Sheffield launches broker service to tackle payday lenders

Sheffield has become the first city in the country to pioneer a new approach that provides an alternative to high-cost credit and door step loan companies.

Related topics:  Specialist Lending
Rozi Jones
10th August 2015
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Sheffield Money, which opens today, has been founded by city leaders to provide people with a new way to access affordable credit, with lower cost loans and finance. There are an estimated 50,000 residents in Sheffield that are trapped in high interest rate loans, borrowing an average of £800 each.

Sheffield Money operates as a broker service and is a not-for-profit business regulated by the FCA. It brings together a range of companies providing access to loans, credit for white goods, savings and bank accounts together with independent money and debt advice, all under the Sheffield Money brand.

Sheffield City Council Leader, Councillor Julie Dore, said:

“Payday and doorstep lenders have been ripping off and exploiting people most in need of credit, especially some of the most vulnerable people in our city, preying on their need for available credit and charging extortionate interest rates.

“People need a real alternative which will stop them being forced to go to these notorious lenders. That is why we have worked hard to create a new, ethical and affordable credit option by starting Sheffield Money.

“We need to stand up for people in Sheffield and Sheffield Money will send the message loud and clear that there is now a more ethical and affordable option available in our city.”

Rev Peter Bradley, Dean of Sheffield Cathedral and Chairman of Sheffield Money, commented:

“Sheffield Money is a bold and innovative solution to the problem of high-cost credit in our city. More people are struggling to make ends meet and for many, trapped in a cycle of borrowing more to cover extortionate loan repayments, this becomes a living nightmare.

“We have set up Sheffield Money to provide an alternative to this. It’s been remarkable to see the whole city come together to set it up and I’m very proud that Sheffield Money has been created by Sheffield people for Sheffield people.”

Rob Shearing, Sheffield Money’s Chief Executive, added:

 “Sheffield Money is completely different to any other affordable lender, as we act as a broker to match people to the best products for them.

“We’re here for everyone in Sheffield – from people who need a loan, need white goods, want money advice, or want to save with us.

“Our staff are here to give excellent advice about the best solution for our customers – if we can find a better option for someone than lending money, then we won’t lend. When we do lend, we won’t make the loan bigger or the term longer than it needs to be.”

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