A NEW banking facility is opening in Tavistock which will enable members to save while they borrow.
Credit Unions are managed by local people for local people and Devonland Credit Union Ltd already operates in Bere Alston and Princetown.
It will now be opening in Tavistock at the Methodist Church in Chapel Street from Wednesday, November 3 between 10am and noon.
Credit Unions are savings and loan clubs and in general a member agrees to pay in, weekly or monthly, and after three months can take-out a loan of twice their savings.
They continue to pay the same amount, of which half goes towards their savings, while the other half is used to pay back the loan.
The interest rate is 1% a month, controlled by government regulations, on the reducing amount owed.
For example, a loan of £120 will cost £7.80 in interest if paid back in a year. There are no charges if the loan is repaid early.
There are more than 104,000,000 members throughout the world, who have free insurance while paying back a loan.
Subject to age, if a member dies while paying back a loan, it is written off and the member?s estate receives the member?s savings plus the same amount again.
For further information either phone 01822 813590 or go along on Wednesday. If you wish to join you will need two forms of identification, one of which must contain your address.