Save as You Borrow: a unique way to build savings

Last reviewed May 2026

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Save As You Borrow (SAYB) is a scheme offered by many credit unions where, alongside your regular loan repayments, you also save. The savings go into a regular shares account in your name. The amount you have to save differs between credit unions, but typically the minimum is around £2 per week. You cannot access the savings until the loan is either fully repaid or a significant portion has been repaid. By the time your loan is paid off, you've built a savings pot.

What is 'Save As You Borrow'?

Save As You Borrow is a savings scheme provided by credit unions that runs in parallel with a loan. Instead of asking you to choose between repaying debt and building savings, the scheme lets you do both at once, by adding a small agreed savings contribution alongside each loan repayment.

The loan repayment itself clears your debt in full. The savings amount is a separate, additional contribution paid into a shares account in your name with the credit union. You cannot access the savings until the loan is either fully repaid or a significant portion of your loan has been repaid. By the end of the loan term you have both cleared the debt and built a financial safety net.

How does it work?

1

Apply for a loan

Apply at a participating credit union. Credit unions offer more flexible criteria than traditional banks, so even if your credit history is imperfect, you may still be eligible. You agree the savings contribution amount at application.

2

Repay and save in parallel

Each week or month, you make two payments: your loan repayment, which goes entirely to clearing the debt, and a separate, agreed amount that goes into your savings account with the credit union.

3

Unlock your savings

Once your loan is fully repaid, or your savings balance exceeds what you still owe, the savings become accessible. You can withdraw the pot, leave it growing in your shares account, or use it as a buffer for future needs.

Why choose ‘Save As You Borrow’?

This scheme offers several benefits:

Builds a savings habit

For many people, developing a habit of saving can be difficult, especially when they have outstanding debts. With SAYB, saving happens automatically, helping you build good financial habits without extra effort.

Get out of debt and have savings

Unlike typical loans that leave you with nothing once paid off, 'Save as You Borrow' helps you clear your debt while also strengthening your financial position by providing a savings buffer.

Affordable and fair lending

Credit unions typically offer more affordable interest rates compared to high street lenders and payday loans, especially for those with limited access to credit. They focus on responsible lending and always have the borrower’s financial wellbeing in mind.

Credit union support

Instead of prioritising profits, credit unions prioritise members. This means you’re more likely to receive personalised support throughout your borrowing journey.

The ‘Save As You Borrow’ scheme is an excellent way to meet your immediate financial needs while also planning for the future. It’s a unique solution that allows you to manage your debt responsibly while growing your savings - something that few other financial products can offer.