Leeds Credit Union (LCU) has helped workers in and around Leeds save more than £1.1 million in high-interest loan repayments on £1.5 million of lending in the past year, it has announced.
A community-focused financial institution, LCU has made a significant impact on workers in Leeds by enabling them to avoid the high costs associated with unethical doorstep lenders and loan sharks, saving them £1,130,616 in interest repayments (based on the typical interest rates charged by high-interest lenders) over the last 12 months through its payroll loans service.
A simple way of increasing financial resilience among workers in the local area, LCU’s payroll loans enable employees of selected employers to access affordable and responsible loans with competitive interest rates and flexible repayment terms, with repayments taken directly from the borrower’s salary.
Recognising that financial stress can greatly affect individual happiness and wellbeing, LCU’s achievement highlights its commitment to fostering financial well-being and empowering individuals across Leeds. By partnering with LCU, employers can facilitate this process, making it easy for employees to reduce the stress associated with unexpected expenses, giving them peace of mind and allowing them to focus better on their job responsibilities.
Mark Fleet, CEO at Leeds Credit Union, said:
“With the cost of living crisis still ongoing, we understand that times are tough for many right now, and we’re proud to support people across the city – including employees of organisations including the NHS and Leeds City Council – by providing access to our low-interest loans through payroll partnerships.
“As well as stopping them overpaying on interest for store cards, overdrafts, credit cards and high-interest loans, we’re also helping them stay in control of their finances. And, with research showing that financial worries can have a negative impact on workers’ wellbeing and work/life balance, all of which can contribute to anxiety, poor work performance and absenteeism, we’re thrilled to be able to do so.
“Life is full of unexpected challenges, and sometimes employees may require financial assistance to overcome them. In such cases, offering access to responsible loans can be a game-changer; when employees know they have a reliable source of affordable credit, they are less likely to turn to high-interest payday loans or accumulate debt on high-interest credit cards.”
Leeds Credit Union’s efforts not only benefit individual members but also reinforce its broader commitment to enhancing the economic wellbeing of the community. By promoting financial resilience and empowering members to make informed financial choices, the credit union plays a key role in supporting long-term financial stability and happiness within the region.
For more information, please visit one of Leeds Credit Union’s high street branches or the company’s website at: www.leedscreditunion.co.uk/payroll-services
This post is based on a press release issued on behalf of Leeds Credit Union
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