Credit union expansion

An official study has suggested ways in which the credit union sector could expand and modernise. It says credit unions need to show a commitment to change, work more closely together and make greater use of technology.

The feasibility study for the Department for Work and Pensions says this would provide a strong foundation for the sector to provide new services such as ‘jam jar’ accounts and online banking, as well as improve loans decisions. It would also create the potential for a link with the Post Office. The report also raises the possibility of increasing the amount of interest credit unions could charge on loans in order to make them more financially secure.

Source: Colin Purtill, John Cray and Cath Mitchell, DWP Credit Union Expansion Project: Feasibility Study Report, Department for Work and Pensions

Link: Report