A leading Donegal credit union has helped customers to beat loan sharks by handing out almost half a million euro in low-interest Christmas loans.
Letterkenny Credit Union
Letterkenny Credit Union introduced the cut-price loans of up to €1,000 last year charging just €20 interest for up to 40 weeks on the loan.
Now demand for the loans has seen the credit union already hand out €400,000 in recent weeks.
Gordon Randles, manager of Letterkenny Credit Union, says the reaction has been terrific.
“Our staff have been very busy because of the seasonal loan deal and I would like to thank them for that.
“Demand is certainly even up on last year because we have now built up a relationship with many people from the first offer.
“The deal is up to €1,000 but you could have a student is simply needs €500 and we are happy to help out on all applications,” he said.
Mr Randles said that overcoming money lenders was only aspect of the benefit of the huge uptake on seasonal loan offers which close on December 15th.
“The credit union is a community-based organisation and we are only as strong as out members.
“We are a self-help organisation and the members can help make us grow and become bigger,” he said.
President of the Letterkenny Chamber John Watson, said the half million euro in loans is actually worth at least three times that to the local economy.
“I think the initiative taken by Letterkenny Credit Union should be held up as an example of Donegal fighting back.
“This half a million euro in loans will be multiplied because people will use the money and spend more.
“This is worth at least €1.5 million to the local economy and it is right we should welcome it,” he said.
Mr Watson said the reaction on the street is very positive with traders already reporting an upsurge in trading before the final two weeks of Christmas shopping.