Credit unions and fair finance lenders can stop debt ruining your life

ACT AND AVOID: high cost, complicated and illegal loans (Image: Getty)That’s why a new drive by authorised fair finance companies has just been launched to make people aware of what’s available so they don’t fall into the hands of high cost or illegal lenders – all for want of a small loan to tide them over.More people are joining credit unions – see below for where to find one and providers offering smaller, simpler affordable loans.These unions are not for profit, are owned by members and along with other community lenders, they check very carefully if someone can afford repayments, get the right loan and timescale for their situation and crucially only borrow exactly what they need. ‘The community finance sector shouldn’t be a well-kept secret,’ declares Lauren Peel from financial inclusion body Fair4All Finance.’UK credit unions now serve around two million members and other responsible finance firms have more than doubled their customer base in the past few years.’But there remains many more they can help, says Peel.’Having access to credit and savings in challenging financial times is part of your financial resilience and simply knowing your likely options, should you need financial support, can be a huge relief to people.’