Behind the tinsel, glamorous perfume ads and hype, there’s a darker side to this time of year. We’re all under pressure to spend more than we can afford, which makes Christmas an absolute gift for payday loan firms and loan sharks.

It’s true the Government is doing what it can to curb the industry’s worst excesses and from next year, there will be a cap on the amount of interest they can charge.

But even then, plenty of people will be left in misery or even lose the roof over their head, because of borrowing from the wrong place.

So, it’s good to see credit unions leading the fight-back, particularly here in Oxfordshire, where we have four.

There are 500 in the UK, with a million members between them and the idea is they channel local people’s savings to others in the same community who need to borrow.

They’re not there to make a profit and there are no greedy shareholders, because they’re run by a community for the community.

That doesn’t have to be an area, it can be a group of people in the same industry, such as postal workers or fire fighters.

Credit unions already operate under an interest rate cap, which at three per cent a month, or 42.6 per cent a year, means even the most expensive loan costs eight times less than loans from some high-cost, short-term lenders.

In fact, most credit union loans offer rates well below that, with some at less than six per cent a year and repayments are usually spread over a number of months to make the loan more affordable.

It’s a chance to borrow from an ethical lender at an affordable rate of interest and, just as importantly, they’ll treat people fairly if they get into difficulties.

Check the rules before you sign up, as every credit union will be slightly different but in most cases, you can withdraw money any time by taking out cash at the local credit union office or setting up a transfer to your bank account.

Some even give you a debit card but there’s more info and advice from the Association of British Credit Unions Ltd at abcul.org/ or 0161 832 3694 Back to our local area and one of the main ones is Oxfordshire Credit Union Oxfordshire Credit, on 01865 777 757 or oxfordshirecreditunion.co.uk, which offers a chance to save and borrow for anyone who lives or works in the county. Board member David Soward explains: “Our credit union is there for the people of Oxfordshire. “Whether as savers or borrowers, we all help each by being members. OCU acts as a community bank, for everyone’s benefit.”

Others include Blackbird Leys Credit Union on 01865 718 503 or bblcu.org.uk, Banbury-based Cherwell Community Bank and Thame Community Bank, on 03030 300147 enquiries@thamecommunitybank.org.uk or swancreditunion.org.uk or Facebook SwanCreditUnion Payday loan firms want us to believe they’re our Fairy Godmothers but the truth is, they’re the Ugly Sisters and Bad Fairy rolled into one.

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