No Interest Loan Scheme helping ‘Aussie battlers’
A Melbourne pensioner left struggling financially following a divorce has told A Current Affair how a no interest loan helped turn his life around.
A $1200 loan helped Robert set-up home, allowing him to purchase a washing machine and fridge he otherwise wouldn’t have been able to afford.
“I didn’t really think I’d be able to a loan. I just needed some immediate cash,” Robert said on A Current Affair last night.
“They really helped and aided me along the line and kept to their word”
“It’s just a great initiative.”
The safe and affordable loans are offered through the No Interest Loan Scheme, a program managed by Good Shepherd Microfinance that gives low income Australians access to loans of up to $1,200 from local community agencies. The loans are largely for the purchase of essential household goods like fridges and washing machines.
Loans are safe, affordable and completely free of interest and fees. The process also helps borrowers improve their budgeting and savings skills.
NAB has partnered Good Shepherd Microfinance since 2003 to address financial exclusion, providing more than 100,000 no or low interest loans to people living on low incomes in Australian. NAB also offers microenterprise loans to help people who can’t access mainstream finance start their own businesses.
NAB has committed $130 million in capital to support lending to people on low incomes. Together, NAB and Good Shepherd Microfinance have set a goal of improving financial inclusion for one million people on low incomes by 2018. For more information on NAB’s work in this area, including the 2013 Measuring Financial Exclusion in Australia report, please visit nab.com.au/microfinance.