Today’s edition of the USA Today features the work of the REAL Solutions program and several credit unions in a article titled “Breaking the cycle of the payday loan ‘trap’.” The article details the alternative financial sector (AFS) and highlights the work of credit unions that offer affordable short-term loans to their members. Lois Kitsch, the program’s Director of Field Projects, talks about the challenges that credit unions face when providing resources to limited-income families. To read the entire article visit www.usatoday.com.
The REAL Solutions (Relevant, Effective, Asset-building, Loyalty-producing services) program gives credit unions resources to implement products, services and business models with which to serve low-wealth households currently using the services of payday lenders, check-cashers, rent-to-own stores, pawnshops and other institutions in the AFS sector.
REAL Solutions will become a signature program of the National Credit Union Foundation in 2007.
Comments
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Many congrats for the coverage! It’s a rich article, and although not overly “rah rah” credit unions, it’s just the kind of press the industry needs.
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Nice! Good article that helps reinforce some of the tenants that differentiate credit unions from banks. I think that a goal of all credit unions should be to put the predatory payday lending services out of business. The credit union movement and consumers would be well served to make this a focused and nationwide effort. But like good sex education for our youth, they must extend an alternative rather than merely preaching to abstain.
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Yikes. Please forgive the typo in my previous comment. You say tenet and I say tenant…before my morning coffee that is!
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