MSP for Edinburgh Northern and Leith Ben Macpherson, has been championing a new local credit union, Castle Community Bank, and opened his own savings account with the community bank yesterday.
The new bank was formed in July when two long-established Credit Unions, North Edinburgh Credit Union and Craigmillar, merged and by expanding across the entire EH postcode area the bank aims to introduce innovative and pioneering ways of conducting traditional financial core services.
Chair of the credit union, Rev Iain May of South Leith Parish Church and Ben Macpherson MSP are highlighting the benefits and security of community banks, like Castle Community Bank, this Christmas.
As the Christmas countdown draws to a close, many families can feel that their only option is to put ‘Christmas On Credit’, and for lower income families, this can be very expensive. High cost lenders and hire purchase retailers may be seen as their only option. Castle Community Bank aims to combat high cost borrowing by offering affordable rates to all, especially at times when people need money the most – Christmas.
In a recent survey 17% of Scots admitted to feeling worried about how much they have borrowed, with 6% feeling trapped in a cycle of debt, and often those who need money the most are those who have to pay the highest rates.
Ben Macpherson, a member of The Scottish Parliament’s Cross Party Group on Credit Unions, commends Castle Community Bank’s ethos to break the debt cycle and make financial services accessible to all across the EH postcodes.
Yesterday he visited Castle Community Bank’s office in Wardieburn to show his support, and said: “Castle Community Bank focuses on affordable financial provision rather than on profit. I am proud to open a savings account with them to help encourage this type of ethical banking in Edinburgh, as well as across Scotland.
“Christmas is the time of year where individuals, families and communities can come together, but it can also be a financially challenging time for some. Castle Community Bank can support families in Edinburgh all year round and especially during this festive period, by helping people avoid the risks involved with borrowing money from irresponsible lenders.”
Chair of the Credit Union Iain May has seen the need for affordable, accessible and applicable credit in his time as minister at South Leith Parish Church. He said: “Christmas is a challenging time for many people, especially when it comes to paying for it. In January when the credit card and other bills land on the door mat, people then realise the true cost of Christmas. Castle Community Bank wants to help folk plan their spending by offering affordable options and want to help people avoid the trap of using high cost lenders, to pay for Christmas.
“Whilst we are different in structure to a traditional High Street bank, we adhere to the same robust regulatory requirements and independent scrutiny aimed at protecting our customer’s interests. Castle Community Bank has taken well over a year to launch, because of the systems we had to adopt. Our core principle is to ensure that the vulnerable in our communities do not have to get caught up in a debt spiral or turn to payday lenders to make ends meet. Residents in Edinburgh will see a significant difference in our approach and I’m sure, will be delighted with what we have to offer.
“Equally, our market research indicated that people across the City would welcome a bank with a strong ethical policy, one that took corporate social responsibility to its heart within every facet of its operation and, importantly, ensures that 100% of all profits were re-invested into the community at all times. On that basis, Castle Community Bank is a bank for all.”
Website www.castlecommunitybank.co.uk
Twitter @castlecombank
Continue reading People before profits: Castle offers refuge from crippling Christmas credit
