Credit, Collections & Insolvency News
The Bank of England data for November showed a significant net increase in borrowing on credit cards, which StepChange Debt Charity warns may be an indicator of increasing underlying financial stress among some households. Credit cards remain the most common type of unsecured debt held by new StepChange clients at the time they take advice.…
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More than four in five (82 per cent) people have seen their living costs such as grocery or energy bills and day-to-day essentials increase in the past few months, according to new research by TSB. The bank’s research, through its money confidence barometer, indicated that as a result of the cost of living rises, nearly…
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New research by TotallyMoney has shown that more than half (54%) of customers with an outstanding monthly credit card balance are paying interest, indicating that it could be costing consumers £1,831 by not transferring a credit card balance. The esearch shows customers are 31% more likely to be eligible for a credit card now than…
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New research by Evolution Money has indicated that second charge mortgages more likely to be used for debt consolidation. The company analysed data from two different types of its second-charge mortgage products, split between those borrowers using the loans for debt consolidation purposes, and those clients who have prime credit ratings. The research showed a…
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Almost five (4.75) million families living in social housing in England are facing rent rises of up to 4.1 per cent next April – equivalent to an average £202 extra per year – the biggest nominal increase in a decade, according to Resolution Foundation research. The latest Housing Outlook examines how the rise in the…
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New research by Scottish Friendly has indicated that households set to spend £1.3 billion this Christmas using buy-now pay-later (BNPL) schemes. The survey of 2,000 UK adults found that nearly three in ten (28%) are likely to make Christmas-related purchases using BNPL schemes this year. On average they will spend £162 using BNPL payment options,…
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Here is an overview of The Money Charity’s latest statistics for December 2021 Personal debt in the UK People in the UK owed £1,749.9 billion at the end of October 2021. The average total debt per household, including mortgages, was £62,965 and per adult was £33,086, around 108.3% of average earnings. Net mortgage lending rose by…
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More than half (55%) of consumers believe that the increased contactless limit could encourage people to spend more money this festive season. NerdWallet’s Consumer Borrowing Index, a nationally representative study of 5,000 UK adults, has revealed two in ten admitted to spending with less thought since the limit rose to £100 from £45 on 15…
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One in four consumers expects to take on additional debt at Christmas, according to Intrum’s annual consumer report conducted in 24 European countries. Although households with families are more likely to take on debt to pay for food and presents than the average consumer, the age group being most likely to do so is Generation…
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Families face being pushed into debt over the next few months with over a quarter (27%) of people with dependents saying they’ll need to borrow to survive the winter, according to research from subscription loan provider, Creditspring. Families’ finances are set to suffer much worse than those with grown-up children – of whom just 5%…
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New FICO data has suggested that the tide might be turning on consumer finances with average card spend falling and early missed payment rates rising as furloughs finish FICO says that though its, analysis of UK card trends for October 2021, says that it appears that with the first signs that lockdown savings — which…
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Many people with significant amounts of outstanding borrowing will be worrying about the double whammy of inflation and higher interest rates following the Bank of England’s decision to raise the policy rate. According to StepChange Debt Charity, higher interest rates will push up the cost of borrowing while being unlikely to feed through to relief…
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Almost a quarter (23%) of UK families with children living at home are set to spend less on Christmas compared to last year, as the rising costs of living and household bills, alongside the ongoing effects of the pandemic, hit household budgets. According to comparethemarket.com’s latest Household Financial Confidence Tracker,two-fifths (41%) of families feel their financial wellbeing…
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