Minister for Social Protection, Heather Humphreys this week announced that an initiative to support low income individuals and families by giving them access to Credit Union loans is to be made permanent. "It Makes Sense", a Personal Microcredit Scheme initiative, is a Credit Union loan scheme offering small loans at a low interest rate for people in receipt of a social welfare payment. The Scheme provides affordable credit to people on a low income and aims to reduce dependency on high-cost credit providers.
Speaking to Northern Sound, the local Minister said she was "delighted" to announce that the 'It Makes Sense', which is rolled out in partnership with Credit Unions, is to be made permanent. She added that this scheme is an important low-interest credit option for people in receipt of social welfare supports, who are in need of small loans and who may otherwise turn to high-cost credit providers.
Minister Humphreys continued; "The payment by my Department, on a permanent basis, of the transaction fee for repayments through the Household Budgeting Facility will ensure the continued availability of this small but important loan scheme across Ireland. I know from my days working in a Credit Union the challenges placed on families and individuals on low income who are in need of small loans. I welcome that over half of Credit Unions are offering this scheme, in over 280 locations, and that it is available to non-members as well as members. I am delighted that, thanks to my Department’s support, we will see the continued availability of ‘It Makes Sense’ as an important small loan alternative to high-cost credit, and as a stepping stone for people to build up a good credit history and move on to standard loans from their Credit Union."
