The big squeeze is on and for many people the end of the pay month is a harrowing experience when the bank balance gets tight, if not empty!
Let’s face it, over the last ten years we’ve all got so used to spending every penny we’ve got (and then some). No wonder that it’s now a struggle as we try to pay off those debts and deal with ever increasing prices, just for the basics. For some it will be tempting to turn to payday or high street lenders with their seductive offers of easy, instant short-term money, available now, no questions asked.
But don’t be! The truth is they are little better than licensed loan sharks. Yes, some are registered by government, but there offer is little better than a door-step lender. A visit to the websites of two online payday lenders revealed (after much digging around) that you would pay between 1,700- 2000% APR for a small loan over a short period. They say they don’t credit score you but watch what happens to your credit rating once they have hooked you in.
Credit unions are the answer! HOOT is Bolton’s local credit union and offers both lending and saving products, and small loans are available from 13-25% APR, we offer pay-roll deduction and easy ways to save.
Bolton at Home has just launched a new Debt & Welfare Advice programme at our Breightmet Urban Care Neighbourhood (UCAN) centre. Delivered every Wednesday (10am until 12.30), it offers advice to those in serious debt, helping to improve residents’ financial literacy in a bid to prevent future debt – opening up access to affordable credit.
We also run a number of free money saving workshops as part of our ‘customer involvement training’ courses. Well worth a visit for those looking for day-to-day advice on how to keep costs down and manage finances.