Yarra Ranges Residents can now access a $2,000 interest-free loan from local service South East No Interest Loans as they increased their lending capacity to clients.
South East NILs began 14 years ago in Cockatoo to allow individuals and families on low incomes access to safe, fair, and affordable credit for goods like fridges and cars or services like dental work and vet fees.
“We’ve got over 700 loans on our books,” NILs program manager Sue Barbieri said.
“There are private community centers [who] have volunteers and they might do an interview or help people do the application and then they send it up to us.
“We approve them and maintain the loan while it’s until it’s paid off – we’re getting loans from all over the place; from Rosebud to Port Phillip”.
In mid-July 2022, South East NILs increased their lending cap of $1,500 to a new $2,000 limit to help families with car repairs or getting their children school-ready with books, uniforms and laptops amid inflation and the rising cost of living.
The client will then repay the loan at an affordable amount over 12 to 18 months.
“It’s just a great way of people being able to borrow safe money; there’s no interest, no fees – exactly what they borrow is exactly what they pay back,” Ms Barbieri said.
“It saves clients using payday loans where they’re paying triple the amount they borrow.”
Those on a pension or healthcare care, individuals or couples with dependents earning $75,000 or less or $100,000 before tax can apply for a South East NILs interest free loan online or drop into the Emerald office for more information.
“We do a budget with the Client to make sure we’re not putting them under hardship by taking the payment out of the Centrelink,[to] make sure that we’re not putting them into more financial debt. But most people apply and are approved,” Ms Barbieri said.
“Sometimes with the budget to it helps people look, [because] sometimes they don’t even look at the bank statements… so it’s also an education for them to see where their money’s going, and how it’s being spent,” she said.
South East NILs also offers up to $3000 loans for rates, rent advances and bonds.
To contact South East NILs contact 0427895596 or visit www.echo.org.au/nils
