Housing association welcomes credit union expansion

Published by Ross Macmillan for 24dash.com in Housing and also in Communities, Local Government

A housing association in the North West has welcomed a Wigan-based credit union's plans to expand into its area.

New powers that came into play in January makes it easier for people to join credit unions.

Unify Credit Union in Wigan is planning to expand into Chorley in a move that would see residents and workers in the area able to access low cost loans from the credit union.

More than 6,000 people are already members of Unify, which last year made loans totalling £1.8m, many of which were to people on low incomes.

Angela Fishwick, General Manager at Unify, said:  “Too many people on low incomes are unable to access affordable credit.  Credit unions are a cheap alternative to pay day lenders and to the money lenders who advertise on daytime television.  Unify is a people’s bank run by its members for the benefit of its members, and we think that people in Chorley need the opportunity to save and borrow with Unify.”

The expansion is subject to the approval of Unify’s Annual General Meeting in March 2012.

Fishwick added:  “As a credit union, monies invested with us are protected by the same regulations that protect someone’s savings in a high street bank.  But, unlike the high street banks, we don’t pay fat cat bonuses.”

Richard Houghton, director of operations for Chorley Community Housing, welcomed the move. 

He said:  "We have been holding discussions with Unify about what they can do to help our tenants have ready access to low cost credit, as high street banks often will not lend the smaller amounts that people need to pay for a washing machine or a television.  We are looking forward to the opportunity to work with Unify as this will increase the range of options available to tenants."