2.  Represents English HAs  1,000 members (99% coverage)  2 million homes for 5m disadvantaged

3. Financial exclusion  No access to mainstream finance  No credit history  No affordable answer to urgent needs  Must borrow from high cost lenders

5. Consumer borrowing

6. The Credit Gap Doorstep/payday/ illegal Credit unions Banks

7.  Debt spirals  Rent arrears  Health/social issues Member concerns

8. Federation Response  National, sustainable social business  Small sum lending & allied services  Long-term financial plan

9. Launch

10. Shops Wolverhampton Birmingham City WorcesterNorthfield HerefordCoventry

11.  Credit  Basic bank accounts  Savings accounts  Money advice Services

12. Process  Initial contact  Appointment  Interview  Decision  Disbursement  Money advice

13. Banks + Credit union MHFHome/payday (IML) Loan shark The annual cost of credit £6 £13 per £100 £30 per £100 £75 - £100 per £100 £100 + per £100 Good credit history Share based & can’t take high risk percentage All high risk but no further subsidy required High risk, flexible, personal Female, 30- 40yr, welfare benefit, social housing

14. Partners Housing Associations

15. So far…  Loans: 9,800  Average loan: 340  Aggregate lending: £3.3m  Est. aggregate savings: > £2m

16. Savings Accounts 46%

17. Age

18. Household make up

19. Future plans  Consolidate WM  Roll out  Refine model  ‘One-stop shop’

20. Future plans  Capitalisation  Loan note offer  5 years at 6%  Dual return

21. Thank you tess.pendle@housing.org.uk