LEDP ‘No-Interest Loan Scheme’ launched to support individuals in the Mid-West

LEDP ‘No-Interest Loan Scheme’ launched to support individuals in the Mid-West. Niall O’Callaghan, Chief Executive of LEDP

Limerick Enterprise Development Partnership (LEDP) announces the launch of a No-Interest Loan Scheme to support people in the Mid-West

Limerick Enterprise Development Partnership (LEDP) CLG today announced the launch of a No-Interest Loan Scheme (NILS), designed to provide accessible, flexible financial support to individuals on low incomes across Limerick and the wider Mid-West region.

The scheme, originally administered by Good Shepherd Limerick, provides small, manageable loans of up to €1,500 interest-free to those in most need of short term financial support. The NILS loan aims to reduce financial exclusion and enable people the opportunity to purchase essential household items, or an immediate service, that improves their quality of life or enhances social and economic participation. The scheme is run in collaboration with local partner organisations across the Mid-West, with whom borrowers have existing and ongoing engagement, thus providing individual credibility.

Speaking at the launch, Niall O’Callaghan, Chief Executive of LEDP, said, “This initiative reflects LEDP’s ongoing commitment to acting as a catalyst for social inclusion and opportunity across the Mid-West. We know that many individuals are struggling to pay for basic goods and services, often in challenging circumstances. This no-interest loan scheme is about backing those individuals, and aims to enhance the dignity and respect of the individual while helping them gain some form of financial control and empowerment in their lives.”

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The scheme operates on a client referral basis only, where partner organisations refer the individual client to the scheme in circumstances where otherwise they do not have access to fair and affordable credit.  Partner organisations include Doras, Bergerie Trust, ADAPT Services, Community Law and Mediation, Limerick Social Services, Focus Ireland, The Irish Refugee Council, Moyross Community Hub, Our Lady of Lourdes CSG, North Star Family Project, St. Munchins Community Centre, UL AccessCampus, Barnardos, Tait House, Southill Hub, and Good Shephard Ireland.

The ‘circular credit’ model means that on repayment of the loan, the capital is then available for someone else to borrow for their own needs, and so on. Each loan application is evaluated by an independent assessment committee with a quick turnaround time, with a view that the provision of a NILS loan will not cause the applicant further financial hardship.

Shellie Murnane, ADAPT Services, said: “We are delighted to support this initiative, which represents a practical and impactful way to strengthen the resilience of the individuals most in need in the community.”

Loans will be available on a rolling basis, with a straightforward application process designed to be accessible and responsive to the needs of applicants. LEDP will also provide financial guidance during the application process in a non-judgemental, informal manner. This initiative forms part of LEDP’s broader strategy to enhance social inclusion and empower individuals and communities throughout the region.