- Monday, 26 July 2010Credit unions can help people going through
bankruptcy by providing them with a transactional bank account, suggests Citizen's Advice.
Citizen's Advice recently published a report, entitled Called to Account, which found that only two out of 17 banks provided consumers facing
bankruptcy with a basic current account.
The report highlighted the role that credit unions can play in helping undischarged bankrupts, as they will provide them with accounts.
Mark Lyonette, chief executive of the Association of British Credit Unions Limited, said: "This report is welcome recognition for the work credit unions do with undischarged bankrupts.
"For undischarged bankrupts to be denied access to transactional banking only worsens their already significant financial difficulties. Yet there is no regulation or legislation that prevents an organisation from doing so."
He added that providing access to bank accounts for people going through
bankruptcy and tailoring products and services to their needs is not difficult.
A credit union is a financial organisation which is owned and run by its members. They can provide current accounts, savings and
loans.
Insolvency Practitioners at Money Debt and Credit Ltd act without any personal liability
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Registered Office: 45 Clarendon Road, Watford WD17 1SZ