Update on our early redemption fees

Oct 20, 2022
Dear Member

We are writing to update you on our early repayment fees.

Most LCCU borrowers repay their loan on the timeline set out in the loan agreement. A small number, however, experience a change in circumstances and choose to settle the full balance earlier than scheduled.

For anyone who repays the full loan balance within 180 days of disbursement, then an early redemption fee of £50 (fifty only) will be charged at the point of termination of the loan contract.

This change will take effect for any early redemption from 19 November 2022 regardless of when the loan was drawn down.

There will be no impact on borrowers who repay their loan on the timeframe agreed at the point of draw down.
We have taken this decision after reviewing individual loan applications and
wider member behaviour.

If you have questions or concerns then please telephone the Customer Support
Team or speak to your local branch manager.

With thanks.
London Community Credit Union

A better way to support our work is to open one of our debit card current accounts and, when considering a loan, to take one from us.

Alongside our other plans to boost income and control costs, we are confident these changes will deliver a strong and sustainable credit union.

The credit union was set up in Tower Hamlets in 2000. Now, following our 20th anniversary, we want to work with members to ensure another 20 years of improving financial resilience and supporting the alleviation of poverty in east London. Thank you for your support.