How to compare loan products
When it comes to applying for a loan, whether through a credit union or a traditional financial institution, it’s essential to ensure you’re getting the best deal possible. Most people focus on the interest rate. However, several other factors can significantly impact the overall cost and suitability of a loan. Factors to consider when comparing…
Read MoreDrive lower risk loan applications with soft credit checks
For borrowers who are conscious of their credit scores, soft credit checks offer a practical and appealing solution. This process allows individuals to determine their likelihood of loan approval without negatively impacting their credit score (unlike hard credit checks). This is particularly beneficial for those with variable-rate financial products, such as mortgages, where even a slight…
Read MoreLending trends 2024
Over the past year there has been a shift in lending risk within the credit union sector. In 2023, credit unions in Great Britain approved nearly 6 out of 10 loan applications. However, as of 31 August 2024, this approval rate has dropped, despite applicants credit risk being lower. What are these lending trends telling…
Read MoreHow lenders look at affordability
There are several ways affordability is considered by lenders. Lenders are legally obliged to assess the affordability of a loan. Usually this involves looking at bank statements or (for a quicker decision) by opting in to Open Banking. The following tips outline several ways you can ensure your affordability isn’t impacted too much. The lenders…
Read MoreProving your identity
All NestEgg lenders are regulated by the Financial Conduct Authority and Prudential Regulation Authority. Due to this, credit unions are required to confirm your identity before you join and take out a loan. When you complete an online application, NestEgg will use information from a Credit Reference Agency to check your identity. In most cases…
Read MoreWhat are the benefits of using Open Banking?
Open Banking makes it easier for you to access loans from credit unions. What is Open Banking? Open Banking is a data sharing system allowing individuals to securely share financial information with other authorised third-party companies. This includes financial institutions such as credit unions. Having access to your financial information (including your income and spending)…
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