“It would have been hugely difficult if we’d closed down; there's hardly anywhere else for these children to go. But we didn’t have enough cash to keep going, and we couldn’t get a loan from a high street bank.”
Y:Housing helps YMCAs to keep their properties, and young people to have affordable homes. But the charity couldn’t do what it does without loan finance. Melissa Lloyd, CEO of Y:Housing, tells us more.
Can my charity borrow money from a bank? Is borrowing possible for a charity? Does a charity need express power to borrow? We go through the first things to consider when a charity is thinking about taking out a loan.
“Banks says they want to support non-profits, but they won’t lend us money. Thankfully, Charity Bank and Big Issue Invest have been brilliant.” Read our interview with Ann Martin, CEO of Birmingham Supported Living 2010.
After over 20 years of renting, Elpis Ministries has finally bought its own church premises. It couldn’t have done so without the help of a £1.27 million loan from Charity Bank. Pastor Victor Darteh tells us more.
“We spoke to several lenders. It was like banging our heads against a brick wall. Then we approached Charity Bank, and it was a case of, ‘Yes, fine, no problem.’” Read our interview with Andrews Charitable Trust.
Your eligible deposits with Charity Bank are currently protected up to a maximum of £85,000 by the Financial Services Compensation Scheme (FSCS), the UK's deposit guarantee scheme. Total balances above £85,000 are not protected.
For joint accounts each account holder is treated as having a claim in respect of their share so, for a joint account held by two eligible depositors, the maximum amount that could be claimed would be £85,000 each (making a total of £170,000).
Deposits from large companies and small local authorities are covered by the FSCS deposit protection from 30 January 2017 up to a maximum of £85,000.
Visit the FSCS website for more information or call the FSCS on 0800 678 1100 or 0207 741 4100.