Dave Prentis, General Secretary of trade union UNISON, has become the 11,000th member of London Capital Credit Union.
Dave Prentis was signed into membership of the credit union as it launched an initiative to encourage more employers to offer transfers direct from employees’ wages to their credit union accounts.
In the UK, London Capital Credit Union is leading the way in the fight back against loan sharks and payday lenders by encouraging more people to use credit unions.
Chief Executive Martin Groombridge said: “Credit union members have access to fair and affordable loans and savings and it is in all employers’ interests to help their staff keep clear of money lenders that focus on profit and greed. As a member-owned co-operative, we are driven to improve the financial well-being of our members.”
Over the past year, London Capital Credit Union has seen a 47% increase in membership and is keen to work with employers that can offer payroll deduction to their staff.
Added Martin: “By enabling payroll deduction straight to a credit union account, employers are offering an easy and convenient way for employees to save. Financial stability can only be good for employees and their families.”
London Capital Credit Union is dedicated to promoting saving and helping people deal with debt. It provides secure savings and low cost loans for anyone living, working or studying in Barnet, Camden, City of London, Hackney, Haringey or Islington. Over the past year, it has seen a 62% increase in loans to members but at the same time has seen members’ savings increase by 59% to £6.6 million.
A typical £1,000 loan from the credit union, paid back over one year, would cost a total of just £67 in interest. This is a tiny fraction of what it would cost to borrow from a payday lender, for instance.
Martin said: “Credit union membership is good for employees and employers, with both being able to benefit. Financial problems for employees can lead to stress and illness which can result in time off work, and this in turn leads to problems for employers. A credit union can provide the services and support to help employees manage their money effectively, creating a better workplace for all.”
Find out more at www.credit-union.coop.