This week, Scottish residents received welcome news of a new Financial Health Service website launched by the government.
The website http://www.scotlandsfinancialhealthservice.gov.uk/ aims to inform vulnerable Scots about the protection gap after research by Cuna Mutual UK showed they have little protection if they are unable to repay debt.
Paul Walsh, our CEO, is a leading advocate of the consumer’s right to receive fair, straightforward and ethical financial products that plug the ‘protection gap’. With Cuna Mutual protecting the savings and loans of more than 250,000 Scottish Credit Union members and providing market leading products that help protect these members, today Paul welcomed the Scottish Business Minister’s announcement, hailing it as reassuring moment for those shouldering the burden of debt. Further, he believes that in a climate that leaves 86 per cent of Scottish residents in trouble if their income was lost, practical credit and protection solutions are needed.
There is no doubt that Credit Unions, alongside government initiatives such as the new website and its financial education module, can play a significant part in helping consumers secure their financial health. Greater financial awareness and debt conscientiousness amongst Scots has resulted in an increase in those belonging to credit unions (1 in 4 Glaswegians). Younger Scots are also now seeing the benefit of securing the repayment of their loans.
While Cuna Mutual protects the savings and loans of more than 250,000 Scottish credit union members, worth over half a billion pounds, today’s announcement will provide welcome reassurance to not only our members but to Scottish residents generally. A new web resource for information is a positive thing to help further protect consumers’ financial interests.