Fair Credit Charity Ltd

Overview

Fair Credit Charity Ltd, registered as a charity in the United Kingdom and Scotland with the charity number 1161809, is dedicated to alleviating poverty and financial hardship through innovative and tailored lending solutions. It operates as a UK and Scottish registered charity, emphasizing the importance of fair credit in preventing families from falling into poverty traps.

History

Fair Credit Charity Ltd was originally named Fair for You Ltd when it was established on April 10, 2014. The name was changed to Fair Credit Charity in 2022 to distinguish its role from Fair for You CIC, a social lender under its ownership[2][5]. This rebranding was intended to clarify its broader mission beyond lending.

Objectives

The charity has several key objectives:

• Social Lending: It supports and oversees Fair for You, an award-winning social lender that offers fair, flexible, and affordable loans primarily for household essentials. This approach aims to provide lower-income families with accessible credit options that are not exploitative[2].
• Impact Reporting: Fair Credit Charity conducts social impact reporting and shares its findings to influence the wider credit market towards more equitable practices[2].
• Advocacy: The charity actively campaigns for better credit solutions that meet the borrowing needs of lower-income families, emphasizing the need for reform in the lending industry[2].

Activities

Fair Credit Charity has been involved in various initiatives to advocate for fair lending practices:

• In 2024, the charity supported the Big Issue's Blueprint for Change, emphasizing the need for government action against predatory lending to combat poverty[3].
• It has highlighted the role of the banking sector in addressing financial exclusion by releasing a whitepaper with data and case studies from Fair for You[3].
• The charity has also commissioned impact reports to assess the effectiveness of its initiatives, such as a study by the Centre for Responsible Credit, which demonstrated significant social value and customer benefits[3].

Impact

Through its efforts and those of its subsidiary Fair for You, Fair Credit Charity aims to reduce reliance on high-cost credit and improve financial stability for vulnerable populations. The charity's efforts focus on systemic change in the lending sector to ensure fairer access to credit for lower-income households.

[1] https://register-of-charities.charitycommission.gov.uk/en/charity-search/-/charity-details/5062210 [2] https://www.faircreditcharity.org.uk [3] https://www.faircreditcharity.org.uk/who-we-are/latest/ [4] https://register-of-charities.charitycommission.gov.uk/charity-search/-/charity-details/5062210/contact-information [5] https://find-and-update.company-information.service.gov.uk/company/08991099