Personal Micro Credit ‘a really encouraging initiative’ – Brady
Speaking after a meeting with representatives from the Irish League of Credit Unions Sinn Féin’s spokesperson for Social Protection John Brady TD has complimented the work they have done in providing credit for the most vulnerable in society.
Deputy Brady said:
“I was delighted to meet with three representatives from the Irish League of Credit Unions this week where we discussed the country wide roll out of Personal Micro Credit. This has been successfully piloted in 30 credit unions across the country already.
“Personal Micro Credit is a newly launched initiative which provides a small loan of up to €2,000 for social welfare cash recipients. It provides the most vulnerable in society with small affordable loans to meet genuine needs. This can be especially helpful for families when it comes to managing back to school costs or at Christmas time.
“It is really encouraging to see this initiative being rolled out as it is providing financial support for those who need it most and those who would not necessarily find it easy to receive credit. With that, people now have a real alternative to companies such as Provident and other moneylenders who charge exorbitant interest rates of up to 200% in some cases, which can leave families under severe financial strain and unnecessary worry.
“The Irish League of Credit Unions has put this in place to assist those out there who are really struggling. It also ends the perception out there that credit unions will not lend to non-members, those without savings, those on social welfare or those without a perfect credit rating. This is unique and it is extremely welcome.
“It is now up to individual credit unions whether or not they decide to roll out Personal Micro Credit however, it is something I feel should be considered by all credit unions across the country. I hope that credit unions will collectively recognise both the difficulty faced by people in receiving credit and the danger posed by moneylenders which can now be avoided. The success rate of the pilot of this initiative speaks for itself and I strongly support the Irish League of Credit Unions with this initiative as they move to country wide roll out.”