Do a good deed this Friday for the International Day of Charity

Back in December 2012 the United Nations designated September 5^th as the International Day of Charity, a day to recognise and contribute towards the efforts of charitable organisations and individuals across the world.

In particular the day marks the work of those fighting to combat poverty, which persists in all countries ‎regardless of their economic, social and cultural situation.

Although the problem is more extreme in the developing world, a recent study by the Joseph Rowntree Foundation (JRF) shows that almost 700,000 people in Wales – nearly a quarter of the population – live in poverty.

The Credit Unions of Wales believe that we can be a part of the solution, by offering transparent financial products that put the customer first. We only charge interest on the reducing balance of loans (not the whole initial amount) and have no hidden costs like set-up fees, administrative charges or early repayment charges. Many of us offer free insurance on savings and loans up to £5,000.

And did you know that, like charities, many of the 21 credit unions across Wales rely on volunteers to help us provide our community-focussed service? Jenny from Newtown is a fantastic example.

Jenny helped set up Hafren Credit Union in Powys back in 1994 as a way of making friends after moving to the area from Ireland, where 70% of the population are credit union members. She still volunteers one day a week and has experienced lots of benefits from being involved with her local credit union, from becoming a part of the community to helping people avoid getting into trouble with payday lenders.

She said: “I can’t see me ever giving up volunteering and I think credit unions are such a worthy cause. I like what they do for local people and I think they’re a vital part of the community.”

Read more about Jenny’s story here, and if you’re interested in volunteering with a credit union you can find your nearest one on our website.

Are you planning on doing anything to celebrate the International Day of Charity? We would love to hear about your fundraising and good deeds, so please leave a comment on our Facebook page or tweet us @CredUnionsWales.

Back to school on a budget

With the new academic year starting in a couple of weeks, parents across Wales will be getting ready to send their little ones back to school. Education-related costs can add up so we’ve put together some tips for going back to school on a budget.

• School uniform – Where possible, consider buying clothes one size up. No child wants to go back to school swamped in a giant blazer, but children grow so quickly that you’ll be buying a size bigger in no time. Think about buying items that are a little roomier, especially if your children are due a growth spurt.
• Stationery – It’s tempting to just buy a whole new stationery set at the beginning of the year because it’s easier than going through the old set to see what needs to be replaced. However, you will save money by taking this option. If your children are looking forward to having new things, you could keep the old set but just buy them a new pencil case to keep everything in.
• Lunches – If you receive certain support payments your child may be entitled to free school lunches. This covers children of nursery age who are attending full days to sixth form students. To find out whether your child qualifies, visit the Welsh Government website. To apply, you will need to complete a form available from the school.
• Sports – When buying uniform, don’t forget a sports kit for PE lessons. As this is likely to get muddy and worn it’s best to go for a budget option as it may need replacing.
• Music lessons – If your child would like to learn a musical instrument you will need to budget for this. Many local authorities run a hire scheme so that your child can try out an instrument and find out whether they have an aptitude before you commit to purchasing it, and some also offer an assisted purchase scheme.
• School trips – Schools can make a charge for activities seen as ‘optional extras’. More expensive residential trips are usually only offered to certain years, so you can ask the school when these trips run if you’d like to plan ahead. If you’re in receipt of certain benefits you are exempt from paying – find out whether that’s the case here.

It’s good for children to learn about the value of money early on to help them develop budgeting skills for later life. Credit unions across Wales run Young Savers clubs for primary school pupils, so if this is on offer in your area why not sign your little ones up?

To find your local credit union and enquire about Young Savers clubs, select your local authority from the list here.

Boost the economy through sensible spending

New ONS figures released this week indicate that the UK economy has returned to its pre-recession levels, with growth domestic product (GDP) expanding by 0.8% in the second quarter of this year. While this is good news, the importance of sensible saving and borrowing still stands: we still need to watch the pennies while supporting our local economy through spending.

Here are Credit Unions Wales’s top tips for spending sensibly:

Budget, budget, budget!

We can’t say this enough! Knowing where your money is going is the first step towards spending wisely. Once you’ve worked out how much of your cash goes on household bills, direct debits, travel and food each month, you’ll have a far better idea of how much money you have left to spend and save. The Money Advice Service’s online Budget planner is a really useful tool which lets you work out how much money you have left over after paying your bills.

