Personal Loans FAQs

What will be required to start a personal credit application?

Borrowers need to state the purpose of the loan, and provide identification, proof of income in the form of a current pay stub as well as your most recent CRA Notice of Assessment, and must be prepared to provide a statement of assets and liabilities.

What is a Total Debt Service Ratio (TDS) Ratio?

TDS is calculated as the percentage of gross (pre-tax) monthly income required to cover monthly housing costs and other debt payments.  Housing costs include mortgage payments, property taxes and heating costs and other debt payments include such things as personal loan payments, line of credit payments and credit card payments.  Generally a TDS ratio of no more than 42% is recommended.

Personal Credit

Dundalk Credit Union provides personal credit to qualified borrowers for a variety of purposes. We make borrowing affordable so that you can get what you need faster. We assist you in choosing a payment schedule that works for you.  You can apply in person at either branch location.  An appointment is recommended but not always required. Approval decisions and administration are handled locally by our capable staff and we pride ourselves on giving you the answers you need quickly. There are no application or renewal fees; interest rates are competitive and pricing is based on customer circumstances.

Types of Personal Credit

Personal Loans

Dundalk Credit Union offers personal loans for such purposes as new or used vehicle purchases, vacations, debt consolidation, education, or investments. You can choose to structure a personal loan with fixed interest rates set for up to a five year term or with variable interest rates that will fluctuate with the credit union prime rate.  Manageable, scheduled blended payments (principal and interest) are deducted from your credit union account.

Personal Lines of Credit

Personal Lines of Credit provide flexible borrowing options.  You apply only once and deposits made to your credit union account are credited directly to the outstanding balance on your Personal Line of Credit immediately, reducing the amount of interest you pay monthly.  You can access your line of credit in the branch, by cheque, at the ATM, online, or by using your debit card.  You only pay interest on the funds you use.

Student Loans/Lines of Credit

A Student Line of Credit is a low cost borrowing solution that offers low interest-only payments to help cover your living or education costs while you are completing post-secondary education. While in school, your required monthly payment is equivalent to the interest charged for that month.  Student loans and lines of credit may require a guarantor. Within six months following the date the borrower ceases to be a full-time student, the borrower must begin making blended principal and interest payments.