LOCAL MP Karen Lumley hit out against ‘Wonga world’ loans with astronomical interest rates when she visited the new 6 Towns credit union at The Link in Winyates on Tuesday.
The credit union, which has already got off to a flying start, enables hard up local residents to save and take out low cost loans without fear of their goods being re-possessed if they miss payments or default on their loan.
It also allows people who might be unable to open a bank account to put ‘rainy money by’ as well as allowing people to have a sustainable amount of money to live day to day without the constant scare of not being able to pay off a debt or interest rate.
“It’s great to see a part of Winyates regenerated in a way that benefits so many people in the local area,” said Mrs Lumley.
“The Link helps those who are struggling financially to borrow money and provides amazing facilities for anyone to borrow money responsibly in what seems to be a ‘wonga world’ with interest rates that are just far too high for people to pay.”
Figures produced by 6 Towns show that £100 borrowed over one month would cost an extra £36.85 to repay through Wonga and just £2.01 with 6 Towns.
Link credit union manager Shannon Gawn said: “Anyone can open an account, all types of accounts are included: Christmas saving accounts, junior savings accounts and so many more. It’s a great way for those who can’t afford the interest rates on loans at the moment to be able to buy the things they need and even put away some money for a rainy day.”
6 Towns offers a current account, priority bill paying account, savings accounts, electrical and furniture schemes and loans.