Applying for a loan
What is required to apply for a loan from my credit union?
Anyone can apply for a loan, to be approved for a loan there are requirements.
First you have to be a member with one full share ($10) on deposit. Federal Law requires us to deny loans to those who are not members. You can join and apply for a loan on the same day.
Complete a loan application form and pay the application fee. “Complete” is a very important requirement that is the same for everyone, except those who are borrowing against their own savings’ balance. List all your phone numbers, sources of income, *bills, and financial responsibilities.
*Bills and debts you are required to list on your loan application are defined by our CU as:
- Housing costs (rent or mortgage plus taxes and insurance)
- Contractual debts such as loan and lease payments
- Payments on loan the applicant(s) cosigned or guaranteed
- Rent to own furniture or appliance payments
- Electronic payments (automatic deductions) if these are financing purchases
Debts do not include phone, cable, or utility payments unless they are past due; then the amount of payment to repay past due amount is included.
Proof of income sources must accompany your loan application. Our CU treats all sources of income the same: it does not matter if it comes from a job, self-employment, retirement, savings/investments, or public assistance though we do ask that you document how much you receive, how often, and for how long into the future you expect it. Ask a CU member Service Representative (MSR) if you have questions on what types of income documentation are accepted.
The credit union staff will get back to you with one of these responses:
- Not at this time for the following reasons
- A counter offer, which is a loan with different terms than you requested.
“We found information that is missing or does not match what is on your application. Please explain and complete the application, returning it to the CU.
Applications not fully completed will be denied within 30 days, as required by law.
Loan Repayment Consequences
What is expected from everyone who borrows from Northern Eagle Federal Credit Union?
All borrowers are expected to repay the money as agreed with periodic, timely payments. If a problem occurs it is much better to contact the CU before a missed payment to learn what options you might have.
Yes there will be late charges added to your payment amount if it is late. Your loan documents detail how much your late fee will be, as well as any possible grace days before the late fee is charged. We do not want your late fee. We really want you to make your payments on time.
Your repayment history is reported to Credit Reporting Bureaus. Your payment history comes right from your account activity data, so be sure to let a MSR know if you find any difference in posted payments.
If a borrower does not repay the loan on time the credit union’s policy require collection activities which may include repossession of the collateral, asking a co-borrower to make the payments, or filing suit in Tribal Court. The latter can lead to court ordered payments from your pay, your accounts or your Per Capita Payment.
The credit union offers other financial management services and education. Please ask about all available options open to you.
What types of loans does our credit union make?
- Signature or Unsecured Loans
- Shares Secured Loans
- Secured Loans by a vehicle or other title
- Credit Builder Loans
- Anti-Predatory (Emergency) Loans – small short term loans