A new credit union, Potters’ Bank, has launched in Stoke-on-Trent, marking the first establishment of its kind in the area in over ten years. This initiative, spearheaded by businessman James Adams in collaboration with the city council, aims to assist residents facing unexpected financial burdens, such as repairs to essential household items like cars or refrigerators.
Adams’ involvement with a local food bank highlighted the financial struggles many community members experience, often leading them to resort to payday lenders or illegal loan sharks. Government statistics indicate that Stoke-on-Trent has the highest number of individual insolvency cases in the UK, with 957 cases reported in 2024.
Credit unions, being mutually owned and locally based, focus on providing low-cost loans, primarily targeting those with limited financial resources. Although several credit unions have faced closure in recent years, Adams believes that such institutions are vital in filling existing gaps in financial services.
Potters’ Bank is integrated with Just Credit Union, which is already operational in Shropshire. The credit union plans to offer employee savings schemes aimed at helping individuals facing potential financial crises build resilience. The loan structure invites residents within the ST postcode to open accounts with a manageable interest rate of a few percent annually.
This service is designed for those who may require quick cash to address emergency expenses but lack a favorable credit history, especially if they have previously encountered predatory lenders. Residents can access these services online or through various community lounges throughout the city.
For individuals seeking assistance with debt in Stoke-on-Trent, resources and advice are available through local channels and online platforms.
Source: https://www.bbc.com/news/articles/cr7mjydxj28o?at_medium=RSS&at_campaign=rss