Make a ‘need’ list

Whether you’re shopping for food, clothes, homeware or anything else, make a note of items you need – and stick to it! This will help stop impulse and non-essential item buys.

Shop alone

When shopping with children or even with a friend it’s all too easy to part with money you don’t need to spend – and not only in the form of new purchases. When you’re out on a shopping trip with a friend or with family you’re more likely to opt for a sit-down meal rather than just grabbing a sandwich, so you might end up spending more on lunch than on your shopping!

Pay in cash!

By using a debit or credit card when you’re shopping you’re taking your entire bank account with you, meaning you might be tempted to spend more. You’re also less likely to clock how much you’ve spent as you’re not parting with cool, hard cash. Make sure you only take as much money with you as you need – if you don’t have the extra money with you, you can’t spend it!

Beware of the 99p trap!

Pricing tricks are designed to get you to spend more without realising it. Every time you consider buying an item with ‘99p’ added to the end of the price tag, try rounding up the figure to the nearest pound and ask yourself whether you still want to buy it.

Be patient!

You might see something that you decide you need (or want) right now but try and wait until the sales. You could even be really thrifty and buy items out of season, such as Christmas wrapping paper in the January sales or shorts at the end of the summer. Your bank balance will thank you for it!

Remember birthdays

There’s nothing worse than realising you have to splash out on a present for someone’s birthday at the last minute and then being left short for the rest of the month. Forward planning is key to spending wisely, so put your family’s and friends’ birthdays in your diary at the beginning of the year.

Save as much as you can afford

You can’t spend sensibly without saving for a rainy day. No matter how thrifty you are with your spending, a broken boiler or a punctured tyre can be a real set back so it’s good to get into the habit of saving, even if it’s just a few pounds a week. Everyone in Wales has a local credit union, joining is easy and you can start saving straight away.

Get some extra help

If a rainy day comes along and you need some extra support, speak to your local credit union representatives to find out how they might be able to help. Credit unions offer loans with much lower interest rates than payday lenders, let you borrow what you can afford to pay back and set manageable repayments. They don’t rely on automated credit checks so real people will be able talk to you about making manageable payments in a time frame to suit you.

Borrow sensibly

Compliment your sensible spending with sensible borrowing. Make sure you fully understand the true costs before you borrow and be sure to compare the APR% between lenders. Checkout your local credit union and compare the interest rate with other lenders and banks.

Consider your local credit union

By joining one of Wales’ 21 credit unions, you are contributing towards investment in your area, helping to fund small business start-ups and community projects. Unlike banks, Credit Unions are owned and run by their members which means that any extra money they make is put back into services or returned to savers as dividends. Credit unions are regulated by the same watchdogs as banks and building societies and hold the same Government-backed guarantees, which offer protection of up to £85,000 per saver.

Find your local credit union via our website, and get in touch to find out how they could help you manage your finances and spend sensibly.

Why choose a credit union?

This month we launched our infographic explaining why more people should be choosing their local credit union. An infographic is a visual representation of information or data, so is the perfect format for us to explain all of the benefits of a community-focussed finance solution.

So far the infographic has been shared nearly one hundred times and has reached as far as New York, Washington and Canada. It has been retweeted by everyone from politicians including AMs Jeff Cuthbert, Lesley Griffiths and Bethan Jenkins to journalists from the Financial Times and Mirror Group.

Importantly, it has also been retweeted by credit unions all over the world as well as the World Council of Credit Unions who said it was ‘interesting, informative and easy to read’.

Our infographic explains that joining a credit union will give you the following benefits:

• Free life insurance often provided on savings and loans
• No hidden charges (such as admin, set-up fees and early repayment charges)
• Dividends are paid to savers – not third-party shareholders
• Real people make your loan decisions – we don’t rely on automated credit checks alone
• Interest is only charged on the reducing balance of your loan

Our infographic has also been shared by many of the organisations we work with, including Community Housing Cymru, National Energy Action, Family Information Service, Communities First and Care and Repair Cymru.

If you would like to receive the infographic in order to share with your networks please contact us via our Twitter or Facebook page.

There are 21 credit unions across Wales so everyone has a local credit union they can join. To find yours, just select your local authority from the drop down list here.

Credit Unions Infographic

Start saving for Christmas!

Can you believe we are more than halfway to Christmas already? The six month mark is the perfect opportunity to start saving with Credit Unions of Wales and put a stop to your money worries during this year’s festive season.

