'Back-to-school' expenses: Big increase in loan applications

Loan applications to do with back-to-school costs at Roscommon Credit Union have risen dramatically, according to CEO Bernie Moran.

Since the beginning of August, Roscommon Credit Union has lent out €60,000 in back-to-school loans.

This time last year, such loans amounted to just €3,000.

"Back to school in 2022 is definitely seeing an increased pressure on parents and families this year," said Ms Malone.

"Our staff members report that they are listening to members who are feeling the pinch, most likely as a result of inflation and the cost of living this year draining their coffers, in all four of our branches.

Back to school season typically puts some strain on families, but in 2022 we definitely noticed more stress on parents.

According to Ms. Moran, loan amounts and withdrawals for educational expenses will both be higher in 2022.

According to her, applications used to start at between €500 and €1,000, but now they start at €1,000 and go up to €1,500, depending on how many kids are enrolled in school.

According to the Irish League of Credit Unions, the pattern at Roscommon Credit Union is representative of what is occurring in many other credit unions.

Father of three and Roscommon Credit Union member Fergus Halligan.

"Free education just doesn't exist I'm afraid," he said.

You simply have to pay for everything—books, uniforms, whatever. It goes further than that. When kids do return to school and all the early preparations are made, things continue.

Every parent will tell you that once a week or once every two weeks, they receive a text asking for a certain amount of money to buy something.

The means-tested back-to-school clothing and footwear allowance was boosted by the government by €100 in July, so families who qualify will now get €260 per child between the ages of 4 and 11 and €85 per kid over 12.

From this, 150,000 families will profit.

The School Transport Scheme will be free to use in the upcoming academic year, thanks to a price waiver from the Department of Education. Additionally, this one-time action will save certain families up to €500.

However, many parents will not profit from those measures and will be responsible for the costs.

At the weekend, parents in Galway City were feeling the squeeze when buying school supplies.

One father remarked, "It's pressure for sure." There are currently many additional fees, particularly if you have a large family.

The price of books, clothes, and shoes, according to a woman with two children in college and a third starting secondary school this year, "all going to pile up."

Everything is rising, according to another mother who was accompanied by her daughter.

In addition to the price increases for everything else, she added yet another expense.

The food and electricity bill for the following week is likely to be enormous.