Inflation and rising interest rates are making life more difficult for many Canadians, and newcomers with low incomes are especially vulnerable. Our loan applicants tell us how much their basic survival costs have increased and that many are worried they can’t afford the cost of a loan.
Labour shortages across Canada mean it is imperative that internationally trained nurses, IT professionals and engineers gain their accreditation and return to their careers as quickly as possible. With interest rates so much higher than they have been, we want to ensure that skilled newcomers are not putting their careers on hold because of the cost of a Windmill loan.
Thanks to the support of our many donors, funders and community bond investors, we’ve been able to make two changes to ensure our loans remain affordable.
As of January 1st, new Windmill loans have been set at a fixed interest rate of 5.95%. This temporary rate is 2.5% less than our previous rate of prime plus 1.5% and brings the cost of our loans back to what they were before the interest rates took flight. This offer will be available until June 30, 2023, or longer if conditions warrant it, and Windmill has raised enough funding to offset the loss of interest income from other sources.
For our clients already working to pay back their loans, we are offering flexibility with their monthly payments and extended payment periods to ensure they are successful.
Thanks to the generous support of our funders, we are in a position to offer this financial relief so newcomers and their families are better able to manage through this challenging time. Our hope is that these measures will enable many more skilled immigrants and refugees to achieve their career goals, provide for their families, and support the new communities they call home.
Claudia Hepburn, CEO
Windmill Microlending
