Commitment to Action

Safe Alternative to a Payday Loan for Working Americans

Commitment by

Municipal Credit Union

In 2014, Municipal Credit Union (MCU), committed to launch a new emergency "Step Line of Credit" loan product, to help break the harmful payday lending cycle that affects many working Americans. This new product will provide a viable and safe alternative to a payday loan for low- to moderate-income families. MCU is committing $1 million in the first year, to serve approximately 2,000 of their members, with loans that will likely average $500. In addition to the loan product, MCU is offering free financial education and counseling for its members. This program will help working Americans better manage their finances, prepare for future emergencies, and hopefully end the use of payday loans in the future.

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Overview
Summary

Commitment

Safe Alternative to a Payday Loan for Working Americans

Launched

2014

Est. Duration

1 year

Estimated Total Value

$1,000,000

Region

Northern America

Countries

United States

Commitment by

Municipal Credit Union