Credit Union (CUSP)

The intention is that the loan will be used to enable an individual client to secure “move-on”, more permanent accommodation, or avoid eviction, by the fund acting as “lender of last resort” when all other approaches or funding opportunities have failed. Circumstances dictate that this type of decision will often need to be made at short notice, in order to secure a tenancy.

The Loan will be made and administered by the Isle of Wight Credit Union (IWCU) with initial funding provided by the Supporting People programme grant. The perceived advantages of operating this scheme in partnership with the IWCU comprise a number of issues, both social and economic for the Client and include –

• Access to cheap/free finance to access accommodation
• SP Provider support to access the finance
• Engagement with the social banking system
• At the end of the repayment period the loaned deposit becomes theirs

This scheme will complement the existing Private Rented Deposit scheme operated by IWC Housing Services, which is open to Clients for which the Authority have a statutory duty under the Housing Act Part V1. There is also a similar scheme operated by Safer Communities Partnership open to clients in substance misuse treatment programs and agreeing to SP support. Both schemes are operated on the basis of a grant rather than this loan based scheme. Criteria:

• The loan will be used to secure demonstrable move-on or more permanent accommodation or, prevent homelessness
• The scheme cannot be used where there is a statutory obligation by any other scheme
• There must be evidence that all other options or approaches for funding have been declined, this can include failure to meet criteria of the specific scheme/s.
• Any other circumstance, at the discretion of the Supporting People Manager or his nominated representative
• The loan application must be supported by the client’s SP Provider
• There should be a history of good engagement with Housing Related Support or evidence that the client previously had a history of good engagement, prior to discharge.
• There should be some evidenced history of the client acting in a reasonable and responsible manner during any previous tenancies; consideration will not be given to clients who are losing/have lost their existing tenancy due to problematic behaviour.
• The loan will be on a “one-off” basis and will not be available to an individual client on more than one occasion
• Each application will be considered on its own merits, but be subject to the reasonable requirements of the IWCU
• The maximum amount that shall be loaned under this scheme is £1,000 (one thousand pounds)
• The repayment term of the loan shall not exceed 104 weeks or 24 months
• The Loan will be free from Interest or any other charges
• The minimum age limit for application to this scheme is 18 (eighteen) years
• Bankrupts are disqualified (by Law) from entering into any loan agreement

• Member Application Form
• Loan Loan Application Form
• Disclosure Form
• Loan Agreement
• Payroll Deduction Form
• Standing Order Form
• Benefit Authorisation Form