Campaigning for fairer finance - supporting credit unions

Chelmsford Diocese supports netCUDA , the credit union development agency. netCUDA is campaigning to provide alternative banking and financial services. It is very familiar with the problems of people who are financially excluded - on low incomes, without banking, in debt, or less mobile.

Several of the causes of poverty - debt or lack of money or money worries - contribute to relationship breakdowns, leading to demand for extra housing and contribute to ‘fatherlessness’.  The impact on children’s welfare in turn affects their educational performance and their future employment prospects, so increasing the likelihood of them becoming tomorrow’s poor, continuing the poverty cycle.

It can also contribute to health problems, physical and mental illness leading to greater demand on health services and absence from work, even job loss and so increasing poverty and stress for the whole family, as well as loss of job or health problems causing financial crisis.

Low income families shoulder a greater burden of debt as they pay a high interest for credit in any form, including doorstep lenders, money shops and mail order catalogues, often causing them to enter a spiral of debt that is beyond their ability to repay.

They need the alternative services, and affordable credit and a safe place for savings such as that provided by a credit union. The loss of Christmas savings with Farepak has highlighted the high price people pay even when saving and how unsafe saving can be. Most savings clubs are not insured. Essex Savers, the local credit union, which is also supported by Chelmsford Diocese, paid out thousands in low-interest loans to Farepak victims.

netCUDA is campaigning for fairer finance. Alternative  financial and banking services must be available to all in the UK, especially with the impending closure of more Post Offices, to avoid the use of high interest lenders and losses with savings clubs that increase the misery of our poorest.

Links to credit unions in Essex and East London:

Essex Savers
Colchester
Harlowsave, Harlow
Holdfast, Witham
Liberty, Romford
Newcred, Stratford

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