People in Wales are the second highest Christmas spenders in the UK with the average Welsh household spending £596 on gifts each year. By setting aside £24 a week from this week on, you will be able to save your annual spend in time for Christmas. This way you will only pay as much as you spend, rather than having to pay back interest on top of a loan to help you cover the costs.

Many of the 21 credit unions in Wales offer special Christmas Saver accounts which ‘lock’ your monthly savings until November. This means you can only access your savings when it’s time for present shopping and you won’t be tempted to spend them on something else before Christmas arrives. Some even offer incentives such as a £10 bonus, so you can start saving straight away, or free entry into a Christmas prize draw.

Our table below shows how much you could save by putting a small sum into a Credit Unions Christmas Savers account each week:

Weekly savings halfway to Christmas	Christmas present pot
£1	£25
£2	£50
£5	£125
£10	£250
£20	£500
£30	£750
£40	£1,000

Many credit unions across Wales also offer low-interest Christmas loans which can be paid off within a year with small weekly payments. One example is Cardigan-based West Wales Credit Union which offers a £100 Christmas loan with weekly payments of £2.33 and a total repayment of £112.70.

Campaign spokesperson and General Manager of North Wales Credit Union, Barry Roberts, said: “Thousands of households across Wales struggle to balance their gift budgets with paying bills on time, but thankfully Christmas isn’t one of those unforeseen expenses such as a broken boiler or car repairs so you can prepare for it.

“We’d always recommend saving in advance for such occasions so that you’ve already covered the cost before you incur it and by starting now you’ll be well ahead.

“If you don’t manage to save everything you need in time, we also offer Christmas loans with much lower interest rates than payday lenders and we make sure you only borrow as much as you can afford.

“With all of the sales on over the summer, it’s even worth thinking about taking out a loan now so that you can get your gifts at a better price and pay off the cost before Christmas arrives.”

We’re nuts about our mascot, Sunny the Savings Squirrel!

Did you meet our mascot, Sunny the Savings Squirrel, on his recent tour of Wales? We took Sunny out to Cardiff, Swansea and Wrexham to meet Welsh families and tell them all about the benefits of being a credit union member.

We also met lots of people who were already saving and borrowing with their local credit union. One of these was Carmel from Penycae, who took out a loan from her local credit union to help her escape from a lender who was charging extortionate interest rates.

Carmel said: “We’d recently moved to the area and were struggling so took out a loan to help cover the cost of Christmas. The interest we were paying was ridiculous so the credit union helped us pay off this debt. With our credit union loan we were only charged interest on the amount remaining to pay – not the initial amount we borrowed – so we were much better off.

“That got us back on track and we haven’t taken out another loan since. Now we just use our credit union for saving, so that we know we’ve got money put away when we need it – whether that’s for car tax, passports for our daughters or a picnic table for the garden.

“Once you’ve let them know you’d like to withdraw from your account you can access your money almost straight away. Credit unions really helped us out when we were in a difficult situation and I’d recommend them to anyone.”

There are 21 credit unions in Wales, so everyone has a local credit union they can join. Find yours here.

All of the photos from our Credit Unions of Wales roadshow are up on our Facebook page, here. Have a look and see if you can spot anyone you know!

Get little ones saving early with My Money Week

This week marks the sixth annual My Money Week, an initiative from the Personal Finance Education Group (PFEG) which is the UK’s leading financial education charity.

To mark the week, PFEG provides schools across the country with free resources, lesson plans, activity packs, competitions, national challenges and one to one consultancy support.

At the Credit Unions of Wales we believe that getting youngsters to appreciate the importance of saving from an early age should be a priority, which is why many credit unions in Wales run Young Savers clubs with primary schools in their area.

Islwyn Credit Union, based in Blackwood, Caerphilly, is just one of the Welsh credit unions to offer a Young Savers programme. It runs five savings clubs with Cefn Fforst, Fleur de Lis, Markham, Pengam and Trinant Primary Schools.

“The children all know where our school ‘credit union’ is, everyone who’s in the club has their own credit union wallet and we have a desk set up permanently with money trays and a bank,” explained Ingrid Kirk, higher level teaching assistant at Trinant Primary. “One of the older children will be in charge of putting the money together, before a member of staff deposits it to the credit union via the Post Office.”

Islwyn Community Credit Union has almost half as many junior savers as it does adult members – with 765 adult savers and borrowers on their books, using one of the six collection points across the borough, and almost 400 junior savers. The credit union has seen the number of under-16s joining more than double since it began its schools saving scheme five years ago.

