salary deduction partners, which are listed here.

Is my loan application likely to be approved?

As a credit union, we aim to help wherever we can, particularly when the purpose of a loan is to pay off existing debts. However, our standard checks on affordability do still apply, so it’s important that the size of your monthly repayment is realistic to your income and other financial commitments.

If your credit file isn’t perfect, that’s usually not in itself problem. However there will be situations where things have escalated beyond a point where we can help. This may include situations where you are already behind on payments with other lenders, are bankrupt, have defaulted on previous loans, or have an Individual Voluntary Arrangement (IVA) in place.


Will I save money?

This will depend on factors including the interest and fees paid on your existing debts, and how long it will take to pay them off. Our calculator tool will provide an estimate, but cannot take every situation into account.

However, with the average credit card rate in the UK at a record high of 24.7% APR, there is a very good chance that you will save money with us. Our salary deducted loans start at just 5.9% APR, so if you are approved and pay on time, you could potentially save significant amounts of money.

Is a consolidation loan the right option for me?

A consolidation loan will not be right in every situation, and there may be better alternatives, particularly if you are already facing significant difficulties with problem debt. 

According to the Money Advice Service, consolidating debts only makes sense if:

  • money saved on interest isn’t wiped out by fees and charges
  • you can afford to keep up payments until the loan is repaid
  • you use it as an opportunity to cut your spending and get back on track
  • you end up paying less interest than you were paying before and the total amount payable is less (it could be more if you repay over a longer period).

Read the full Guidance here

Will you pay off my credit card/overdraft on my behalf?

Once you are approved and receive the loan,we’ll usually leave it to you to contact credit card companies, banks or other companies to whom you owe money to arrange to get everything paid off.

Occasionally, when there are lots of creditors to pay, we may ask you to complete a debt consolidation form. This provides us with details to pay everything off on your behalf. This can sometimes save you time and reduce the stress of making lots of separate transfers.