I'm shocked this is allowed to be aired.

Everything is loaded against the poor. For example, in the I today:

"Tax system "hits poorer households hardest" - according to a House of Lords report. "it [the report] cites high penalties, designed to deter some taxpayers from continuing appeals against tax liabilities, as a "tax on justice". The report finds that it is "devastating the lives and middle and lower income individuals."

A bit off the point, I realise, but another example of the limited choices available to the less well off while all sorts of concessions and compromises are made to the super rich.

No there isn't much choice for people on the bones of their arses. Take the crap deal or go without

There's choices for "comfortable" people like me with a good credit score and a regular income. I can shop around and get decent deals.

The point that some of us I think have been trying to make is that those with the biggest financial challenges have credit records that mean they won’t get the best deals - hence BrightHouse. Shopping around is for those of us with good credit scores

The point I'm making, not, is that Credit Unions do lend ethically.

I'm not sure what the point we're making is, actually!

We seem to agree that Brighthouse and other lend-to-own companies offer extortionate rates of interest to those who can least afford it.

We seem to agree that Credit Unions are ethical in that they don't lend irresponsibly but also offer crap deals.

What I think I'm saying, at least, is that there IS a choice for consumers and maybe that it's the customers' responsibility to check out appropriate deals, to educate themselves about said deals and borrow appropriately within means to repay.

At least Brighthouse are compelled to state their rates up front in large print now so that it's clear to a potential borrower what the deal is.

No-one can claim ignorance now.

(As opposed to my high street bank who kept offering me loans & credit cards I hadnt asked for!!)

I am with a credit union and an "ethical" bank. I have a (not massively) above average income and an almost perfect credit score. The credit they offer me is piddley. I can get 10 times what they offer me elsewhere.

When I switched to a credit union from a high street bank they SLASHED my overdraft facility to next to nothing (fine, since I avoid using it any way).

No. Credit unions are not doling out credit to people who cannot afford it. They barely give it to people who CAN afford it. Thats what makes them "ethical".

And as for the affordability, the people using BrightHouse would probably fail that test
Certainly. "Ethical" lenders (including credit unions) don't lend to people who can ill afford to be in (more) debt.

And as for the affordability, the people using BrightHouse would probably fail that test. BrightHouse only exists because all the decent reasonable ways to borrow are closed to those in greatest need

MissA I made that point earlier somewhere unthread

Credit Unions lend at reasonable rates and ethically to people on low incomes.smile
They lend ethically, which means they offer you LESS credit than elsewhere and have stricter affordability criteria than other high street lenders. It is therefore harder to get credit in credit unions than elsewhere. But like elsewhere the best rates go to people who are doing okay financially

Don't you have to save with them for a while first?
In the old days, yes, now it goes on affordability.

Don't you have to save with them for a while first?

Credit Unions lend at reasonable rates and ethically to people on low incomes.

My local CAB is so over stretched these days that they dont get to see half the people who try to self refer to them.

Cheap loans are certainly available. To people with good credit. And an okay income.

I'm not at cross purposes either, not, but it is quite possible to get much cheaper and far more ethical loans than Brighthouse.

It's also quite easy to get debts written off, including ccjs.

Those kindly folk at CAB will always help

So you take another loan, then another, get a payment plan which is also "manageable" and in no time at all the original amount owed is four or five times the original amount.

Well yes. I dont think we are at cross purposes on that. Im just saying how "cheap" second hand furniture and white goods is only cheap relative to an average or above income. Relative to a low income £100 may as well be £1000. If you dont have it upfront you dont have it!

The council approved clearance firm in my town costs £60 if you cant take stuff to the tip yourself. If you use non approved you can find yourself liable for their fly tipping. Some firms that sell on credit take your old item for free as well as delivering for free

I agree £6 is achievable. But you will never own the item, in all likelihood, as it will be obsolete by then.

So you take another loan, then another, get a payment plan which is also "manageable" and in no time at all the original amount owed is four or five times the original amount.

I work with people with financial problems, and astonished at how many debts are written off.

I prefer second hand aesthetically and ethically.

However the price is not the price: my favourite "bargain" clearance store charges £30 delivery and charges again to collect unwanted items.

I can also "afford" to buy cheap old heavy pieces because Im a home owner so wont be tasked with moving it ever 6 months

I had a browse around the brighthouse website earlier.
They're certainly covering all bases, with advice on recycling and so on.
They also sell reconditioned items, which I didn't know (although they aren't called that)
I couldn't find anything about them taking away your broken item, which surprised me, as that is a huge issue for people without access to a car, or anyone to help lift bulky stuff.

PhiPhisnana can I add to your comment that one of the main things SS looks for is a proper bed (not a mattress on the floor). If you are being observed, as young mums leaving mother & baby homes can be, you need that furniture NOW not when you have saved up for it.

And children should not be on second hand mattresses.

where goods can be purchased outright for a very small outlay

"Purchased outright" is the key phrase there though.
£100 may be "cheap", but not if you only have £70/week/family for all bills & food (this was incapacity benefit before UC). £6/week FEELS more achievable.

I really think that when something like 90%+ people have a TV then it really is the norm rather than a luxury. And if you don't have much disposable cash, TV might be one of the only home entertainment outlets available to you. The cinema - or any rainy day entertainment - is quite expensive, especially if you have a family.

At least the interest rates ARE displayed prominently now.

In my town, Bright House is situated next door to an excellent BHF shop, where goods can be purchased outright for a very small outlay, including electrical items large and small.

BrightHouse is quite simply a lender of last resort ( other than the illegal loan sharks). It’s that simple

I think you have to have a reasonable credit rating to be able to buy from catalogues such as Littlewoods etc.

I think that is what Eloethan said PhiPhisnana