Family Loan

Our new Family Loan can help you pay for life’s little emergencies and save for larger family expenses like holidays and Christmas while you are repaying your loan. This is a low-cost alternative to other lenders and is available to families and individuals who receive Child Benefit.

  • A Family Loan is based on you paying your Child Benefit into a SVCU savings account from which your loan repayments will be made.
  • You can apply to borrow up to £500 and repay over a period of 12 months. We do not impose penalties for early repayment.
  • The 12-month term interest rate is 3% per month. 
  • Repayments of your loan are taken from the SVCU savings account that your Child Benefit is paid into. 
  • If you have more than one child the maximum repayment will still be £11.49 weekly or £46.33 four weekly on a £500 loan. Any money left over after loan repayments can be left in your savings account or paid into your bank account. 

Check the table below to see how much your repayments would be and the cost of the loan.

Anyone who receives Child Benefit and who is, or becomes, a member of  SVCU can apply for a family loan

Check the table below to get an estimate of how much interest you may pay (for illustration purposes only)

  • You will need to fill in an application form which is available from our customer service points or can be downloaded at the bottom of this page.
  • You will need to provide us with 3 months bank statements and details of your outgoings. We will ask you to come in to a customer service point to sign the loan agreement.
  • Once your loan application has been accepted, we will open a savings account for you and you will need to send a letter to HMRC asking them to pay your child benefit into your savings account.
  • Once we have received the first payment of your Child Benefit, we will pay the agreed loan amount into your bank account.


  • The maximum term of the loan is 12 months and the maximum amount that you can borrow is £500. 
  • The rate of interest is 3% a month ( APR 42.6%)
  • SVCU do provide loans greater than £500 but we will only lend a higher amount if you can show that you can afford to pay back the loan. You can find more information about our other loans here

Family loan repayment

LoanRepayment amountNumber of paymentsTotal repaymentCost of credit
£500 repaid weekly£11.4952£597.02£97.02
£500 repaid four weekly​£46.3313£602.19£102.19