A $1.34 million commitment by South Australian Labor to open the state’s second Good Money store has been welcomed by not-profit-organisation, Good Shepherd Microfinance.
Good Money is part of an innovative partnership between Good Shepherd Microfinance and the South Australian Government. Good Money stores offer safe, affordable loans for people on low incomes.
Good Shepherd Microfinance CEO Adam Mooney said there is a growing number of people in South Australia experiencing financial hardship and it was critical to provide alternatives to high interest fast cash loans.
“Since it opened in 2015, our Good Money store in Salisbury has provided more than 890 no interest and low interest loans to people on low incomes. Our team members have also worked with more than 6,500 people to discuss their financial situation and make appropriate referrals to loans, financial counselling and other services,” Mr Mooney said.
“Good Shepherd Microfinance’s No Interest Loan Scheme (NILS) is also offered through around 20 providers across the state. Last year there were 1,400 NILS loans in South Australia that’s 42 per cent increase on the year before, showing a vital need.
“The top three loan purposes at Good Money in South Australia are vehicle repairs, computers and fridges providing much needed essential items to individuals and families doing it tough,” said Mr Mooney.
Good Money customer, Carolyn, used a NILS loan to cover the cost of dental work.
“My neighbours told me about Good Money, and I was in Salisbury so I popped in for a chat. I didn’t want to take out any loans, but they told me there’s no interest and I thought that’s really great. It was a relief to be approved for the loan,” Carolyn said.
Mr Mooney urged the South Australian Liberals to support Good Money and the NILS program.
“While the Federal Government is procrastinating over small amount credit regulation, the states need to invest in more options to support people to access safe and affordable finance,” he said.
Under the election commitment, Labor will:
- Invest an initial $870,000 to establish a second Good Money store in the southern suburbs.
- Provide a further $470,000 annually toward the store’s operations.
- Invest an additional $200,000 to expand financial counselling services across the state.
NILS loans of up to $1,500 are available to people who earn under $45,000 (net income) and have either a healthcare or pension card to purchase essential items or services.
Media contact: Barbara Cox, Sequel PR – 0403 090 913
More information: http://goodmoney.com.au