Saver Loan

Get our lowest ratejust 4.5% APR, secured against your savings with us.

All Loans are subject to our Lending Policy and Terms & Conditions

Use your savings to borrow at our lowest rate

Even if you have savings, you might not wish to use them right now. With our Saver Loan, you can borrow against your savings at the lowest rate we offer: just 4.5% APR. Your savings are held for the duration of the loan, and released back to you once the loan is repaid.

Personal Loans

Borrow Repay over APR
Up to your current savings balance 3 Months 10 Years 4.5%

Key Features

  • Borrow up to your total savings with us
  • Fast approval process, without the need for credit or financial checks
  • Get a decision and payment in as little as 3 working days
  • Your savings are held against the loan, and cannot be accessed until the loan is repaid

Eligibility Criteria

  • Current member
  • Savings equivalent to the amount you wish to borrow (excluding any loans you already have with us)
  • 18-74 years old
  • A UK home address
  • Not in an IVA or bankrupt

Will my application be approved?

Because this loan is held against your savings, there is a simplified application process without the need for our usual manual credit and affordability checks.

However, to be eligible for this loan, it is essential that the amount you apply for is less than, or the same as, the total savings balance of your London Mutual Credit Union Membership Account (minus any loans you have with us already).

What you’ll need

  • Your Membership number
  • Your National Insurance number

How it works


You can borrow up to the amount you currently have saved. So if you have £500 in savings, you’ll be able to borrow up to £500 as a saver loan. 

Receive your loan

Because your savings are held against the loan, the approval process is straightforward, and will usually take 5 days or less. 

While you repay

We’ll arrange for loan repayments to be taken via direct debit or via your salary. For the duration of your loan, you will be unable to access or withdraw your savings.

Once paid off

Once your loan is fully paid off, your savings will be unlocked, and you’ll be able to access or withdraw them again. You can also repay your loan early if you wish.

Good to know

How long will it take?

The online application process should take around 5 minutes. Because this type of loan is secured against your savings, we don’t need to carry out the same in-depth financial assessments and credit checks needed for our other loans.

Because of this, your saver loan application will often be processed in as little as 2-5 working days.

Will I get the rate displayed?

Our Saver Loan rate of 4.5% APR is the lowest rate we offer, and it reflects the reduced risk and administration costs involved in this type of loan. 

As long as you meet the eligibility criteria for this loan and have savings with London Mutual that are equal to, or greater than the amount you are applying for, you will are guaranteed to receive the rate displayed.

Who can apply for a Saver Loan?

In order to be eligible for a Saver Loan, you must have money saved in your Credit Union Membership account that is equal to, or greater than, the amount you wish to borrow.

The larger your savings, the more you are able to borrow as a Saver Loan.

If you are new to the credit union, or wish to borrow more thna you have saved, than the Saver Loan isn’t for you. Check out our other Loans & Overdrafts instead.

What happens to my savings?

If you have a Saver Loan with us, your savings balance (equal to the value of the loan) will be held against the the loan. You won’t be able to access or withdraw your savings until the loan is repaid in full.

If the amount you have borrowed is less than your total savings, then only a portion of the savings equal to the value of the loan will be held. You’ll be free to withdraw or spend the rest as usual.

Can I repay early?

Yes, the great thing about a Saver Loan is that you can use your savings to pay off the outstanding balance of your loan at any time, without early repayment fees or penalties.

Can I get a Saver Loan to cover part of my loan, and then another loan to cover the rest?

Unfortunately not. Our Loans Policy only allows you to have one loan with us at a time, with the rate based on the total amount borrowed, so it is not possible to ‘mix and match’ different loan products and rates.

Your savings must cover the full amount you wish to borrow. If you need to borrow more than you have in savings, our Personal Loans enable you to borrow up to £15,000, at rates which are still extremely competitve.

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Monthly repayment:
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Apply for this loan

All loans are subject to affordability checks and our Terms & Conditions. Loans are offered subject to status to members aged 18 or over. The rates displayed on this page are for illustrative purposes only, and the actual amount and interest payable will be indicated in the Loan Agreement provided when we offer you a loan.