to start an MN credit union?

[ICBINEG]

because I would lend a couple of hundred quid to another MNer for free if it got them out of the wonga loop....and I suspect I am not the only one?

I don't think you could start a 'MN Credit Union'. You'd have to have the backing of MNHQ. You could start a 'ICBINEG credit union' if you want to.

The thing is that as an individual, yes I would be making a real terms loss if I don't charge interest. But so what? On 200 quid it will be a fiver? Who cares!

A company can't run like that but charities can.

No.

I mean, yes you are. Sorry.

lol. yes I do realise that I won't be able to use MN in the name... unless I overthrow the management....

I was just thinking about this the other day after getting quite heated up about the wonga thing.

Even looked into what it would take. It's a long process but I am in if you want help.

I work in IT so can set up any systems/website and so on.

DM me if you are serious

rooners do you have a reason? I'd like to hear it?

she thanks - lets see how this goes first...

also I wouldn't DM my worst enemy...

Several, and you are a kind person but I don't think MN is an appropriate vehicle for your charitable inclinations.

I think it muddles the boundaries, the purpose and the remit of the site to involve hard cash.

obviously not an MN (brand) one but a network of mothers helping each other out when things come up but also encouraging small savings.

Women tend to be low wage earners and combined with likelihood that they would be the primary care giver, take a huge financial hit. It would be nice to have a community credit union that would help.

It's an arduous process to set one up though.

How on earth would you run it?

No. Awful idea.

I've lent friends money, but that's with the bonds of friendship binding it (along with something in writing).

No way of checking people, vetting people and no way of being able to enforce repayment.

Small loans soon add up to big money.

It's one thing for organisations like the church, who have the back up and knowledge. Individuals and unofficial groups are kidding themselves.

No worries ICBINEG I felt I had to do something so spent a few hrs reading docs on what the process would be. It would need insurance and anti money laundering processes and so on but also quite doable if there are enough people willing.

Kim147. It may work in small communities where folk are unlikely to move or know each other. Totally different thing for an online community.

Nancy You would run it the same as all small credit unions around the country presumably. You have to by law to all the checks and so on and would be regulated by the FSA. You just need a 'common bonds' criteria to base it around.

www.abcul.org/credit-unions/setting-up-a-credit-union

yep - the point of doing it through something like MN is that I actually feel some connection to people on here....more so than random neighbours etc.

The massive disadvantage is that it would blur the boundaries of what MN is....and of course that MN can no more guarantee repayment than I personally can.

Although you probably know more about a regular poster of a year or so's standing than the bank knows about a random walking in off the street...

it comes from a very kind heart but i think youd just lose your money to con artists.

Hecsy is spot on. Neither a lender nor a borrower be.

hec yes but having recently offered to send things totally free to any MNer in need on a thread I had ZERO responses. So I am not currently feeling like there are too many piss takers, fakers on here.

I think credit unions are a great idea. There are a few near where I live like this one in Basildon. If you have spare cash, you put it in a savings account with the credit union which then uses all the savings to fund loans to people that need them.

An MN credit union, properly set up to protect savers as well as borrowers, is a really interesting idea. If I had any spare money I might be tempted to open a saving account.

apparently not only not a lender or borrower but unable to give things away

The main positive (and negative) about cu's is that you have to save a certain amount before borrowing. This will act as a 'buffer' if the borrower gets into trouble. I spent three months this year working with credit unions, so have a bit of knowledge. Sadly, they will never be able to compete wit the big bastards as the money is often needed very quickly and people aren't able or prepared to save first.

hmm maybe what I am suggesting isn't a credit union then...unless you allow fun posts on MN as a form of 'saving'....