When times are tough in financial terms it’s always nice to know that there are people and places you can turn to. Being short of money isn’t just a practical problem, it’s something which leaves you feeling stressed, anxious and miserable, and often leads to mental health problems and relationship difficulties. Raising a family is a tough task at the best of times, but when you’re worried about something as basic as paying the bills and keeping you and your loved ones warm and fed, it gets even harder.
The good news is that community banks are on the side of anyone who is in this position. Community banks are not-for-profit financial co-operatives set up to help people in their local communities save, manage their money and take out community bank loans when they need extra money. As a not-for-profit co-operative it means that they are only run to benefit the account holders. In the past, many community banks were set up and run by volunteers. In recent years, however, they have become more professional, as demand for their services has grown. By joining a community bank, you get to have a safe place for any wages or benefits to be paid, somewhere that offers you the option of saving money when possible and, when you need extra help, the chance to take out community bank loans.
If you need to fund a holiday, buy some extra Christmas presents or pay for an unexpected repair to a car or washing machine, for example, community bank loans represent an excellent alternative to most other forms of credit.
Community banks are an alternative to credit cards, bank overdrafts, door step lenders, pay weekly stores or the various forms of payday loan available. A credit union loan will charge the lowest rate of interest possible to cover operating cost. Your credit union is only interested in offering a fair deal to savers and borrowers, and so it doesn’t have to rip you off by charging huge amounts in return for lending you some money. In actual fact, your credit union will work with you on a one-to-one basis to figure out exactly how much you can afford to borrow and how you’ll be able to pay it back. Even if you’ve been refused credit elsewhere, a community bank loan may be an option, especially if you’ve been an account holder of the community bank for a period of time and shown them that you’re determined to bring your finances under control.
Community bank loans can be an attractive alternative to other forms of credit. Most community banks will reach a decision and get the cash to you extremely quickly, and many take a small percentage of the repayments and save them on your behalf, so that your savings pot has been built up again once you finish paying back the loan. If you need to borrow money and have been turned down by other lenders, or just want to borrow from someone who has your best interests at heart, then a community bank loan could be the perfect answer. Not only will it help you in the short-term, but it will be the first step toward re-building your credit rating for the future.
