The Gateshead Housing Company is helping to promote an alternative to ‘pay day lenders’ to thousands of families across the borough.
The credit union is a not for profit financial cooperative, owned and run by its members, and offers savings and loans to anyone who lives or works in Northumberland, Tyne and Wear or Durham.
For a nominal membership fee of just £1, tenants, leaseholders and other residents can benefit from low interest rate loans, based upon individual circumstances and annual dividends on savings which are protected too.
Members savings can be withdrawn at any time, with members encouraged to continue saving to access larger loans in future.
Neil Bouch, Director of Customers and Communities for The Gateshead Housing Company, is encouraging people to join the scheme and start saving.
He said: “People are increasingly worried about how they will pay their household bills and some may resort to payday loan lenders.
“By working with NEFirst Credit Union we are helping people manage their household budgets and ensuring that they receive the service and support needed, without adding further financial burdens.”
Mick Davison, Treasurer and Director of the NEFirst Credit Union, said: “We are delighted that The Gateshead Housing Company is helping promote our work to enable local people develop good money habits.
“We are keen to get as many local people as possible involved in the credit union, as the more people who save the more we can sensibly lend to people in the area and help families avoid high-interest loans.”