Controversial credit company Provident Financial withdrew its doorstep lending operation last month. The company had been the subject of numerous compensation claims over recent years, from customers claiming to have been “mis-sold” loans. The termination of their doorstep lending service, which had been in operation for 140 years, has reportedly left as many as 300,000 UK borrowers on the lookout for alternative credit. The good news for borrowers looking for loans like Provident is there are plenty of options out there; some a lot better than others.
Provident’s loans tended to be for small amounts at relatively high interest rates. Jumping from one high cost payday lender to another will only result in kicking your finance problems down the road. That’s why family-friendly credit unions across the country are now striving to help fill the gap left by Provident, but in a fairer, more ethical way.
Why high cost payday lenders are not the answer
Thousands of people who don’t have access to alternative credit, like those without bank accounts, now find themselves at real risk of running up even more debt with unscrupulous online payday lenders offering loans like Provident or even worse, illegal loan sharks.
We are urging anybody from this area who finds themselves in a situation like this to contact Pennine Community Credit Union immediately and let us talk you through your options. We have saved our local community hundreds of thousands of pounds over the years when compared to loans like Provident, and we continue to be committed to providing affordable borrowing opportunities for all our account holders. Provident themselves are even signposting their former borrowers to seek out help from credit unions.
“Are you looking for a loan? Credit unions are community savings and loans providers. They can offer affordable loans to people within their local area.
“Credit unions are often able to lend to people whose circumstances might mean they struggle to get a loan from other lenders. They often have branches as well as phone and online support.”
Credit unions guarantee cheaper loans over Provident
Loans like Provident offered are never in the best interest of the applicant. They’re in the best interest of the company offering them. Profit is the name of the game after all. As Pennine Community Credit Union is a not-for-profit co-operative, our attention is focused solely on the applicant and their financial situation. That’s why we’re able to offer such competitive interest rates. We’re more than just affordable interest rates though. We pride ourselves on unbeatable service, too. Our experienced staff are on hand every step of the way to guide you through the process. We provide a ‘Save As You Borrow’ scheme in order to create financial stability for the account holder. And we even offer free life insurance on savings and loans.
So before you jump from one high cost lender to another, speak to a member of staff at any of our branches in Burnley, Nelson or Colne by calling 01282 691333 or apply online here, and give us the chance to put your mind at rest.