Marie Walsh at Islwyn Community Credit Union, said: “We’d love to roll out the scheme to comprehensive schools, but a lot of what we do relies on volunteers, so we really need to increase our volunteers in order to be able to reach these older children. Money saving is something many of us are taught from a young age, and the scheme helps children learn the value of money, which is so important for their future.”

And here’s what some of our youngest savers have to say:

“I think it’s good to save so you’ll have money when you’re older.” – Macie, aged six

“I want to buy clothes. I like saving my pocket money so I have money when I grow up.” – Tayha, aged six

“I like saving because I can buy lots of toys.” – Iestyn, aged five

Celebrating our credit union volunteers this Volunteers’ Week!

Volunteers’ Week is an annual celebration of the contribution millions of volunteers make across the UK. Many of the 21 credit unions across Wales rely on support from volunteers in order to provide the service they do, so we’re using this opportunity to thank our volunteers across the country!Jenny Millard, 74, who lives in Bryn Meadows, Newtown, is a founding member of Undeb Credyd Hafren Credit Union, and just one of our fantastic volunteers.

Jenny, a grandmother-of-five, was one of a group who set up what was then the Robert Owen (Newtown) Credit Union in 1994, the first rurally-based credit union in the UK.

Mum-of-two Jenny had moved to Newtown from Ireland in 1991, where 70% of the population are members of a credit union, and co-launched the credit union as a way to make friends.

Jenny said: “I’d lost my husband the year before and my sister was living in Newtown. Starting the credit union was a way of becoming a part of the community. I was walking along the high street soon after I moved here and starting chatting to someone who was setting up a steering group. Coming from Ireland, I knew quite a bit about credit unions and saw how they helped communities there, and so I ended up helping them to set one up.”

Jenny, who has also volunteered in a Cancer Research shop in Newtown, retired from her job as a health visitor 15 years ago and spent five days a week volunteering at the credit union. She now volunteers once a week at Undeb Credyd Hafren, fitting in her hours around childcare duties for her grandchildren. She sits on Hafren’s loans committee, making decisions on people’s affordability for loans.

“I can’t see me ever giving up volunteering and I think credit unions are such a worthy cause. I like what they do for local people and I think they’re a vital part of the community.”

“There are lots of members who are unable to get bank accounts for whatever reason and I worry a great deal about people getting into difficulties with repayments. We see people who’ve got into trouble in the past. If we can help stop people getting into trouble again, by taking out a loan they can afford with a small interest payment, then that’s reward enough.”

In order for people in the community to be able to take out loans with their local credit union, there is a need for middle income earners to save with them too.

“We meet people from all walks of life. A credit union is like a cycle. Someone who can afford to save will save, and that person’s money will be loaned safely to someone in need. And it comes back if and when that saver needs it, too.

“Credit unions rely on volunteers. Without them, many people wouldn’t be able to borrow safely, away from payday lenders.”

Kim Neal, manager at Hafren Credit Union, said: “Jenny is the platinum standard of volunteer. She is an integral part of the small Hafren Credit Union team. We would be lost without her outstanding local knowledge and the invaluable support she provides to the community of Powys whether it be in her Loans Committee work or dealing with the day to day Hafren Credit Union business at front of house.”

This Volunteers’ Week is the third annual event, encouraging people across the UK to consider a volunteering role as well as recognise those who already volunteer. If you’d like to support your local, community-focussed credit union, why not get in touch to find out whether they’re looking for volunteers?

Half Term Holiday Fun!

As it is half term next week, lots of you will be looking for fun activities to keep your little ones entertained throughout the holiday. A great family day out needn’t break the bank, so here is our round-up of some of the best free and low-cost visitor attractions across Wales:

