THFI & Welfare Reforms

Stephen DobsonFinancial & Digital Inclusion Champion

1st March 2013

The projects

Tackling Homelessness through Financial Inclusion (THFI)

Tackling Financial Inclusion through Digital Inclusion (TFITDI)

Why THFI?

Welfare Reform is likely to have a significant impact on rent collection! So consider:

Are tenants in receipt of Housing Benefit capable of managing one direct payment and ensuring the full rent is paid?

Do tenants have a means to make payments towards their rent on an on-going basis?

Aim of the project

To support Landlords and Tenants to maintain tenancies using a Credit Union Rent Account

So preventing homelessness…but also hooking people into financial inclusion support

Benefits to Landlords• Helps Protect Rental Income• Mitigates against costly arrears/eviction

process• No need for Tenant Arrears or Safeguard

Assessment• No risk of overpayment• Helps maintain tenancies

Benefits to Tenants• Supports budgeting• Credit Union benefits:

– Affordable Credit– Savings– Advice/Support

• Mitigates against high cost credit and Loan Sharks

• Constant through Welfare Benefit Reform

Why Now?

Changes, changes, changes!

Welfare benefit reform will mean that those on state benefits will see a reduction in income and fundamental changes in the way they receive their income.

Financial InclusionEnabling people to manage their money better through access to appropriate and responsible financial services and support with the knowledge and confidence to use them.

Excluded Included

Aspects of TFITDI?

Promoting Financial Inclusion through Digital Inclusion Projects/Initiatives.Supporting the Development of a Credit Union Website Template.Developing a Financial Information Site/ Financial Capability Hub.

www.moneymadeclearwales.org