Saving and borrowing

Learn more about saving and borrowing by exploring the information below.

Loan sharks

If you have any money left over after your essential and non-essential spending why not save some money for a rainy day? Regular savings mean that you can put something away for your future, pay unexpected costs such as a replacement fridge, or you could save for your next summer holiday.

You can speak to your bank, building society, post office or local credit union about opening a savings account. Always look for the highest interest rate to get the best return.

Help to Save is a Goverment backed savings account which allows certain people entitled to Working Tax Credit or receiving Universal Credit to get a bonus of 50p for every £1 they save over 4 years. Check if you are eligible here.

The Money Advice Service also has lots of useful information on savings and investments.

If you’re thinking about borrowing some extra money make sure you’ve thought about the repayments involved and whether you really need the extra debt.

Borrowing to clear debts you already have isn’t normally a good idea and could make your situation worse. Speaking to one of our Money Advisers could help you find a better solution.

The Money Advice Service has lots more information on debt and borrowing  which can help you make the right decision.

You might have heard of the term 'loan shark' before. You should never loan money from any organisation or person who isn’t authorised and could end up ripping you off.

Loan sharks are illegal:

  • All lenders must be authorised  by the Financial Conduct Authority and  loan sharks aren’t part of this.
  • Loan sharks don’t have government agreed standards for money collection.
  • Legally, all loans must have paperwork showing charges, the amount you have borrowed and the amount you need to repay. Loan sharks don’t provide this.

Tips for spotting a loan shark:

  • They may offer you a cash loan but won’t give you any paperwork.
  • A loan shark might take your benefit or bank card as security on the loan.
  • Loan sharks won’t normally tell you when you will finish paying your loan.
  • They might increase the amount you owe them, even if you are making regular payments as agreed.

Illegal Money Lending Video 
Watch this video for more information on illegal money lending

To report a loan shark you can call our confidential hotline on 0300 555 2222.