Start with a loan of £500.
A straightforward smaller loan if you receive an eligible benefit.
Get to know us, and we'll get to know you with a Starter Loan. Start low and then borrow more once you have a repayment history.
At a glance
A straightforward £500 first loan if you’re new to Wessex and mainly receive benefits.
A Starter Loan gives new members whose income is mainly from benefits a simple way to apply for a smaller first loan. If we approve it, an agreed benefit is paid into your Wessex account and we use part of that payment to make the repayment.
In plain English
What is it?
A first loan for people who are new to Wessex and whose income is mainly from benefits.
What does it do?
It gives you up to £500 to use now, with the repayment taken from an agreed benefit paid into your Wessex account.
Why have it?
Because it can help you access a popular small first loan when you don’t have employed income. If you manage it well, you may be able to borrow more later, while building Cashback savings as you repay.
New to us and receiving benefits?
A Starter Loan gives new members whose income is mainly from benefits a straightforward way to apply for a small loan. We look at your circumstances and whether the repayment is affordable for you.
How it works
If we approve your application, an agreed benefit is paid into your account with us and is used to make the repayment.
Borrow £500. Finish with £250 saved.
Your regular payment includes a savings amount as well as the loan repayment, so you do not need to remember to save separately. On the example shown, when the Starter Loan finishes you have £250 already saved.
Which benefits can be used?
It does not have to be Child Benefit. The benefits we can use for Starter Loan repayments include:
- Child Benefit
- Child Tax Credit
- Working Tax Credit
- PIP
- DLA
- Carer’s Allowance
- State Pension
- Pension Credit
- ESA
- Income Support
Starter Loan questions
A few things you may want to know before completing the application below.
Do I need to already be a member?
No. The Starter Loan is specifically available to people who are new to us. Your first Starter Loan can be up to £500, subject to affordability and our lending criteria.
Can I apply if my income is mainly from benefits?
Yes. The Starter Loan is intended for new members whose income is mainly from benefits. We still carry out affordability and lending checks before deciding whether we can lend.
Can I use Universal Credit to repay the loan?
No. Universal Credit can be included as income when we assess affordability, but we do not use it as the benefit paid directly into your account with us to make Starter Loan repayments.
Why does a benefit need to be paid into my account with you?
Because that is how the repayment is collected. We take the agreed loan repayment when the benefit arrives. Any remaining money can then either be returned to your usual bank account or left in savings.
Is a Starter Loan automatically approved if I receive benefits?
No. We still look at your circumstances and make sure the loan is affordable. Receiving an acceptable benefit allows us to consider the application, but it does not guarantee approval.
When will I get the money if my loan is approved?
We wait until the first agreed benefit payment has arrived in your account with us before releasing the Starter Loan.
Apply for a starter loan