Family Loans

Helping families to make the most of their money

Apply immediately for a loan up to £500. With this popular Plan you can save up for holidays, Christmas or other big spends at the same time as repaying your loan. Simply become a Credit Union Member, arrange to pay your Child Benefit into your Membership Account, and we’ll do the rest.

Our ‘Family Loan‘ product allows all families/individuals in receipt of child benefit to have a loan of up to £500 from the Credit Union without having a credit check – this will be conditional upon an affordability check and child benefit being paid directly from the DWP to the Credit Union.

Our loans are by far the most competitive in the market, see how a £400 loan compares with other lenders:


Lender Pay Weekly Weeks Total Payable APR (rep) Life Insurance? Save-as-you-borrow?
NEFirst Credit Union £11.49 40 £459.27 42.6% Yes yes
Provident £14 52 £728 272.2% no no
Morses Club £20 34 £680 466.37% no no

Calculate your loan

  • Borrow up to £500
  • Fixed interest rate – 3% per month on reducing balance (42.6% APR)
  • Repayments come straight from your Child Benefit
  • Save as you repay your loan with instant access to savings
  • No hidden fees, charges or repayment penalties
  • Free Members’ Death Benefit Scheme (terms and conditions apply)
Total Repayment:
Monthly Repayment:
Total Interest:
Representative APR:

How to apply for

a family loan?

Complete the regular online loan application form and choosing Family Loan from the list of “What is the loan For?” and place 12345 in the credit union membership number.


If you are not already a member, please provide proof of your identity and proof of your address this could be a photograph or screenshot (passport/driving license or recent letter/bill showing your name and address and email them to [email protected]


Contact and redirect your payments to the bank details, which you will find in the on the “Family Savings and Loan” form FAQ’s.


Make sure you let us know your 8-digit Child benefit reference number. This will be on the notification letter you received from the DWP or on Government Gateway.


Once we’ve received your first Child benefit payment your loan will be processed and paid by BACS to your nominated bank account which can take 3-5 working days to clear.


What is a Family Loan and how does it operate?

Our ‘Family Loans’ allow all families/individuals in receipt of child benefit to have a loan of up to £500 from the Credit Union. This will be conditional upon child benefit being paid directly into your account with the Credit Union.

How to I change the details to have child benefit paid tothe credit union?

Your child benefit payment may be paid by Electronic Funds Transfer (EFT) directly into credit union account. You can do this online at The Bank Account Details for the NEFirst Credit Union are:

Sort Code 60.83.01 Account no. 20331856

Who can apply for a Family Loan?

Anyone who lives or works in County Durham, Gateshead, Sunderland, Northumberland and North and South Tyneside and receives Child Benefit can join NEFirst Credit Union and apply for a Family Loan.

What happens to my Child Benefit when it arrives at the Credit Union?

The whole of your child benefit will be paid to your account with NEFirst Credit Union. Part of it will be used to make your loan repayment and a small amount (£1pw/£4 every 4 weeks) will be held in a savings account for you which cannot be withdrawn until your loan is paid in full. You decide what happens to the ‘surplus’ amount. It can be left in your savings account, withdrawn or split between savings and withdrawal. If you chose to have some of your Child Benefit paid back to you.

Can I apply for more than £500 or have more than one Family Loan?

Your Family Loan balance can never be more than £500 and you can only have one loan at a time.

Can I “Top Up” a Family Loan?

You can Top Up your Family Loan when you have repaid 1/3 of your original loan. If you had a £500 this means you will be able to top up when your balance is below £335. You can track the balance of your Family Loan registering to view online.

Can I get a standard loan with the Credit Union?

Once you have fully repaid your Family loan, you will be eligible to apply for a standard NEfirst Credit Union loan. The amount you can borrow will depend primarily on your income and expenditure. This loan application will also be subject to a credit check.

How do I apply for a Family Loan Top Up?

You can make a Top Up application by completing the family loan form located on the web site. We will process the top up and email you a new Loan Agreement which you can sign electronically.

How can I access my savings?

Your savings with the credit union are covered by the Financial Services Compensation Scheme (FSCS), so your money is just as safe as it is in a bank or a building society.  If you want to withdraw some of your savings, you can arrange this yourself by share withdrawal.

If I have requested a withdrawal when can I expect the funds to be available?

Request your withdrawal before 14.00 and we will always try our best to get your request completed on the same day or next working day.

Can I pay my loan back early? Are there any fees for this?

Members can clear the balance of a loan at any time and we do not charge any early settlement fees for this.