Loans FAQs / Additional Info

Members can apply for a loan online by logging into your online banking, by email, by phone or by calling into our office.

Yes, you can apply for a top up loan at any time; you don’t have to repay one loan before applying for another. If your new loan is based on a different interest rate, our system is enabled to run two or more loans on the same account at the same time.

Loan repayments are made by direct debit from your main banking account.

Apart from the loan interest, there are no other costs, fees or charges.

A loan could be refused for a number of reasons, here are the main ones:

1. Ability to repay.

The money we lend belongs to all the members of the Credit Union. It is our responsibility to all members to ensure that we only lend members’ money to other members when it has been established that there is an ability to repay the loan. A borrower must be able to afford the loan repayments, including interest, over the full duration of a loan, therefore if income is not secure enough that may be a reason to refuse the loan.

We also need to be sure that we are lending responsibly and not knowingly facilitate a member becoming over indebted. If a loan applicant does not have enough income to repay the loan, the loan will be refused. We will assess the circumstances and loan requirement in coming to a decision regarding repayment capacity.

2. Poor Credit History.

Part of the loan assessment process is that we check the CCR (Central Credit Register) for an applicant’s previous loan repayment history. If the report shows a poor credit history; that an applicant has not been paying back other loans in the past, that is taken as a potential indicator of whether they will repay the loan to the Credit Union and the loan may be refused because the risk is too high that they will not pay back the loan to us.

3. Loan purpose not viable.

In the case of a business or other personal loan, an assessment of the loan requirement, business plan, projections and business model is undertaken. A loan may be refused if the assessment concludes that the rationale for the loan or the business is not viable in the long term and therefore lending would be too risky.

4. Non payment of a previous loan.

When a loan is taken out, a credit agreement is signed. This is a legal document committing a member to repaying the loan with interest. If a member’s financial circumstances change & they can’t pay the original repayment installments, we can work out a new repayment plan.

However, if a member won’t work on a new repayment plan and refuses to pay back a loan or stick to a new repayment agreement, that person will lose their Credit Union membership and all benefits associated with membership; including future borrowing until the original loan & outstanding interest is paid back in full.

A member has the right to appeal the loan decision, provided they can bring proven additional new information on income or circumstances above and beyond the details submitted at the time of application.

Kilrush Credit Union Limited generally requires bank account statements to assist with the assessment of loan applications. The Revised Payment Services Directive (PSD2) provides a means by which Members can supply bank account information electronically, by availing of Account Information Services (AIS). One of the main objectives of PSD2 is to promote competition in the financial services market by allowing people to safely and securely share their bank account information in order to get access to better financial services and products.

Using AIS may reduce the time taken to process loan applications.

This document also explains the AIS process.

If you consent to using AIS to supply bank account information, we will provide instructions by e-mail, including a link to the portal of the Account Information Services Provider (‘AISP’) that will enable you to initiate the AIS process.

If you do not consent to using AIS to supply bank account information, you can:

• Provide paper bank statements to us.
• Send bank statements to us by e-mail.
• Upload bank statements (when making an on-line loan application).

1. What is the (revised) Payment Services Directive (PSD2)?

The revised Payment Services Directive (PSD2) is a piece of EU legislation which entered into force in 2015. Among the primary objectives of PSD2 were:

• To protect consumers.
• To give people and small businesses the ability and choice to safely and securely share their financial data in order to get access to better financial services and products.

2. What is an Account Information Services Provider (AISP)?

Being an AISP (Account Information Service Provider) means that a company can ask an individual or business for authorisation to connect to a bank account and use that bank account information to provide a service.

The service provided by an AISP is a regulated payment service.

3. What can an AISP do with your bank account information?

Businesses who are AISPs are authorised to access bank account information on a ‘read only’ basis. This means that the AISP has access to the account information but will never be able to complete any transactions on your bank account.

4. Who is the AISP used in this process?

Truelayer (Ireland) Limited is the AISP used by the Credit Union to enable Members to provide bank account information digitally, in support of loan applications. Truelayer (Ireland) Limited is registered as an Account Information Service Provider (AISP) with the Central Bank of Ireland (Institution code C433487).

If an AISP is registered in any EU member state, it can provide Account information Services (AIS) to consumers and businesses in any EU member state.

5. How does the overall process work?

This document explains how the overall process works (include link to PDF explanatory document).

6. Why would I want to use this service?

This service eliminates the effort of collecting, printing and returning bank statements to the Credit Union. Instead, your bank account information is transferred electronically to the Credit Union on your behalf (but only when you give authorisation to do so)

7. What will my account data be used for?

Your bank account data will only be used for the purpose of assessing your loan application to the Credit Union.

8. How long will the AISP have access to my account?

Truelayer (Ireland) Limited will access your account data only once (immediately after you have given authorisation).

9. How long will the AISP hold my bank account information for?

Truelayer (Ireland) Limited will hold your bank account information on their systems for a maximum of one hour after accessing your bank account. After which, your bank account information will be deleted by Truelayer (Ireland) Limited on their systems.

10. Who will Truelayer (Ireland) Limited share your bank account information with?

Truelayer (Ireland) Limited will share your bank account information with the Credit Union (after authorisation by you) via the cloud-based loan application assessment system used by the Credit Union.

11. What is the lawful basis for Truelayer (Ireland) Limited to share your account information with the Credit Union?

Truelayer (Ireland) Limited and Kilrush Credit Union Limited are two separate Data Controllers. Where Truelayer (Ireland) Limited shares bank account information with Kilrush Credit Union Limited it is based on consent which you provide to Truelayer (Ireland) Limited during the bank account information retrieval process to facilitate the loan application process, when you the Member authorise Truelayer (Ireland) to do so.

12. How will a Member exercise their rights under Data Protection?

Truelayer (Ireland) Limited and Kilrush Credit Union Limited are two separate Data Controllers, therefore the Member will be able to access their rights separately with each entity. Kilrush Credit Union Limited’s privacy notice is available here. Truelayer (Ireland) Limited’s privacy policy is available here.

The Central Bank of Ireland has established a Central Credit Register under the Credit Reporting Act 2013.

The Central Credit Register is a national database that will, on request, provide:

• a borrower with their own individual credit report detailing their own credit agreements;
• a lender with comprehensive information regarding a borrower to help with lending decisions and other credit assessments; and
• the Central Bank with better insights regarding national trends in the provision of credit.

The Credit Reporting Act 2013 requires us to process your personal and credit information for the Central Credit Register. From 30 June 2017, we will submit personal information to the Central Credit Register that we may already have about you, for example:

• your name;
• address;
• date of birth; and
• personal public service number (PPSN) – where available for this purpose.

The Central Credit Register needs this information to make sure it accurately matches you to your loans, including loans that you may have with other lenders. Producing a full and accurate credit report is one of the main aims of the Central Credit Register. We will also submit credit information each month with regard to your loans with us where the loan is for €500 or more.

The CCR are then obliged to store your information securely where it will be used to create your credit report. The Central Credit Register will not calculate a score or grade on your credit report. Information will be kept on the Central Credit Register for five years after your loan is cleared.

In early 2018, credit reports will become available from the Central Credit Register. Once available, you may request your report at any time and you are entitled to one free report each calendar year.

Lenders may only access your credit report:

• when considering an application for a new loan, or a top-up on an existing loan;
• if you request a change of loan terms of an existing loan; or
• when reviewing a loan in arrears.

Employers, landlords, or any other person or entity cannot access your credit report without your written consent.

We invite you to read the Central Credit Register factsheet here.

If you have any other question about any of your loans with us, you can contact us at 065 9051242.