National Traveller MABS launched our latest research report 'Financial Unwellness' Financial Literacy & Inclusion Among Travellers on the 26th June 2024.
The report shows that Travellers experience much higher levels of financial stress than the settled community as well as exclusion from banking, payment systems, access to credit, use of savings and insurance.
Nancy Power, National Traveller MABS’ Coordinator said that she hopes that the research will be taken on board in the development of the new financial literacy strategy that is being prepared by the Department of Finance.
Dr Stuart Stamp, one of the authors of the Financial Unwellness report, explained that previous research has identified particular issues for Travellers with regard to financial literacy and inclusion. What this study does is directly compare Travellers’ experience with that of the general population.
In this context, Dr Stamp highlighted the following comparisons that emerged from the research:
- Only 40% of Travellers would be able to cope with a significant financial shock compared to over 80% for the general population;
- Over 60% of Travellers could not manage more than a month without borrowing if they lost their main source of income compared to 12% for the overall community;
- More than 85% of Travellers have difficulty in making ends meet compared to 25% of the community as a whole;
- Less than a third of Travellers have money over at the end of each month in contrast to the vast majority of the population as a whole;
- Around one third of Travellers are unable to pay their bills on time;
- Less than 20% of Travellers have a credit card compared to almost 60% of the settled community;
- 8% of Travellers have a mortgage compared to over 30% of the wider population;
- Just over 10% of Travellers have a private pension as against over 70% of the general population.
Speaking at today’s launch, Nancy Power, National Traveller MABS’ Coordinator, said that to assist Travellers tackle this financial stress and exclusion, the country’s financial institutions need to provide much better access to existing products and services while also developing specific products and services designed to meet the needs of Travellers.
“National Traveller MABS believes that if the financial institutions provide Travellers with access to affordable banking products and services – such as savings accounts, loans, and insurance – we can participate more fully in the financial system and build the type of security necessary to help alleviate the high levels of financial stress that so many Travellers experience. In this context, access to legal and affordable credit is critical – unfortunately, Travellers face a myriad of barriers in accessing such credit.”
Nancy explained that these barriers include limited financial literacy, limited access to formal identification, limited credit history, discrimination and bias as well as lack of collateral or assets. Ms Power also said that the financial institutions need to develop tailored financial products for the Traveller community.
“Developing financial products that are specifically designed to meet the needs of Travellers – such as flexible repayment options for loans or insurance policies that take into account our unique circumstances – can help improve our financial inclusion. One example of this has been the use of the Household Budget Scheme to successfully assist Travellers pay off loans for trailers. In addition, we need to see more microfinancing loans being provided so that Travellers can build up their ability to manage loans.”
In addition to these measures, Nancy said that the following actions – carried out in collaboration with local and national Traveller organisations – will be required to tackle the financial exclusion and stress being experienced by Travellers:
- Culturally appropriate financial education and literacy programmes:
- Providing outreach and support services to help Travellers navigate the financial system and access resources.
National Traveller MABS funder The Citizens Information Board said: 'The Citizens Information Board welcomes this important report by National Traveller MABS which highlights the challenges faced by the Traveller community around financial literacy and inclusion. Understanding the experiences of the community is essential to National Traveller MABS work to reduce poverty, discrimination and the financial exclusion of Travellers.
You can read the research report below.
You can also read some of the press coverage the report launch received on RTE , Irish Times and the Irish Examiner
You can also listen to National Traveller MABS Coordinator Nancy Powerspeaking on the News at One
