LONDON (10/25/13)--Camilla, the Duchess of Corwnall, is teaming up with Great Britain's highest ranking clergyman to expand access to credit unions in the U.K.
The wife of Prince Charles invited the Archbishop of Canterbury, the Most Rev. Justin Welby, to her London home last week to discuss a partnership, after he launched a campaign to muffle the allure of payday lenders.
Calling them a "financial cancer," the Archbishop of Canterbury declared war on payday lenders in the United Kingdom in July by creating a credit union for clergy and members of the Church of England and Church of Scotland. (News Now July 29)
He told the payday lender Wonga that he wanted to put it out of business by using the Church of England to promote credit unions. The church is currently in the process of launching the Anglican Mutual CU.
An aide close to the duchess said that she also is an enthusiastic credit union supporter and wants the Archbishop to channel that passion into his venture. (The Telegraph Oct. 20).
In May, Camilla joined London Mutual CU, based in the southeast London neighborhood of Peckham (News Now, May 17).
In July, Queen Elizabeth also raised the profile of Britain's credit union community, after honoring Darlington CU for its service to the community. (News Now July 31)
In the United States, the Credit Union National Association and credit unions are committed to offering Americans affordable alternatives to predatory payday lenders, with credit unions across the country providing alternatives.
Annual interest rates on loans from federal credit unions are generally capped at 18%. The National Credit Union Administration does offer some flexibility on short-term loans of a relatively small amount, on which credit unions are allowed to charge interest rates up to 10 percentage points higher than the established usury ceiling at the time.
Most credit unions with affordable alternatives to payday loans also keep a lid on servicing fees, and offer members financial advice and incentives to get them to switch to longer-term lower-cost lines of credit.