Riverside - Landlord’s bid to combat loan sharks

Riverside launched its latest low cost loan service, Moneyline, for Wirral residents, in a bid to combat the devastation left by loan sharks.

Recent Treasury research identified Wirral as a red alert area for affordable credit. The area is one of the most in need of low cost credit, with the greatest gap between supply and demand.
Following Moneyline’s success in St Helens and to meet local needs, the service opened its doors to Wirral residents in October last year, with an official launch for partners held recently at the Lauries Centre in Birkenhead.

Laura Bostock, financial inclusion manager for Riverside said: “We are helping people manage their finances, as well as offering small low cost loans. People who have a bad credit rating, or who don’t have a bank account are often forced to pay crippling repayment rates for instant loans, which only sends them deeper into financial difficulties. And they can be wary of approaching banks. We are helping build people’s confidence in dealing with their finances.”

Around 2 million UK households, 10% of the population, do not have access to a bank account. And Riverside’s recent tenants’ status survey revealed that 13% of its tenants do not have access to a bank account.

This unbanked group is represented by society’s poorest – low-income families, the unemployed, immigrant and minority groups and the retired – often social housing tenants who can get into arrears by paying off debts instead of their rent.

Laura Bostock added: “There is strong partnership support on the Wirral. We are appealing to social landlords and other partners for referrals from those who would benefit from the service. That way we can provide better rates for clients based on their tenant history.”
Moneyline staff are also working closely with Trading Standard’s local loan shark team, working with clients to identify illegal lenders in the area.

Laura added: “Rates from some lenders can start at 227% on our housing estates and go far higher. These lenders are often viewed by those that use them as a necessary evil. We are offering a much cheaper alternative as well as signposting people towards help and support with their finances.”

For further information please contact Moneyline on 0151 647 4062.