Credit, Collections & Insolvency News
Citizens Advice has urged the government to extend its measures to protect private renters from evictions before proceedings expire. The charity says that the Government has just one month to act before existing measures end. Citizens Advice is warning this presents a ‘cliff edge’ that will pitch some renters into long-term debt or homelessness. The…
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Homeowners struggling to pay their mortgage due to Coronavirus will be able to extend their mortgage payment holiday for a further three months, or start making reduced payments, in proposals published by the Financial Conduct Authority (FCA). The FCA has published new draft guidance today for lenders which will set out the expectations for firms…
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UK cardholders spent £52.9 billion on debit cards in February 2020, up 4.1 per cent on the same month the previous year, UK Finance’s latest Card Spending Update has revealed. Total spending on credit cards amounted to £15.7 billion, 4.4 per cent more than in the same period a year earlier. The annual growth rate…
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Mortgage breaks taken by 1.6 million homeowners could cost them at least £821 million in extra interest according to new analysis. Research by mortgage broker L&C Mortgages has shown that the mortgage breaks taken by 1.6 million homeowners due to the COVID-19 pandemic could cost them at least £821 million in extra interest. Figures calculated…
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A survey of customers by debt advice provider Financial Wellness Group has revealed how lockdown has impacted the finances of those already on a debt solution. Almost two-thirds of respondents (64%) had experienced a drop in household income since the lockdown started. The study shows the vital importance of the Government Job Retention Scheme: 38%…
Read moreIHS Markit’s UK household finance index has shown that overall perceptions of financial wellbeing in UK households recorded a score of 37.8 in May, representing a slight increase from the previous month’s eight-and-a-half-year low of 34.9. While the headline number did rise, it remained among the worst seen since the survey’s inception in 2009 and…
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A new survey conducted by Hodge Bank has revealed that (over half of the consumers surveyed) 56% of people are embarrassed to ask their family for financial help. Over 3,000 people were interviewed as part of the study which asked about their attitudes towards finances and aspirations for the future. The study was conducted using…
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The Financial Conduct Authority (FCA) has confirmed a series of temporary measures to help customers who hold insurance and premium finance products and who may be in financial difficulty because of coronavirus (Covid-19). Following a short consultation, the targeted measures being implemented require firms to consider what options they can provide to customers including: Reassessing…
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Young people are finding it increasingly difficult to pay their bills, as the economic impact of COVID-19 continues to hit household finances and the wider economy. According to the third week of comparethemarket.com’s Household Financial Confidence Tracker, a quarter (25%) of those aged 18 to 24 struggled to make ends meet over the last week…
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Debt charity StepChange has warned that its clients in Scotland were already struggling to make ends meet before Covid-19 hit. The charity’s new report, Scotland in the Red, has revealed that a quarter of Scots were showing at least one sign of financial vulnerability in 2019. The report also paints a worrying picture of how…
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Consumer spending fell 36.5% in April compared with the same month last year, according to Barclaycard data, as shops and pubs shut to limit the spread of COVID-19. The contraction came despite a strong performance of grocery shopping and online sales. Data from Barclaycard, which sees nearly half of the nation’s credit and debit card…
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Spending on ‘Isolation Economy’ categories of groceries, alcohol, entertainment and hobbies & crafts running at £247 million per week during lockdown, equivalent to an annual £12.9bn increase. However, average overall consumer spending has decreased by 31% per person, equating to an annual fall of £215bn. Local economies could be relative long-term gainers as a result…
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The government’s Coronavirus Job Retention Scheme will remain open until the end of October, the Chancellor has announced. In a boost to millions of jobs and businesses, Rishi Sunak said the furlough scheme would be extended by a further four months with workers continuing to receive 80% of their current salary. Chancellor Rishi Sunak said…
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