The Government is opening access to low interest and interest free loans to those who need them.
It's launching a partnership with the Bank of New Zealand, the Salvation Army and Good Shepherd New Zealand, a Catholic mission, to provide people on low incomes with sustainable credit.
Social Development Minister Paula Bennett said poor people are tempted by easily available credit.
She said the scheme offers those people credit with transparent and low fees.
BNZ is committing $10 million for up to five years to the scheme, which Ms Bennett says offers people a real alternative to loan sharks.