• Anglesey Sea Zoo boasts over 150 native species so there really is something for everyone! Adult tickets are £7.50, children aged three and over go for £6 and under-threes are free, so a great day out won’t leave you out of pocket!
• The National Showcaves Centre for Wales, near Swansea, is home to one of the world’s largest collections of life-sized dinosaur models as well as a series of breath-taking caves – perfect for young explorers. Admission is £13.75 for adults and £9 for children ages 3 – 16 and this gets you into the 10 different attractions on site, which include the Iron Age Village, museum and Shire Horse Centre.
• Merthyr Mawr Sand Dunesare the tallest dunes in Europe, rising to 200 feet! The area has even been declared a Site of Special Scientific Interest for its collection of wildlife and plants so there’s lots to discover. There’s a network of paths to guide visitors to the most interesting spots and 100 parking spaces at the main car park.
• St Fagans is one of Europe’s leading open-air museums. It stands in the grounds of the magnificent St Fagans Castle, a late 16th-century manor house donated to the people of Wales by the Earl of Plymouth.  It is open from 10am – 5pm daily and entry is free!
• Snowdon is the highest mountain in Wales and an area of outstanding natural beauty. Its surroundings offer all sorts of family activities from walking and cycling routes to golf and watersports. A return train ride to the summit, from which you can enjoy spectacular views and a fresh cream cake from the mountaintop café, will cost you £27 for adults and £18 for 3 – 15 year olds.
• The Wales Coastal Path offers 870 miles of coastline to explore, so your little adventurers will be spoilt for choice! There are 109 maps available to download for free on the website, here, so you can decide whether to find something in your area or visit a stretch further afield.

If you’re thinking of going away for your next holiday, why not join your local credit union and start saving towards it now? Opening an account costs as little as £1 – £3 and you can put a small amount away towards your dream break each month. Find your local credit union here.

What is your favourite family day out in Wales? Get in touch via our Facebook or Twitter page to let us know!

Get entrepreneurial for Local Business Week

This week is Local Business Week – a time for celebrating and supporting the independent businesses in your area. If you’ve been thinking about setting up your own company, this could also be a great time to take the next step by getting in touch with your local Credit Union and finding out how it could help you with your plans.

There has been a significant rise in the number of young people opening up their own businesses in recent years. According to studies, nearly twice as many people between 18 and 30 are currently in the process of starting up a company.

But it isn’t just young people who have caught the entrepreneurial bug. Great grandmother Lynette Webbe used her local Credit Union to launch her ‘feel good’ company, offering giggle workshops and laughter therapy to women and the elderly.

At 59, Lynette, who suffers with Chronic Obstructive Pulmonary Disease, asthmaandhad her third pacemaker fitted last year, was made redundant from her job as a support worker.  She turned to Newport Credit Union, located on High Street, determined to set up her own business in order to help others with health problems.

“I started volunteering at a community centre and then did a course in Music and Movement,” said Lynette, who has two children, five grandchildren and three great grandchildren. “Then I did a business course, and I so enjoy working with elderly people and women, I wanted to do something different that would use laughing and simple, physical activity as therapy.”

When a funding issue meant she was denied a business bursary she had been expecting, Lynette visited Newport Credit Union and joined last summer, saving a portion of the wages she was earning in her part-time job as a support worker in Cardiff.

“I knew for my business to succeed I needed to get my name out there, so I borrowed £300 from the credit union.”

Lynette’s loan paid for business cards, the insurance she needed to deliver exercises and the remainder has gone towards a website.

“I named the company The Cobwebbe Shaker because what I do helps people to heal themselves through getting back to basics – laughter, movement and shaking away the day’s problems,” said Lynette.

She now runs her workshops once a month at the Holistic Centre in Newport, as well as delivering her sessions in sheltered accommodation. Her classes include everything from chair aerobics, to relaxation and breathing techniques and laughter yoga, after she trained in the induced laughter technique.

“The oldest person in one of my workshops has been a 101-year-old woman,” said Lynette, who has been nominated for a Health Champion Award by Communities First and was namedHeart Hero by the British Heart Foundation in 2012.

“It’s about regaining that childhood ability to laugh and have fun – we sing and play percussion with medicine spoons. ‘You Can Get It If You Really Want’ by Jimmy Cliff is a favourite, but we can dance to anything with a beat.”

Credit Unions encourage saving and only borrowing as much as you can afford to pay back. Lynette has now almost paid off the Credit Union loan she took out to launch her feelgood business.

“Borrowing £300 only cost me £30 on top – the interest rates are amazing and I pay around £42 every month by standing order,” she said. “In two months I’ll have paid it back, and I’m now saving as much as I can every month in case of further costs for the business as it grows. I’d recommend becoming a member of a credit union as soon as possible, to anyone.

“Getting my loan gave me back the self-esteem I needed to take the baby steps towards setting up on my own, and helped me help others to find their own confidence, too. I’ve totally turned my life around. Without the credit union, I wouldn’t have got this far, and I wouldn’t be following my dream.”