Loan Arrears
St Colmcille’s Kells Credit Union recognise that there may be times when unforeseen changes in a members personal circumstances can put a strain on finances.
At St Colmcille’s Kells Credit Union we have a friendly and understanding Credit Control team with a “here to help” philosophy.
All member engagement is confidential and non-judgemental. Our experience indicates that when a member actively engages, a loan repayment solution agreeable to both the Credit Union and the individual member is reached.
If you are experiencing financial difficulty please contact us at the earliest possible stage on 046 9240 299.
Also you can contact your local Money Advice and Budgeting Service (MABS) on 0818 072 680 or paste the following link into your browser to access the Mabs website: www.mabs.ie
Booklet for Small Enterprise Borrowers in Financial Difficulty
Where you are a ‘Small Enterprise,’ that is an enterprise which employs fewer than 50 persons and which has an annual turnover and annual balance sheet total which does not exceed €10 million; and you are in financial difficulty, please be aware of the following:
- the Credit Union should include a statement highlighting the importance of the borrower engaging with the Credit Union to address their financial difficulties;
- a description of the Credit Union’s procedures for dealing with borrowers in financial difficulties, including relevant timelines;
- an explanation that the Credit Union may offer the borrower an alternative arrangement subject to the borrower meeting the Credit Union’s alternative arrangement assessment criteria and to an individual assessment of the borrower’s situation;
- the criteria which may apply to the borrower’s financial difficulties case to determine whether an alternative arrangement is suitable to resolve those financial difficulties;
- a statement emphasising that it is in the borrower’s interest to engage with the Credit Union about arrears or financial difficulties;
- an explanation of the meaning of not co-operating under these Regulations and the implications for the borrower of not co-operating, including (i) the impact on the Credit Union’s consideration of an alternative arrangement, (ii) the impact of such a classification on the Credit Union’s consideration of it exercising any existing legal or contractual rights to enforce security, and (iii) where security is realised, that the borrower will remain liable for any outstanding debt;
- an explanation that the Credit Union may be entitled to impose additional fees or charges on borrowers in financial difficulties in accordance with the terms and conditions of the credit facility agreement;
- a list of the information which the Credit Union may request from the borrower when assessing the borrower’s case;
- a statement that the financial difficulties may impact on the borrower’s credit rating;
- a link to these Regulations and a brief summary of the purpose of these Regulations;
- an explanation that the data relating to the borrower’s arrears may be shared with a relevant credit reference agency or credit register, where permitted by contract or required by law;
- confirmation that where a borrower enters financial difficulties, the Credit Union will
- appoint a designated contact point, and
- inform the borrower of the relevant contact details of the designated contact point;
- a statement advising borrowers that they may employ third party advisers who may accompany the borrower during discussions with the Credit Union whether these discussions are face to face or not;
- an explanation of the Credit Union’s internal appeals process in respect of a Credit Union’s decision on whether to grant an alternative arrangement and the timeframes involved;
- the borrower’s right to make a complaint and the complaints procedure.