How does credit union work?

lillen · 06-06-2014 11:33am #1

I'm new to the whole thing with credit union and all, and tried reading up on their homepage on how it actually works.

I'll be setting up a CU account in July, mainly because it seems like a smart way to save if you have a stable economy, as well as I'll be looking for a loan for a car.
I'll be putting 250 in weekly, and in the end of July I'll be depositing an additional 900e.

I was hoping to buy my car in August, and I'm looking at costs up towards 4-5000e.

With the savings from July, plus August, I'll be at around 3000e in savings with CU.
I know the branches are all run individually, but having 3000 in CU, lodging 250 a week, is there any likeliness at all of getting a 5000e loan as your first loan, after being with them for only 2 months?
Anyone with a similar experience?
I might be better of saving the money with my bank and applying for a 2000e loan instead?

BuffyBot · 06-06-2014 2:20pm

Unlikely. Your first loan will generally be much smaller than your shares, and over time you increase to larger borrowings. They'll generally look for more than 2 months activity also.

As you say, each one is individual but what you're proposing seems like a doubtful proposition.