Credit, Collections & Insolvency News
New research by the Fabian Society has found that over 700,000 people in working or disabled households are to be pulled into poverty by universal credit cuts. The government has indicated that they will decide in early March whether to keep or scrap the temporary 12-month Covid payment giving claimants just a month to plan…
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New figures released by the Finance & Leasing Association (FLA) show that consumer finance new business fell in December 2020 by 18% compared with the same month in 2019, and decreased by 18% in 2020 as a whole. The retail store and online credit sector reported new business 6% lower in December than in the…
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The rapid roll-out of coronavirus vaccines and declining case numbers have made many households optimistic about their financial prospects, according to the latest Household Financial Confidence Tracker from comparethemarket.com. Nearly four fifths (79%) of households found paying their bills manageable over the past seven days and 82% are confident they will be able to meet…
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The Financial Conduct Authority (FCA) has released its latest Financial Lives survey (FLS), looking at consumers’ financial situations, the financial products they choose and their experiences of engaging with financial services firms. The FCA concluded its FLS research in February, and ran an extra survey in October in order to understand the impact of the…
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Consumer spending fell in January at the fastest rate in seven months, according to Barclaycard. Overall consumer spending shrank by 16.3% in year-on-year terms last month – much sharper than the 1.9% fall in November. The fall in spending was the sharpest decline since May 2020, as the retail, hospitality and travel sectors felt the…
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New analysis by FICO have indicated that the average balances on credit card accounts missing two or more payments are increasing. Analysis of card trends for December 2020 presents a mixed picture of UK consumer financial stability. Some of the data suggests that credit card users are managing their finances prudently, but where there is…
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New research released by Resolver has revealed widespread confusion over payment holidays and the potential impact on people’s future finances. The company says to help people face down the financial challenges posed by the pandemic, the Financial Conduct Authority (FCA) introduced clear rules for lenders so they could offer people ‘holidays’ from mortgage, loan, credit…
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The persistent debt crackdown from the Financial Conduct Authority (FCA) has pushed credit card firms to be more supportive of customers struggling with long-standing debt since the rules came into force in 2018. However, according to the latest analysis from Moneyfacts over the same period the interest-free balance transfer market has contracted. The analysis reveals…
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Figures from EY ITEM Club show British businesses took on debt at more than twice the normal average growth rate since the coronavirus crisis began and are on course to have borrowed £ 61 billion by the end of 2021. EY forecasts a £26 billion rise in borrowing from banks this year – as much…
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Research for Indesser, a joint venture between the Cabinet Office and TDX Group, has shown that over half of consumers (53%) have improved their financial tracking and budgeting during Covid-19. The pandemic has changed some people’s financial behaviour for the better, with 43% of respondents paying off more debt than before, and over a third…
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MPs have called on the Chancellor to maintain. for another year ‘at the very least’ the £20 per week increase in Universal Credit (UC) and Working Tax Credit introduced to support families during the coronavirus pandemic. The report from the Work and Pensions Committee notes that since March the number of people claiming UC has doubled to…
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Gingerbread, the charity for single-parent families, and StepChange, debt charity, have published a new report which shows the UK’s 2 million single parents are more likely than any other sector of society to be living with problem debt. The report shows that 82% of single parents said not having enough income to meet living costs…
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Credit management firm Intrum has achieved gold rating in an independent customer experience assessment for the seventh consecutive year by Investor in Customers (IIC). IIC has again given the business its highest gold standard for delivering ‘exceptional’ customer service, making Intrum the only business ever to achieve gold on first IIC assessment and maintain that…
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