12 Days of Debtmas campaign urges people to use credit unions before payday lenders

A campaign has been launched to encourage people to consider using credit unions instead of payday lenders as Christmas approaches.

The Scottish Government’s 12 Days of Debtmas campaign is aimed at people who may get into financial trouble at this time of year by using high interest, short-term credit.

It comes amid reports of dramatic increases in debts from payday lending.

Around 18% of people helped by StepChange Debt Charity Scotland in the first half of this year had at least one of these loans compared with 9% in 2012.

More than 350,000 people across Scotland are members of credit unions, which are cooperatives that are owned and managed by the people who use them.

Members are encouraged to save monthly and they can borrow at competitively priced rates and, in some cases, in a short timescale.