Fair For You, the non-profit lending company that allows low-income families to buy essential electrical goods, has said it has given out £10m in loans since it was launched in 2015.
The company, which helps people on low incomes avoid being locked into the high-interest credit deals offered by weekly payment stores, has granted a total of 32,000 loans, the company said in a statement yesterday.
It said that in October the company issued £650,000 in loans, the highest amount it has given out in a single month.
Angela Clements, the company’s founder, said of the £10m figure: "This is an exciting milestone for us, and I anticipate more growth as we continue our goal of creating a mainstream alternative to high-cost credit in the UK."
According to an independent calculation by the Centre for Responsible Credit, Fair For You’s work has allowed its customers to save a total of £16m in poverty premium – the amount goods cost someone on a low income compared with someone on a high income who can afford to buy up front or buy high-quality, longer-lasting products.
On average, customers save £527 per item buying through Fair For You rather than rent-to-own providers, the company said in a statement.
Michael Sheen, the actor and founder of the campaign group End High Cost and Credit Alliance, said: "I’m a huge supporter of Fair For You, its values and the fantastic work the team does to combat unfair high-cost lending and protect the financially vulnerable.
"The social impact of Fair For You is immeasurable, and I look forward to seeing the company grow and its work continue long into the future."