Credit, Collections & Insolvency News
New research from StepChange Debt Charity reveals levels of household borrowing and arrears attributable to coronavirus have soared to £10.3 billion since the start of the pandemic, an increase of £4.3 billion (66%) since May. StepChange’s report, ‘Tackling the Coronavirus Personal Debt Crisis‘, has found the number of people affected by Covid who are in…
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New credit card accounts plummeted following the start of the first UK lockdown, but potentially riskier sub-prime approvals have bounced back hardest, more than doubling since August 2020, according to data from the new Equifax Market Pulse series. The overall volume of new credit card accounts bottomed out in May, 86% below March levels when…
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Almost two in five people in Scotland are concerned about their income during the Covid-19 pandemic, research for Citizens Advice Scotland (CAS) has found. The research, carried out by the Diffley Partnership, found 39 per cent of people concerned about their income during coronavirus. The research concludes seven months of tracking attitudes by CAS and…
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New research by Royal London has revealed a startling picture of people’s personal finances during the pandemic. the figures above show, household incomes have fallen while bills have risen, with many people believing that things are going to become even bleaker. The company found that the self-employed have been more acutely affected by Covid-19 than…
Read moreA new report from Money and Mental Health has shown that the ease and convenience of online shopping can offer a lifeline for many people experiencing mental health problems, especially in the context of lockdown restrictions. However, it also warns that the design of retail websites is making it extremely difficult for people with poor…
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New data from global analytics software provider FICO has revealed that consumers found contact with lenders difficult in the early days of the pandemic. Now, as another country-wide lockdown begins and the number of financially vulnerable customers rises, the FICO research highlights the importance of timely, tailored communications with customers in financial stress. The data…
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New figures released by the Finance & Leasing Association (FLA) show that consumer finance new business fell in September 2020 by 5% compared with the same month in 2019, and contracted by 19% in the nine months to September 2020. Consumer car finance new business by value grew in September by 11% compared with the…
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New figures released by the Finance & Leasing Association (FLA) show that Second charge mortgage new business volumes fell by 40% in September 2020 Commenting on the latest new business figures for the second charge mortgage market, Fiona Hoyle, Head of Consumer & Mortgage Finance at the Finance & Leasing Association (FLA), said “The second…
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A new study by GoCompare has revealed that 9.7million households are facing Christmas on a reduced income, compared with this time last year, with 13% saying that Christmas is going to be financially very difficult indeed. The research carried out ahead of the festive season, found that 35% of UK households are living on less…
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As UK banks consider the appointment of debt collectors to recover tens of billions of pounds of government-backed small business loans, other financial institutions across Europe are faced with a similar challenge, their next move will be driven by one overriding factor – protecting their image according to new research by Hoist Finance. A survey…
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A new report has found ‘widespread unfairness’ in the way in that central and local government collects debts including council tax, benefit and tax credit overpayments. The Money Advice Trust is calling for the government to ‘level up’ its debt collection practices to those of other sectors or risk pushing people further into difficulty in…
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The Finance Leasing Association (FLA) says that the new Financial Conduct Authority (FCA) measures for a six-month payment deferral period for consumer credit poses a risk to customers. Stephen Haddrill, Director General of the FLA, said: “Lenders are committed to supporting customers in financial difficulty and it is vital that this support is provided in…
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With England entering a second coronavirus lockdown on Thursday (5th November), the Financial Conduct Authority (FCA) has told mortgage, loan and credit card providers to offer borrowers extended repayment holidays. Consumers who have not yet had a credit payment deferral for a mortgage can request one that lasts for up to six months, while those…
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