CARLUKE is set to get its own credit union, aimed at helping locals in an era when the town’s food bank is packed with folk who can’t afford to buy food.
Run as a satellite office of Blantyre Credit Union – which has 19,000 members – plans are in place to open Carluke Credit Union on two days a week from “early next year”.
“We will be able to provide financial services that are not available from the banks,” said Blantyre Credit Union support officer Allister Cassells (40). “We want to provide better access to money for people who can’t get a bank account.
“We will be able to pay low cost loans. Our users got a one per cent dividend this year but that is not guaranteed.”
Carluke’s new service will give users a choice of six loans; a £250 loan will offer a repayment interest rate of 26.8 per cent.
Although that figure may seem high in layman’s terms, it is a ‘drop in the ocean’ compared to payday loan companies with exhorbitant repayments rates reaching a mindboggling 4000 per cent!