MP Maynard backing Fair for You campaign to say 'no' to unfair finance and loan sharks

Paul Maynard, the MP for Blackpool North and Cleveleys, has given his backing to the campaign, saying that it is important that residents “know that there are better, safer and more cost-effective alternatives out there”.

The campaign aims to make sure Blackpool residents are aware of the unfair hidden fees, sky-high interest rates and other aggressive practices used by some lenders actively marketing to people in the town, as well helping them be alert to the dangers of loan sharks.

Blackpool is a hotspot for bad credit, with 13.1 per cent of residents, including 63.73 per cent of those aged 26 to 35, having so-called ‘derogatory data’ on their file.

That’s one of the highest rates in the country, meaning residents may struggle to access credit through mainstream providers, leading to Fair for You’s decision to run the campaign in town.

Mr Maynard said: “Anyone can be the victim of an illegal money lender. When people are struggling to afford the costs of everyday items and bills, and find it difficult to access credit, they may turn to someone they know and consider a friend, or to an apparently legitimate organisation which turns out to be illegal.

"Victims may even have been referred to the lender by a friend or family member.

“That’s why social lenders such as Fair for You are crucial - it's important that people know that there are better, safer and more cost-effective alternatives out there, both to illegal lenders, and also for-profit lenders which, while legal, do not have their customers' interests at heart."

Fair for You is a social enterprise working in partnership with leading retailers such as Argos, Dunelm, and Iceland Foods.

In August, Fair for You and Iceland announced the national roll-out of a partnership created to help families avoid food poverty.

The enterprise is owned by the Fair Credit Charity, and specialises in ensuring loans it makes are genuinely affordable to its customers.

One of those is Chris Humphries, a care home worker, aged 38 and living on his own in Blackpool.

He got a loan through the Iceland Food Club in August and said: "This loan has been a big help - I was struggling a bit, because I was in between jobs, and because everything has got more difficult with the cost-of-living, but it was a really simple application process and didn't take long for me to get my card, meaning I could make sure I had enough to eat.

"I'm about to start a new job which is a short walk from where I live. My previous job took me an hour on the bus, and the bus fare ate into my wages.

"In my new job I'll get paid every fortnight which will help smooth out my income; in the old job it was monthly and it was pretty hard to budget. I am quite lucky that I live in a flat which is well insulated, and it's upstairs so I get the heat from below, so I only had the heating on once last winter, but I'm still worried about the cost of living more generally."

Simon Dukes, chief executive of Fair for You, said: “We know lots of families in Blackpool are struggling already and worried about what the winter has in store because of rising energy bills.

“We’re concerned that lots of those households, if they receive an unexpected bill, or if their fridge or washing machine suddenly breaks, will feel that borrowing from an aggressive, high-cost lender or even a loan shark is their only option. We’re proud to provide a better and more ethical solution that may be suitable for many households.”

Advertising will run across the town and targeting residents on social media, for four weeks from Monday, October 10. It will highlight that Fair for You can help many households get credit to buy basic household items, or groceries at Iceland, even if they struggle to access mainstream credit.