You Must Go to Your Local Credit Union First
For a century and half, credit unions like CLEVR Money have proven their efficiency to cover the financial need for the local community.
CLEVR Money and other credit unions are not a regular financial institution. We are not banks for sure, nor payday lenders. We are a money pot created to building a long term financial stability at unstable times.
What exactly is the business of a credit union?
A regulated financial institution is the legal cover to protect everyone. Under it, the money story lays.
When a credit union forms, a saving pot is created for the community where individuals contribute to grow this pot through regular saving. Every member owns a little share of their credit union. They can vote, make suggestions for changes, send feedback, etc...
The credit union community commits to lend other members in need for the extra money to sort out their daily or seasonal needs. The credit union employees take the burden upon them to carry on the checks if the borrower can afford paying back the lent amount without putting themselves into further hardship.
To borrow from a credit union, you must become a member first (it is sorted out while applying for a loan at the same time). The borrower must also agree to start saving while repaying the loan. For example: if someone borrows £1000 from us over 18 months (42.6% APR) they will be repaying £72.71 monthly. To finalise the loan application, we ask the borrower how much they want to save per month. The borrower may decide any number, minimum £10. If the borrower decides to repay £100 per month, the £72.71 are allocated towards the loan and £27.29 are saved in the saving pot. 18 months later, the loan is repaid and the borrower has £491.22 in their saving account without feeling it.
If the borrower used to struggle to save before, it is no longer a thing, they could continue saving no matter how much they decide to save each month, £30, £50... That's worth it, better than relying on future loans.
Become a member, improve your financial life. It is not a magical solution, it is an improvement over time with consistency and persistence. Make a life changing decision and join your local credit union, then you can focus on your future rather than paying debts.
Our most successful stories are members on automation, never got it, never spent it; salary deduction scheme and direct benefit. What works for you?
