PnP Extend R1 Billion In Food Credit
After only 6 months offering credit Pick n Pay (PnP) have already extended a scary R1 Billion to consumers wanting to buy food on credit.
Financial advisors often talk about good credit and bad credit saying that making use of credit to invest in and create future wealth is a good use of credit. Using credit to buy food is not described as a ‘good” use of credit since it is a consumable and essentially just adds to the cost of food items. This doesn’t seem to be slowing down the demand for more and more credit at PnP.
Last September (2017) PnP began to offer limited credit facilities to consumers. Over 56 000 store accounts have since been issued and just over R1 Billion in credit has been used.
‘7.7% increase in earning per share’
PnP prides themselves on their very affordable credit offerings and even incentivised the initial use of their facility. PnP is reporting a roughly 7.7% increase in earning per share and a trade profit for the year of around 19% (which is an increase from the previous year).
PnP has tied in with new bank on the block TymeDigital (a subsidiary of Commonwealth Bank of Australia) to give consumers even more access to banking services. One of the services, namely money transfers has already gained over 300 000 signups this year. It seems consumers are ready and eager to make use of PnP’s slowly increasing credit services.
If you have been buying food on credit because otherwise, you cannot afford to feed your family then you should urgently speak to a professional NCR registered Debt Counsellor for help. Through debt review, they can ask a court to reduce instalments on your existing debt each month ensuring you have enough funds for essential household costs like rent, insurance, food and electricity.
‘Over 56 000 store accounts have since been issued and just over R1 Billion in credit has been used’