of clients live in single parent families with dependents
No Interest Loan Scheme (NILS)
For many people on low incomes, paying for essential goods and services is a struggle, and the effects of going without can be huge.
Without a fridge you can’t store fresh food, without a computer kids can be left behind at school, and if you can’t afford the pre-apprenticeship course, education can stall before it even begins.
The No Interest Loan Scheme offers people on low incomes safe, fair and affordable loans for fridges, washing machines and furniture, as well as education and medical expenses.
NILS also provides a safe and affordable alternative to the high cost finance options such as payday loans or ‘rent to buy’, products which promise ‘fast cash’ but often compound a person’s financial situation.
To be eligible for NILS you must have a healthcare or pension card, earn under $45,000, have lived in your current residence for three months, and have a willingness and capacity to repay the loan. There are no credit checks.
NILS is a leading example of Circular Community Credit. When a borrower makes a repayment, those funds then become available to someone else in the community. Clients recognise that repaying their loan means someone else is given the same opportunity they were – consequently, the repayment rate is constantly 95 to 97 per cent.
NILS reflects Good Shepherd Microfinance’s focus on improving opportunities for women and girls, with women representing 66 per cent of NILS clients. And our commitment to reconciliation and closing the gap is highlighted by the 23 per cent of clients that identify as Aboriginal or Torres Strait Islander people.
Research shows that four out of five NILS clients are moving away from crisis and hardship towards stability and resilience – achieving economic mobility. In addition, four out of five clients who have used payday lenders in the past have stopped using them since accessing NILS.
NILS is supported by the Australian Government as part of its five year, $33.3 million investment in microfinance, and our long standing corporate partner, the National Australia Bank.
of clients live in single parent families with dependents
of clients identify as Aboriginal or Torres Strait Islander people
of loan recipients were women
of loans are fully repaid
average loan amount
dedicated microfinance workers & volunteers
locations across Australia
people reached
The number of organisations committed to driving inclusion and resilience for over three million adults who are experiencing financial exclusion in Australia has today risen to 30, with a range of actions underway to support those in need. One in every two Australians has limited or no savings, and a quarter report having experienced difficulties accessing financial services.
Through individual Financial Inclusion Action Plans (FIAPs), the 30 organisations, which include essential services providers, professional services firms, banks, universities and government agencies, are working towards measurable actions that will create a more financially inclusive community. The various initiatives range from improved access to appropriate and affordable financial products and services; development of early warning indicators to identify vulnerability; and support to those experiencing family violence avoid financial hardship. Read more.
Good Shepherd Microfinance has welcomed the Australian Government’s review into high cost payday loans and consumer leases.
Read MoreAustralia’s largest microfinance organisation has set a target to double the number of no-interest loans in South Australia by December 2017, to meet an expected increased demand stemming from rising unemployment as the manufacturing sector closes.
Read More
The LaunchME program supports people start their own business, gain employment or embark on further study. There are four programs: LaunchME for Young Carers, LaunchME South Australia, LaunchME Dandenong and LaunchME Morwell.
Low interest loans of between $800 - $3,000 with no fees and affordable repayments offered in partnership with NAB.
Retail stores offering safe, fair and affordable financial services at prominent 'high street' locations in Victoria, South Australia and Queensland.
Online learning, face-to-face training and webinars that maximise the skills and resources of microfinance workers across Australia.
A buying service which leverages the purchasing power of our national network to access the best prices, quality products and excellent customer service for clients.
A national program providing organisations with a framework to support the development of a series of practical actions they can take to improve financial inclusion for employees, customers and communities.
Affordable, simple and effective insurance policies for people on low incomes, designed in partnership with some of Australia's leading insurers.
When I was successful in getting a loan, it picked me up. I felt I was in control again.
Norma, NILS client