Senior Partner Robert Williams, partners Simon Thomas and Louise Williams and solicitor Helen Van Willigen recently attended the Neath Port Talbot Credit Union in Neath in company with Dr Bryn John, High Sherriff of West Glamorgan, to support the Neath Port Talbot Credit Union.

Credit Unions are financial cooperatives owned and controlled by their members.  They offer savings and very good value loans.  Many Credit Unions now offer a range of services including current accounts, benefits direct, ISAs and child trust funds.

Recently Housing Benefit legislation changed so that this now has to be paid to the tenant and not directly to the landlord.  There is always a risk if a person is on a low income the tenant may spend this money on other necessities which could cause problems for the tenant and, of course, the landlord.

The Credit Union helps both landlord and the tenant in the following way:

If a person’s rent is £100 per week, what tends to happen is that the Credit Union negotiates with the landlord to accept 95% of the full rent and then pays to them £95 per week.  The Credit Union takes £2.50 per week in administration costs and the £2.50 balance is put into the members savings account who can only make a withdrawal in December.  This means that everyone wins – the landlord has a guarantee that he gets this money; the Credit Union pays its way and this helps both parties and has funds it can draw on in the year to advance loans to customers at very good interest rates.  Finally, the member does not fall into rent arrears and (possibly for the first time in their life) will have been able to save money towards Christmas without putting their home at risk.

Neath Port Talbot Credit Union has nearly 2,000 members and responsible employers such as Corus have recently agreed a scheme to contribute to regular savings by employees who join.

Former Neath Town Mayor and Councillor Mr Brian Warlow has been instrumental in devising the scheme and negotiating with local landlords to participate.

In order to support the Credit Union partners of Hutchinson Thomas have now opened a savings account there and are actively encouraging members of staff to do so.  Robert Williams states “the Neath Port Talbot Credit Union is an excellent way of supporting members of the community to manage their finances responsibly.  It helps landlords and tenants and anyone can join whether they are on benefits or not. Hutchinson Thomas is pleased to support the scheme and would recommend that commercial landlords and tenants alike consider making contact with them so that they can all benefit.”

Neath Port Talbot Credit Union is based at 41-43 Windsor Rd, Neath, SA11 1LY. Telephone 01639 632100