If you’re a homeowner and are looking to borrow, our brand-new Homeowner Loan is designed just for you! Whether you have a mortgage or own your home outright, our Homeowner Loan could be the boost you’re looking for.
Our Homeowner Loan is for any purpose. Whether you’re looking to make some home improvements, booking a dream holiday, buying a new car or anything else – lock in low rates for your big ideas now.
Homeowner Loan at a glance
Borrow between £10,000 – £25,000, subject to affordability
Competitive interest rate of 6.4 %fixed APR
Save as you borrow, so you’ll have a lump sum when you’ve repaid your loan
Apply to Top Up when repaid 50% of your Homeowner Loan.
Please Note: If applying to Top Up, please apply for the amount you are topping up by, when completing the application. If approved, this amount will be the extra amount you receive.
Benefits of a Homeowner Loan
No application fees or hidden charges
No penalties for early repayments, so repay early & you’ll save interest
Affordable loan repayments through payroll deduction, or alternatively by direct debit
After repaying 50% of their first Homeowner Loan, members can apply to top up the loan.
Convenient weekly, 2-weekly, 4-weekly or monthly repayment, tailored to suit your budget
Save as you borrow, so you’ll have a lump sum when you’ve repaid your loan
Savings continue to attract dividend payments* whilst repaying your loan
*Dividends are not guaranteed. The rate payable is dependent on financial performance and voted on by members at the Annual General Meeting.
Things you should know
You must save a minimum of £2/week or £10/month as you borrow, so you’ll have a lump sum saved when you’ve repaid your loan. This minimum saving amount will be held in your ‘Membership Account’ and cannot be withdrawn until your loan is cleared.
After repaying 50% of their first Homeowner Loan, members can apply to top up the loan
Members may only hold 1 Penny Post loan at any time
The Homeowner Loan is only available to members who have been homeowners for at least 6 months (either currently have a mortgage or have completed their mortgage period and payments).
The Homeowner Loan is not available to members who are bankrupt or have an Individual Voluntary Arrangement (IVA) that shows on their credit report.
Other terms and conditions may apply.
Representative Examples
Weekly repayments
Borrowing £10,000 over 260 weeks will cost £44.75 a week. The total amount repayable is £11,635.87 which includes interest at 6.4% APR.
Monthly repayments
Borrowing £20,000 over 78 months will cost £71.93a month. The total amount repayable is £24,311.71 which includes interest at 6.4% APR.
Penny Post Credit Union is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. Reg No. FRN213680