A Tameside credit union has saved residents an estimated £10.8 million in interest payments by offering an alternative to high-cost payday and doorstep lenders.
Cash Box Credit Union has granted more than 13,000 loans worth £13.2 million since it was established in 2004, according to a report presented to Tameside Council’s Executive Cabinet on August 26.
The not-for-profit organisation, which serves people who live or work in Tameside and Glossop, is now forecast to provide more than £1 million in new loans this year.
Unlike commercial lenders, Cash Box operates as a co-operative, with members’ savings used to provide affordable loans to other members and support the local community rather than generate profits for shareholders.
Its services include savings accounts, low-interest loans and payroll deduction schemes, with many borrowers turning to the organisation after being unable to access mainstream credit.
The difference in borrowing costs can be substantial.
Cash Box loans range from 5.6 per cent APR to 42.6 per cent APR, while some short-term lenders can charge between 325 per cent and 1,333 per cent APR.
Most of its loans are for less than £1,000, with products designed to help families meet everyday costs including school uniforms and Bee Network tickets.
The credit union also encourages members to save, with 617 people putting aside a combined £352,700 for Christmas 2025 through its Christmas savings accounts.
Tameside Council supports Cash Box through a £25,000 deferred shareholding alongside in-kind assistance.
And there is capacity to help considerably more people, with Cash Box currently having around £1 million available for additional lending.
Tameside Council Executive Leader Cllr Eleanor Wills said: “There’s an increasing trend of people turning to Cash Box for loans to help with everyday living costs such as food and bills.
“The credit union has the legitimacy and experience to play an important role in dealing with the challenges that face many people and families across Tameside and Glossop, especially young people, vulnerable and low-income groups.
“By saving members millions in interest, it puts money back into families’ pockets to do other things, much of which will be spent in the local economy.”
Cash Box is regulated by the Prudential Regulation Authority and Financial Conduct Authority, while members’ eligible savings are protected by the Financial Services Compensation Scheme.
The council is now encouraging more people living and working across Tameside to consider joining the credit union and take advantage of its saving and borrowing services.